The next stop for Netflix’s monthly-subscription service of unlimited streaming video is the Netherlands, the company announced today.
The move is part of Netflix’s overall business strategy to bring its service to foreign markets using profits from its domestic business. The company has already launched successful expansions into Canada, the U.K., Ireland, Latin America, Norway, Denmark, Sweden, and Finland. In the past, entrance into new markets caused Netflix’s overall profits to dip, which wasn’t popular among investors. But after this latest expansion, it promised to slow down those efforts.
It makes sense for Netflix to continue its expansion into Europe for several reasons. One of those is definitely the impending threat of competition from Amazon’s European streaming-video service LoveFilm — not to mention HBO’s entrance into the Nordic region. If Netflix can establish its dominance in these new regions before anyone else, it has a much better chance of succeeding long-term.
Netflix service in the Netherlands will follow the company’s business model for other regions, meaning you’ll pay a low monthly subscription fee for an unlimited amount of TV shows and movies. The company didn’t disclose what that monthly price would be, nor did it reveal any of the content that will be available to those in the country.