How does streaming sites like Netflix profit with their original shows?

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Movies that are released in theaters can profit by ticked sold, merchandising and ad revenue but what about streaming sites originals, those only available in digital form and exclusively in their platforms?

In: Economics

14 Answers

Anonymous 0 Comments

They make money by having people pay for subscriptions. The more people that sign up to watch their original shows, the more money Netflix makes. They also keep people subscribed by always adding new content, which keeps viewers excited and coming back for more. Instead of making money from ticket sales like in a theater, they profit from lots of people paying every month to watch shows at home. (mod: r/NetflixByProxy)

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