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Leverage their customer intimacy Netflix Inc: the second act moving into streaming. Through the shrewd utilization of technology, Netflix had cultivated a tremendous amount of intimacy with its customers. As its operational backbone, the company had invested heavily in its website technology. Invisible to the customer was a state-of-the-art system that captured mass quantities of empirical data, amalgamated the given data points into appropriate bins, applied germane analytics to the data, and postulated on future customer desires. This complex system enabled Netflix to specifically tailor its website for each individual, resulting in a one-of-a-kind experience for every Netflix subscriber. The site provided recommendations, requested ratings, offered customer reviews, and created genre names that are unique and adapted to every customer. This provided a connection between the company and its patrons where the customer was motivated to remain engaged. The more information a subscriber provided to Netflix, the better was their long-term experience. In return, Netflix reaped tremendous benefit. Moreover, Netflix possessed a tremendous amount of information regarding

customer preferences and purchasing trends, all of which it used to not only better their service but also as leverage when dealing with suppliers and advertisers. Finally, Netflix deliberately targeted movie aficionados that saw value in the information provided to them by Netflix and other likeminded subscribers in the chat rooms that Netflix facilitated. This led to a virtuous cycle that created loyalty from subscribers and Netflixs ability to make content available (often at lower costs than blockbuster movies) that cemented this loyalty.

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