Netflix and Big Data Figure 1: Netflix have access to a wealth of data from extensive customer base.
The main algorithm that Netflix have disposal of is the " recommendation algorithm". Netflix start their process of getting to know their customers from the get go. They are asked to rate their bulk sms slovakia interest in movie genres and rate any movies they've already seen. Doing this up front allows Netflix to really incorporate the desires of the user into their service which will in turn increase engagement.
The following example highlights the importance of Big Data and how Netflix have been able to use it to their advantage. Before giving the go ahead for House of Cards they already knew that firstly the British version of House of Cards had been well watched. Secondly, those who watched the British version of House of Cards also watched Kevin Spacey films and/or films directed by David Fincher. This combination of factors had a lot of weight in Netflix's decision to make the $100 million investment in creating a U.S version of House of Cards. Jonathan Friedland, Netflix Chief Communications Officer, says "Because we have a direct relationship with consumers, we know what people like to watch and that helps us understand how big the interest is going to be for a given show. It gave us some confidence that we could find an audience for a show like House of Cards." Big Data had the power to give Netflix factual information that allowed them to make strategic and well informed business decisions.
