$NFLX Built an Empire by Owning the Customer

Travis Hoium

05-15

I didn't understand $Netflix(NFLX)$

10 years ago, but I learned lessons from that mistake.

1. Users > Profits: In a digital business, it's critical to reach scale. Profits don't matter on the path to scale.

2. Delay Taking Price: Margins are low? Who cares! See #1.

3. Suppliers eventually have to bend the knee to the one who owns demand.

You don't say, "I'm going to watch Sony's K-Pop tonight." You say, "I'm going to watch Netflix."

Demand matters above all else.

Owning the customer is the ultimate goal.

The companies we CHOOSE to interact with are the ultimate winners on the market.

😍 Been eyeing Tiger merch but short on Tiger Coins? Now's your chance.

🎁 We’ve selected 4 high-demand items across practial, lifestyle, and learning, now with a lower redemption threshold!

Hot Merch Returns · Up to 43% Off

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Users &gt; Profits: In a digital business, it's critical to reach scale. Profits don't matter on the path to scale.\n2. Delay Taking Price: Margins are low? Who cares! See #1.\n3. Suppliers eventually have to bend the knee to the one who owns demand.\nYou don't say, \"I'm going to watch Sony's K-Pop tonight.\" You say, \"I'm going to watch Netflix.\"\nDemand matters above all else.\nOwning the customer is the ultimate goal.\nThe companies we CHOOSE to interact with are the ultimate winners on the market.\n<img alt=\" \" title=\" \" src=\"https://community-static.tradeup.com/news/4f9e8073564a5a28082fc8104827c052\" tg-width=\"1920\" tg-height=\"1080\"> \n<hr>\n😍 Been eyeing Tiger merch but short on Tiger Coins? Now's your chance.\n🎁 We’ve selected 4 high-demand items across practial, lifestyle, and learning, now with a lower redemption threshold!\n<a href=\"https://ttm.financial/TW/554651083281352\" title=\"Hot Merch Returns · Up to 43% Off\" target=\"_blank\" class=\"\">Hot Merch Returns · Up to 43% Off</a>\n<img src=\"https://community-static.tradeup.com/news/be0283b695178d5d32f9e254ddc1d4a1\"></body></html>","htmlText":"<html><head></head><body>I didn't understand <a data-mention-id=\"NFLX\" class=\"teditor-mention\" data-mention-name=\"Netflix\" href=\"https://ttm.financial/S/NFLX\">$Netflix(NFLX)$</a>\n10 years ago, but I learned lessons from that mistake.\n1. Users &gt; Profits: In a digital business, it's critical to reach scale. Profits don't matter on the path to scale.\n2. Delay Taking Price: Margins are low? Who cares! See #1.\n3. Suppliers eventually have to bend the knee to the one who owns demand.\nYou don't say, \"I'm going to watch Sony's K-Pop tonight.\" You say, \"I'm going to watch Netflix.\"\nDemand matters above all else.\nOwning the customer is the ultimate goal.\nThe companies we CHOOSE to interact with are the ultimate winners on the market.\n<img alt=\" \" title=\" \" src=\"https://community-static.tradeup.com/news/4f9e8073564a5a28082fc8104827c052\" tg-width=\"1920\" tg-height=\"1080\"> \n<hr>\n😍 Been eyeing Tiger merch but short on Tiger Coins? Now's your chance.\n🎁 We’ve selected 4 high-demand items across practial, lifestyle, and learning, now with a lower redemption threshold!\n<a href=\"https://ttm.financial/TW/554651083281352\" title=\"Hot Merch Returns · Up to 43% Off\" target=\"_blank\" class=\"\">Hot Merch Returns · Up to 43% Off</a>\n<img src=\"https://community-static.tradeup.com/news/be0283b695178d5d32f9e254ddc1d4a1\"></body></html>","text":"I didn't understand $Netflix(NFLX)$ 10 years ago, but I learned lessons from that mistake. 1. Users > Profits: In a digital business, it's critical to reach scale. Profits don't matter on the path to scale. 2. Delay Taking Price: Margins are low? Who cares! See #1. 3. Suppliers eventually have to bend the knee to the one who owns demand. You don't say, \"I'm going to watch Sony's K-Pop tonight.\" You say, \"I'm going to watch Netflix.\" Demand matters above all else. Owning the customer is the ultimate goal. The companies we CHOOSE to interact with are the ultimate winners on the market. 😍 Been eyeing Tiger merch but short on Tiger Coins? Now's your chance. 🎁 We’ve selected 4 high-demand items across practial, lifestyle, and learning, now with a lower redemption threshold! 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