How Does Netflix Make Money? | Ringer PhD | The Ringer

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  • Опубликовано: 31 июл 2018
  • With a cheap monthly subscription and an estimated $13 billion spent on content this year, how on earth does Netflix make money? In this installment of ‘Ringer PhD,’ we break down Netflix’s business model and explain how the company can afford its hefty development costs.
    Written and reported by Victor Luckerson. Narrated by Sean Fennessey.
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Комментарии • 175

  • @JonJorgensonVideos
    @JonJorgensonVideos 6 лет назад +115

    One of the best ringer videos I've seen for sure. Great work! So well done. Can't wait to throwback to this in five years to see how correct this was!

  • @hirenhp1
    @hirenhp1 6 лет назад +121

    I'm glad you guys are experimenting and trying different formats. This was lovely.

  • @sorchigo
    @sorchigo 6 лет назад +132

    Good video. I wouldn't mind if the Ringer's RUclips Channel became a entertainment/sports version of Vox.

    • @werhelp7702
      @werhelp7702 6 лет назад

      Isn't the ringer apart of vox anyways?

  • @Svaent
    @Svaent 6 лет назад +8

    Loved this video. The format and info were spot on, and Sean is an amazing narrator.

  • @inhaledexhaled5460
    @inhaledexhaled5460 4 года назад +29

    “To an unfortunate amount of new Adam Sandler movies”
    😂

  • @estout37
    @estout37 6 лет назад +6

    Extremely informative, I personally never got how Netflix was losing money since it got like 11 billion three years straight but the amortization makes that clear thank you.

  • @alexgpaterson
    @alexgpaterson 6 лет назад

    Great video. Sean, A+ narration, and shouts to your graphics dept. for producing such a slick vid. Keep 'em coming.

  • @stevethesalvo
    @stevethesalvo 3 года назад +1

    This is my First video on your channel. Outstanding quality! Well done!

  • @Trevorange
    @Trevorange 6 лет назад +14

    Really well-done video. Good job by you Ringer!

  • @rollwithem
    @rollwithem 6 лет назад +9

    This may have been my favorite single piece of Ringer content so far. Nicely done!

  • @jacksonwilken5389
    @jacksonwilken5389 6 лет назад +46

    This was super cool like the ringer meets vox

    • @SiopaoSauc3
      @SiopaoSauc3 6 лет назад +1

      Ringer is part of Vox technically.

    • @nocontext5333
      @nocontext5333 5 лет назад

      Not technically. Vox owns a good % of ringer.

  • @spencermarkham9057
    @spencermarkham9057 6 лет назад +1

    More Victor and Sean projects, please. This is great

  • @juliamclaren107
    @juliamclaren107 6 лет назад

    Great video. It's like seeing one of The Riinger podcasts come to life!

  • @benvallis
    @benvallis 6 лет назад

    This is good content, ringer people. Well done. Informative, and the graphics held my flimsy attention.

  • @GhostinTube
    @GhostinTube 5 лет назад +5

    your editing is insanely good

  • @2ndRatePetronius
    @2ndRatePetronius 6 лет назад

    Well done!!! More Ringer PhD, please!

  • @teronie213
    @teronie213 6 лет назад

    Amazing video. Gave me great insight as to how Netflix operates. Well worth my time. Thank you very much for the great content.

  • @thesushifiend
    @thesushifiend 5 лет назад

    How the heck does this only have 61k views? Really well produced video!!

  • @naamamendesjunior1716
    @naamamendesjunior1716 6 лет назад

    This video is phenomenal. More of this please

  • @grapes9h5
    @grapes9h5 5 лет назад

    WOW you guys really outdid yourselves with this one. This should be shown in schools. No joke.

  • @vincenzasorrentino7172
    @vincenzasorrentino7172 5 лет назад

    well done video. insightful and creatively produced.

  • @derekjung2051
    @derekjung2051 6 лет назад +1

    That was a really interesting video. Thank you!

  • @kidflash07
    @kidflash07 4 года назад

    Well put together video. Thank you

  • @yaoyangtan
    @yaoyangtan 3 года назад +10

    2020, Netflix is essential

  • @marysheridan844
    @marysheridan844 5 лет назад

    Great video! Thanks for the info.

  • @DjRockLee247
    @DjRockLee247 6 лет назад +9

    Awesome. Next, can we get a Ringer PhD on the NBA and NFL salary caps?

    • @DjRockLee247
      @DjRockLee247 6 лет назад

      With Concepcion narrating. No offense, Fennessey. You're great, I just really miss NBA Desktop.

  • @vishalsorout
    @vishalsorout 6 лет назад +4

    Brilliant. Probably the best video on Ringer after Klaytheism

  • @LIB2021
    @LIB2021 6 лет назад

    Great content right here. So smart.

  • @tonys.2216
    @tonys.2216 6 лет назад

    Awesome video. More like this, please.

  • @mert.a4240
    @mert.a4240 6 лет назад +144

    How does the ringer make money 🤔

  • @gaurav_kabra
    @gaurav_kabra 4 года назад +1

    Loved the visuals! The attention to detail and the way everything was animated was awesome!

