Netflix has taken over online streaming, but this didn’t happen over night and a lot of work has gone into making Netflix a well-oiled machine. This infographic from Frame Your TV looks at how Netflix has used big data to help drive their business forward.
Even when Netflix was still primarily a DVD-mailing business they launched a competition and offered $1 million to the group who came up with the most efficient algorithm for predicting how customers would like a movie based on previous movie ratings. Even though the winning algorithm has been revised since, the key elements remain the same.
Each time you put on Netflix it’s vital that you find something to watch quickly or you might go on to YouTube or download a movie instead. Netflix estimate that its algorithms save $1 billion a year in value from customer retention as we always find something to watch when we visit the site. Check out the full infographic now.
