Netflix Giving Away Movie Tickets for $120 Jun, 2012 By: Erik Gruenwedel
Netflix has launched a marketing campaign whereby non-subscribers in select markets can receive two, $13 movie ticket vouchers for $1 after they sign up for a free one-month trial and stream at least three movies or TV programs.
Los Gatos, Calif.-based Netflix is offering the promotion through Google Offers, the social media platform’s alternative to Groupon.com. Consumers who sign up for the promotion also agree that their name and contact information can be used by third-party businesses and marketers.
Noteworthy to the promotion, is that users must first stream at least three programs into the home or on portable media devices before they receive the theatrical vouchers.
Richard Greenfield, analyst with BTIG Research in New York, first noticed the campaign earmarked for theaters in uptown New York. Greenfield said the campaign underscores Netflix’s ratcheted efforts to achieve management’s year-end goal of 7 million net new subscribers.
He said the promotion to specifically target toward moviegoers is an effort to showcase the benefits of SVOD in home entertainment prior to frequenting the theater.
In addition, Netflix is expected to get increased SVOD competition in the second half of 2012, including a new Kindle Fire tablet directly tied to Amazon Prime and the much-anticipated launch of co-branded digital platform from joint partners Redbox and Verizon.
Finally, Netflix's foray into original programming beyond February's bow of dark comedy “Lilyhammer,” is now expected to occur in 2013; not late 2012, according to Greenfield. Original programs slated to launch include "Orange is the New Black," "House of Cards" and "Hemlock Grove," and "Arrested Development."
“We continue to believe the increasing amounts of digital in-home entertainment options (such as Netflix) will continue to negatively impact movie theater attendance trends – the hurdle rate to ‘get up and go’ to the movies is moving ever higher, particularly given the pricing of a movie ticket relative to new forms of home entertainment,” Greenfield wrote in a June 20 blog.