  • @MackThrill
    @MackThrill 6 лет назад

    More videos like this! Gold

  • @charlesoliviera
    @charlesoliviera 6 лет назад +7

    Love the video!

  • @kushagrakukreja9722
    @kushagrakukreja9722 3 года назад

    This presentation was legit 10/10

  • @gabriellebarlatier5815
    @gabriellebarlatier5815 4 года назад +4

    One word: production 👌🏽

  • @martinky24
    @martinky24 6 лет назад +1

    This is good content ringer!!

  • @JL.2
    @JL.2 4 года назад +3

    A good question is , will they be raising the prices indefinitely or will it eventually be set on a certain price ? I've been a pretty good fan of Netflix so I'd like to see it thrive and have a win win situation with their customers, they're happy because they have customers AND they're making money but us, the customers are also happy because we enjoy the content and are willing to pay for it.

  • @gooeypanther
    @gooeypanther 4 года назад

    Great vid bro GET THAT 1M🔥

  • @patrick7228
    @patrick7228 6 лет назад

    This was fantastic! Show runners getting 9 figure deals??!!! I have a couple ideas.. Who can I run them by Lol.

  • @claudio6032
    @claudio6032 2 года назад

    Good informations. Nice Grafics

  • @GhostfaceGZA
    @GhostfaceGZA 6 лет назад +1

    Was not expecting flashbacks to my sophomore year finance class

  • @animecuredmydepression6700
    @animecuredmydepression6700 2 года назад +2

    I would actually really hate when Netflix cuts the non original shows.. that’s their whole advantage to have both original and non original shows and movies

  • @RachelDavis705
    @RachelDavis705 6 лет назад

    This is well-done. My concern is that, sure, it's $8 now, but once they kill off traditional TV, then they will just cost as much as TV. I got Netflix and didn't get cable because it was way cheaper...

  • @ibrahimquraishi5775
    @ibrahimquraishi5775 2 года назад

    Hey I know that guy! It's sean fennesy! from the big picture podcast!

  • @ericmercado1067
    @ericmercado1067 6 лет назад

    Very well done! :)

  • @nsalem57
    @nsalem57 6 лет назад

    Excellent graphics!

  • @supaman3690
    @supaman3690 6 лет назад +2

    this content is top notch

  • @gianni.santi.
    @gianni.santi. 4 года назад

    This is a really good video.

  • @alexandergrace5350
    @alexandergrace5350 5 лет назад

    Great video. Surprisingly small number of views.

  • @imnoteliteglobal618
    @imnoteliteglobal618 3 года назад

    Your animation is awesome 🔥🔥🔥

  • @vishnudevvn1744
    @vishnudevvn1744 4 года назад

    What a great video!!!!

  • @jamief8521
    @jamief8521 6 лет назад

    I agree. More please.

  • @paperboy2154
    @paperboy2154 6 лет назад

    Really liked this

  • @USGraham
    @USGraham 6 лет назад

    that's a gorgeous video.

  • @folarinosibodu
    @folarinosibodu 6 лет назад

    Also you got Cash flow wrong. Cash flow is the net amount of cash and cash-equivalents being transferred into and out of a business. What you showed was regular income which is revenue - cost.

  • @mikedean6576
    @mikedean6576 4 года назад

    this is GREAT CONTENT!

  • @TheKing36052
    @TheKing36052 6 лет назад

    This video is definitely the fruit of the Ringer's partnership with Vox Media. Good video.

  • @cruzdt
    @cruzdt 6 лет назад

    Love this

  • @kristelchelseago7247
    @kristelchelseago7247 3 года назад

    What is the instrumental song here? It's so good.

  • @deltavagen9796
    @deltavagen9796 4 года назад

    5:00 anybody know what Show Or movie this is from

  • @TeacherPaulReacts
    @TeacherPaulReacts 2 года назад +1

    In 3 years it's already at 209 million

  • @utseay
    @utseay 5 лет назад

    This was neat AF

  • @anferneec
    @anferneec 2 года назад

    Have we got a 2021 update?

  • @Travelstylechic
    @Travelstylechic 3 года назад

    I wonder if Netflix take in sponsorship in their productions? Would that be a revenue steam?

  • @zadisma
    @zadisma 4 года назад

    I always wonder if a certain movie or series has more views than others will it get more income % every month? Or is Netflix just paying an agreed contract price at the start and that's it?

  • @bruno8685
    @bruno8685 3 года назад

    5:59 whats the name of this show/movie

  • @charliejamesoh1
    @charliejamesoh1 6 лет назад

    Quality ~content~!

  • @jameskreinbihl819
    @jameskreinbihl819 6 лет назад

    Awesome!

  • @deltavagen9796
    @deltavagen9796 4 года назад

    5:22 what is that Song called?

  • @justinhennessy6316
    @justinhennessy6316 2 года назад +2

    watching this in 2022 after the stock drop. crazy

  • @liamcollins09
    @liamcollins09 6 лет назад

    Good shit ringer

  • @abhayk1484
    @abhayk1484 Год назад

    Perfect

  • @AlexKayaian
    @AlexKayaian 6 лет назад

    Very nice

  • @maximumoccupancy
    @maximumoccupancy 5 лет назад +9

    I still don't get how they make money aside from subscribers...

