As the rivalry between Netflix and YouTube escalates, analyst Steven Cahall recommends that Netflix adopt short-form video to enhance viewer engagement. He suggests that Netflix could attract content creators from YouTube through exclusive multi-year contracts. By incorporating short clips, Netflix can cater to younger audiences who prefer quick, digestible content, thereby potentially closing the viewership gap with YouTube. The strategy could improve Netflix's mobile experience and offer creators greater financial security, addressing a key drawback of YouTube's pay-per-performance model, thereby creating a mutually beneficial situation for both Netflix and its content creators.
Cahall thinks Netflix could lure creators from YouTube by promising exclusive multi-year deals, which could significantly enhance viewer engagement and habits.
Netflix should embrace high-value short-form content to close the widening viewership gap with YouTube, especially among younger audiences preferring brief videos.
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