Netflix Series & Movies – Reverse Engineering for Hollywood

Netflix Series & Movies – How Hollywood Knows What to Make!

So, what is Netflix and how does it know what genres appeal to people and why?  There are hundreds of thousands of hours of Netflix series & movie content.  Netflix has very specific algorithms to measure what people are watching and why.  It allows them to manage their content and point people in the direction of genres they think they may be interested in.  This translates to Netflix retaining your patronage because they are virtually doing all your choices for you.  To understand how people look for content, they came up with over 76,000 micro-genres.  They assess the genre descriptions, isolate their keywords and went on to build their own self-engineered genre generator.

The Hollywood Framework

Netflix has unknowingly built the entire framework for the Hollywood producers, directors and investors to base their production decisions on.  No longer is making a Netflix series or movie a massive gamble.  It is now a calculated set of numbers and algorithms according to the Netflix reverse engineering model.

What’s so brilliant about this you ask? All the guesswork has been taken out of Hollywood’s screen entertainment marketing questions.  Is this what people will come and watch? What if we do a sequel to that movie?  Will people watch another romantic comedy?  What demographic will a certain film appeal to.

The Netflix Data Factory

The interesting thing is Netflix didn’t even realise the enormity of the descriptive data it had.  To their knowledge, no one had ever compiled this much data on the Hollywood screen entertainment industry.  Essentially, they were sitting on an avalanche of data that could now shape the making of television and movies in quantifiable measures.

Netflix worked out it has over 76,000 ways to describe a type of movie.  Their grammar and vocabulary work in a certain way.  It then breaks down into popular actors and directors.

Now what Netflix and the screen entertainment business have is a reverse engineered situation.  Translated in layman terms, producers will not be producing shows and hope you like them.  Based on the algorithms generated by Netflix, people are showing the producers genres they are turning to.  Those same producers are now producing screen entertainment based on the numbers and demographics of what people are watching in popular numbers.

The data won’t stipulate how to make a show but it will unquestionably tell a producer what kind of entertainment they should be making.  It’s sort of like the tail wagging the dog.

Real-time Netflix

Anything that is topical at a certain time, Netflix will work into its planning.

Netflix recognises seasonal viewing, so come December, there will be the introduction of Christmas shows.  Over the rest of the year, it looks at Halloween, holiday seasons, Easter, Mothers’ Day and Fathers’ Day.  These would all be times where Netflix would reflect the topic in their viewing content.

What’s happening now on Netflix?  Halloween is coming up, so Netflix had all your horror pleasure in mind when they put together the viewing for this month.  Friday the 13th, Dawn of the Dead, Pyscho, Paranormal Activity.

Disney will stay in Australia

Current news pertaining to Disney on Netflix reads well for Australia.  We will not lose our Disney entertainment, however, this is not the case for America.   Disney has announced they will be launching their own streaming service from 2019.   The reason for Disney’s decision is that they obviously have a large amount of content for younger viewers.  The parents love it because their children will watch certain movies over and over and over again.  Because the Disney content is quite subjective and large, Disney wants to by-pass the revenue Netflix deny them and basically keep the whole amount themselves.  Pay TV has been declining over the years and with the advent of streaming services, financial detriment is being felt by the Disney cable networks.  Essentially, they are trying to claw back some of the revenue generated by Netflix.  This will come in the form of a dedicated Disney App in the States.

Netflix numbers news

Netflix data indicates 37% of household have the streaming service.  This is essentially a 20% increase for Netflix in Australia over the past year.  More and more Australians signed up to Netflix in the 2017 year.  The data collection agency, Roy Morgan, has been keeping up with the trending of Netflix over the last two years.  Its subscriptions are increasing and free to air patronage is declining.  SBS was the only free to air channel that saw a slight increase in viewership over the last year.  Watch this space though – with CBS taking over channel 10 in the near future there might be a new competitor with some overseas tricks up their sleeve.  However, these statistics show Netflix has really hit the mark in Australia and obviously their content complements our viewing habits.

View our Netflix compatible range of TVs here: Click for Netflix models