Netflix is one of my favorite companies when it comes to customer experience. I’ve visited them multiple times on our nexxworks innovation tours, and every time I’ve been stunned by their approach. The company is already very old by the standards of the digital giants. Founded in 1997 by Reed Hastings and Marc Randolph, it initially began shipping DVDs by mail.
They have so far managed to reinvent themselves many times. They have evolved from a mail service to a streaming service and then they have also become content creators. I’m really curious about what they’ll do in the coming years to set themselves apart from the competition in the increasingly fierce broadcast war.
With 195 million subscribers in the third quarter of 2020 (and over 200 million already, red.), And annual growth of 20 percent or more as in recent years, their future still looks very bright. Since they remain one of the ultimate kings in personalized and fun customer experience, I wanted to inspire you with their most beneficial and successful accomplishments.
Take your product very seriously
It’s easy to downplay movies and series, but Netflix never makes this mistake. They describe entertainment as a basic human need, which appears most important in these lockdown times:
Entertainment, like friendship, is a basic human need; It changes what we feel and connects us. We want to entertain the world. If we succeed, there will be more laughter, more sympathy and joy.
We want to entertain the world: Isn’t that an ambitious mission?
Know what you’re selling
At the same time, people on Netflix are also realizing on a deeper level that they are selling “interest” rather than entertainment. They know that not only do they compete with other streaming services, they also compete with anything and everyone that takes consumers away from Netflix. That’s why the company stated in its 2018 annual report that we “compete with (and lose) Fortnite more than HBO does.”
This has a huge impact on the customer experience because it means that Netlfix has to constantly strive for attention and has no choice but to offer the absolute highest quality and products.
Use science to measure, test, and repeat
That’s why everyone at Netflix not only focuses on the customer, but also totally cares about it. Here’s how Gibson Biddle, former Netflix vice president of product trial, describes the difference:
|Hear what customers have to say||“Test and Learn” via
|Understand current needs
|Unexpected and future needs
Submission and implementation
|Focus on customer satisfaction||We strive to achieve unforgettable moments for the customer in the long run|
|Offer a better product
|Explore new horizons below
|Find the balance between customer satisfaction
And profit to build a business
|Driving with unforgettable moments
To the customer and make sure you are working
Difficult to copy. Top
Profits cannot be ignored.
On Netflix, the client is constantly checked. Not only by analyzing profile data to better recommend suitable movies and series, but also by engaging with target groups, usage sessions, individual conversations and demographic surveys or cancellation surveys. They will then test A / B the assumptions that arise from this (users are divided into different groups, with a different version of the site presented for each group, red.).
Netflix’s craze goes beyond data, algorithms, and great personalization. While it is the latter that clearly defines them, as Reed Hastings describes it: ‘If the secret to Starbucks is to smile when Latte The Netflix secret is that the site adapts to every viewer’s tastes.
In fact, they are so serious about this that they call it “consumer science”: using a scientific methodology to formulate hypotheses. Then they are tested to develop a culture of customer obsession and discover what captivates them. Consumer science is the driving force behind their highly personalized experience, which is also why their content, such as “Black Mirror” and “The Queen’s Gambit”, is so popular.
Focus on the joy
But it’s not just the tests, data, and algorithms that make Netflix absolutely king of the customer’s experience. It’s also one of the most human-made brands, with exceptional customer service. In addition to a wide range of self-help solutions in the event of problems, Live Support is available in English 24/7 via live chat or over the phone. Each customer service representative is fully trained to focus on customer satisfaction rather than exclusion. If you want to understand my reference, watch this video:
I love this personal example that Ian Hall wrote: ‘Last night I was watching (or listening more than anything) to’ Eco-Trip ‘while preparing dinner with my daughter. Suddenly the sound distorted. I thought something was wrong with the coding, but other than that I haven’t done any of it. Until I got the next email this morning. This is customer service. Netflix realized I might feel upset (or at least I would have noticed the disconnection) and so, proactively, they allowed me to request credit with a small amount from my account. Although 3% of my bill isn’t really that much, it makes me feel 100 times better. And look, I’m now flaunting the attention Netflix gives to its customers.
This is how customer service should be: If something goes wrong, don’t wait for the customer to call to fix it. Solve it early and give him a good feeling.
Find and remove anger and frustration
Some of the best innovations come from solving real-life problems. When Netflix started as a movie rental service, Hastings became obsessed with “making the movie experience so much better than regular video rental.” It went beyond positivity Customer experience And to ensure customer satisfaction. He wanted to completely redefine the experience.
For those who are too young to understand how video rental works: You had to go to the store and find the right movie from a huge collection, which could take a really long time. On top of that, there were annoying fines for returning the movie late.
Netflix offered lower rates with monthly plans and eliminated late fees. You also no longer have to go to the store because they mailed you a DVD. Obviously, this approach wasn’t perfect either, so Netflix took a close look at the consumer journey and realized that instantly accessible entertainment, and live broadcasts, could easily solve any customer frustration. Today, this frustration remains the guiding principle for the continuous improvement of the experience.
Happy employees create happy customers
Last but not least Netflix understands the competitive advantage of happiness not only from its customers but also from its employees. While not all good customer experiences are rooted in good employee experiences (take Amazon warehouse workers, for example), every good employee experience has a positive effect on the customer experience.
“Our core philosophy is to put people above the process.”
Netflix CEO Reed Hastings understands this more than anyone else: He and his colleagues think just as much about people and culture as they think about digital broadcasting and content. They make sure that the right people are hired – the ones who put the company’s interests first, and who they strive for high performance Understand and support the workplace – and then enable them to make the most creative and influential decisions, because those decisions will always reach clients.
Netflix’s statement read: “Our core philosophy places people above the process. More specifically, we have amazing people working together as a dream team. With this approach, we are a more flexible, fun, stimulating, creative, collaborative and successful organization. The latter of course has the same. Just as important Business owner trademarks In a raging talent war as well as stimulating creativity, innovation and the constant search for better customer experiences.
The author, Stephen Van BellegemIt guides companies to adapt to today’s consumer. He is also Professor of Marketing at Vlerick Business School. This article first appeared in His blog.