Is There Room in this Market?

This is a response to Julia Tran‘s post on a new Netflix rival and Amanda Bamford’s response to Julia’s post.

Dubbed shomi, the content streaming service will debut during the first week of November and cost $8.99 a month.  versus 

With businesses who have attempted to take on the giant Netflix and having failed, the possibility to beat Netflix seems difficult. But Canadian users know, the content available to us is quite a bit less when compared to our southern neighbors and certainly not up to date. With an estimated 4 million subscribers in Canada, having an up-to-date service with the same variety of programs as Netflix provides, at the same price, would be an ideal and appreciated service.

This move on behalf of Rogers and Shaw in my eyes is a smart move. With millions of people turning to online streaming, it comes down to who provides a better service. If Shomi in the long run ends up providing a better service than Netflix at the same price, I wouldn’t mind making the switch.

However, the journey to make Shomi a success in my eyes seems difficult. Shomi, for the time being, will only be available to paid TV users of Shaw and Rogers, leaving many who don’t used paid television without the service. Netflix is just more widely available, and because anyone can subscribe to it, it gives them the advantage in the market.

Also, as discussed in class 8, Netflix is already such a well established brand. The company has already made a lasting impact on consumers’ minds, and other than the lacking content, the impression Netflix has left is a good one. I agree fully with Amanda’s view that it will be very difficult for Shomi to replace the image and impact Netflix has built up over the last 4 years.

But as the article about Shomi in the Canadian Business states, “there is room in the market for an additional service in Canada because the appetite for movie and TV content online is only increasing and Canada is undeserved.” There is definitely room for a new service come in parallel to Netflix and make its place. I wish Shomi the best in the steep climb to their success that I perceive ahead. In the end, we want good service, and I hope that the one providing the better service will be the winner of this battle! 🙂

Works Cited

Bradshaw, James, and Christine Dobby. “Shomi Gives Rogers, Shaw a Toehold on Netflix’s Turf.” The Globe and Mail. The Globe and Mail Inc., 26 Aug. 2014. Web. 01 Oct. 2014.

Nowak, Peter. “Don’t Underestimate Netflix Rival Shomi.” Canadian Business. Rogers Media, 27 Aug. 2014. Web. 01 Oct. 2014.

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