Boston, MA 09/17/2014 (wallstreetpr) – Netflix, Inc. (NASDAQ:NFLX) is moving abroad, and the move is as fast as it is ambitious. The company is interested in tapping bigger revenue from the international market. Europe brought in about $400 million in 2013, almost a half of its international revenue for the year, The Wall Street Journal stated in an article. However, the company thinks it can do more and that is why it is pushing into more European countries.
The streaming video provider announced expansion into six European countries in its latest major international move. The company targets expansion into France, Germany, Belgium and Switzerland, almost in that order because France has been the first to go live with Netflix. The company introduced its video streaming on the market, with various tweaks in its content, such as translations and new products, to meet the demands of the country’s audience.
Global expansion in 3-5 years
In Europe, Netflix, Inc. (NASDAQ:NFLX) can offer contents that are too expensive to license at home, and that makes economic sense for the company. The company has plans to expand into more European markets, especially to the Eastern and Southern Europe, starting next year. The ultimate goal in the ongoing market expansion is to capture the global market in next three to five years.
Competition
Although Europe is a promising market for Netflix, Inc. (NASDAQ:NFLX), the company is expected to battle other established players for the control of the video streaming market. The major rivals include Vivendi whose pay-TV service, Canal Plus, offers CanaPlay, which is almost the same service like Netflix.
The expansion of Netflix into the targeted six European countries is expected to be a weeklong project. The company hopes that the rollout will boost revenue beyond the $400 million that came from Europe last year. The expansion is also expected to lead to better overall profits and even lay the groundwork for further expansion in the region and other international markets. Left unsaid is that the Netflix, Inc. (NASDAQ:NFLX) is likely to be confronted with the European unease with the U.S. tech.