    • @ScoreFromAugusta
      @ScoreFromAugusta 5 лет назад +3

      Delaying paying off debts from making the crazy amount content they are creating, which they can do because of investor faith in the continuing/future success of growing subscriber base.

    • @RobotHau5
      @RobotHau5 3 года назад

      @@ScoreFromAugusta Then I'm surprised that people think this will last. 2021 Disney+ is here and the ball is rollin'. Netflix can't sustain a value like that (assuming there really isn't any other way they're making money).

  • @jawbone1218
    @jawbone1218 3 года назад

    Great motion graphics. All the way. I'm insoried.

  • @khayle05
    @khayle05 6 лет назад +1

    More of this.

  • @ceezvelasquez932
    @ceezvelasquez932 3 года назад

    Anything you have to subscribe to and pay monthly... Pretty easy explanation

  • @RiversBliss
    @RiversBliss 3 года назад

    Blockbuster is that one grumpy very stubborn guy that is allergic to change.

  • @shanegrant8441
    @shanegrant8441 4 года назад

    $196 billion August 2020 bigger than Exxon Mobil?

  • @floxy20
    @floxy20 3 года назад

    As a stock market investor I find these gravity defying valuations almost comical. I guess some people don't realize there are companies out there paying their shareholders real money in the form of dividends and which enjoy significant barriers to entry for firms dumb enough to try to compete.

  • @suhridpaul4499
    @suhridpaul4499 3 года назад +1

    Make this content on 2020 please

  • @tct8284
    @tct8284 6 лет назад +2

    In the future, I could see Netflix making it harder to turn service off and making people sign long term contracts... I mean really you could do a Netflix for a month then Hulu for a month the Apple TV for a month whatever idk

    • @hazel5634
      @hazel5634 5 лет назад

      But that's not sustainable at only 3 months

  • @luf4rall
    @luf4rall 6 лет назад +4

    competition is good. we don't want netflix having the monopoly on streaming.

    • @3107karan
      @3107karan 6 лет назад

      Gwynbleidd they way they are making new shows all-over the world except china, its already becoming a monopoly...

    • @saikatbanik9359
      @saikatbanik9359 3 года назад

      @@3107karan now it's not

  • @hanmlee1716
    @hanmlee1716 6 лет назад

    Greet video

  • @GayAllTheWay2024
    @GayAllTheWay2024 4 года назад +1

    I hope Netflix stays and becomes more successful.

  • @brian_el
    @brian_el 2 года назад +1

    Nice. Streaming services are now just online cable tv. Instead of becoming convenient rental place that has all the content you want to watch, they become channel packages that you have to buy separately. Welp, here comes piracy.

  • @avocadoeyelash6685
    @avocadoeyelash6685 2 года назад

    Is netflix a private or public limited company?

  • @dunnock343
    @dunnock343 3 года назад

    “Unfortunate number of Adam Sandler movies” I felt that. He’s not the actor he use to be.

  • @notundermywatch3163
    @notundermywatch3163 3 года назад

    Sooo... How does Netflix actually make money if they are in deficit due to content production costs ? I suck at understanding this. Someone explain me please.

  • @pagesoflines
    @pagesoflines 6 лет назад

    Is it just me or does Fennessey sound shockingly like the Nerdwriter?

  • @pastorlandon
    @pastorlandon 6 лет назад +1

    I learned more watching this than all four years of High School combined

  • @FULANODETAL
    @FULANODETAL 4 года назад +1

    so daredevil cost 120 m ,,all payed by abc studios..how abc willl recover the budget of the 3 season ?

  • @anti-matter5874
    @anti-matter5874 3 года назад

    Seems like if anyone plans on making such a streming service have to come great.

  • @g4l430
    @g4l430 Год назад

    Netflix had it's hayday but now it has to be competitive. More than once it has canceled shows I support.

  • @robanderson6959
    @robanderson6959 4 года назад

    Which series' clip starts at 4:58

    • @ramakantsoni8340
      @ramakantsoni8340 4 года назад +1

      If u get it then tell me too..

    • @robanderson6959
      @robanderson6959 4 года назад

      @@ramakantsoni8340 Hao re yaaaaaar

    • @chase_saddy
      @chase_saddy 3 года назад +2

      American vandal. One of the best shows. Season 1 is AMAZING

    • @chase_saddy
      @chase_saddy 3 года назад +2

      @@ramakantsoni8340 said above

  • @tbpp6553
    @tbpp6553 4 года назад

    Why does Netflix want no ad money?

  • @Omzsiddiqui
    @Omzsiddiqui 6 лет назад

    i fuck with this

  • @ariqkamil571
    @ariqkamil571 3 года назад

    but how much Netflix pay for a movie and series?

  • @devantierney3987
    @devantierney3987 3 года назад

    woah google says 203 mil users now

  • @jordanleighton6893
    @jordanleighton6893 3 года назад

    This aged surprisingly well