Don't pull a Netflix

Posted in: Blog, Web Marketing

Oh Netflix. 
Observing Netflix operate over the last few months has been a little bit like watching a train wreck. You want to look away but you can’t and no matter where your eyes and thoughts are focused you can’t help but shake your head. Let’s pull something positive out of this situation — while watching Netflix dig their own grave is uncomfortable and unfortunate there are lessons to be learned. What could Netflix have done differently? What should we avoid in our own business dealings?

Just in case you haven’t heard what’s been going on in the world of red envelopes and streaming movies, in July Netflix notified customers via email, blog and social media that there would be a change/split in services and pricing for Netflix subscribers. With no preparation and little to no explanation as to why, their customers flipped out. Netflix loyalists were dropping like flies and scathing comments plagued the social web.

Netflix did nothing.

That is until Sunday, September 18 (two months later). Netflix CEO addressed the issue with a statement/apology released to Netflix subscribers via email with highlights posted to the Netflixblog. Turns out the company (Netflix) has revamped their services to focus on streaming technology while new company, Qwikster will continue with the mail and online movie services that Netflix customers have come to love. Why didn't you say that in the first place?

Unfortunately, Netflix hit another bump in the road post Qwikster announcement when they learned that the Twitter handle @qwikster was owned by a blunt-toking, f-bomb dropping, Elmo-loving student whose tweets could be considered "Rated R." The hits just keep on coming. 

While Murphy's Law takes hold of the Netflix/Qwikster business launch, let us all take notes and learn from the situation. Here are some things to keep in mind:

Your customer is human.
Let’s face it, humans don’t like change and they don’t deal with it well. If you are going to switch up process, policy or price; start prepping your customer yesterday. Develop a communication plan or hire an experienced agency to take care of it for you.

Don’t ignore your customers
If one of your customers makes a complaint or negative comment about your company, address the situation, especially if this happens in a public forum. Whatever you do, don't ignore the issue. Complaints and negative comments won’t sink your business if they are addressed in a proper manner.  Replying to comments shows the customer that you care about them (this is also called customer service).

Social media matters
Whether you like it or not, social media is here to stay. It gives your company or brand a direct communication pipeline to the consumer. Use it.  Monitor what people are saying about you and talk back. It’s easy and free. In this day in age, your social media presence is just as important as your website. 

Do your research
If you are entertaining the idea of starting a new company, write down a few ideas for the name on a scratch piece of paper. Then…see if those names are already copyrighted. Check if the domain name is available and also make sure that the Facebook vanity url and Twitter handle are not taken.  If they are all available, snatch them up and THEN make a huge announcement to the public. Just sayin. 

Good luck out there. Whatever you do, don't pull a Netflix. 

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Don't pull a Netflix