Of course, Cang Yaozu knows Reed Hastings, who is the founder of Netflix, and Mark Randolph is the co-founder of Netflix.

Netflix is also known as Netflix, many people may not know it, but it is indeed a company that changes the industry. Challenge Blockbuster, the giant in the video rental industry, enter the streaming media industry, benchmark YouTube, start filming self-made dramas, and challenge Hollywood.

Successfully triggered a chaotic war of streaming media + film and television giants. Apple, Disney, Hulu, YouTube, Amazon, NBCUniversal have all joined the fray.

So what is the fundamental reason why Netflix competes all the way, keeps fighting and wins, and its market value exceeds 100 billion and 200 billion?

Cang Yaozu thinks that it is people, or technology. The first 5 years of Netflix's start were very hard, but the reason why it was not defeated is because they have advanced Internet + concepts and the application of big data technology.

These two magic weapons can make Netflix not afraid of any opponent.

Netflix had to face the competition of the industry giant Blockbuster at the beginning, and relied on adhering to the offline + online "Internet +" development route, survived and survived the industry giant Blockbuster.

Offline + online, this is the early O2O, and this is what Mark Randolph brings. Mark Randolph has been engaged in the field of direct mail marketing since he graduated from college in 1981, which can be said to be the starting point of e-commerce.

Marc Randolph has a keen and unique understanding of his clients, and his uncle is Edward Bernays, the famous father of modern public relations.

Mark, who inherited his uncle's philosophy of liberating the subconscious desires of love, respect and sexuality, applied them to the actions that shaped the modern consumer at Citi, and like his uncle, he was obsessed with studying how product propaganda could be used to induce consumers to behave in a particular way.

Netflix's big data genes come from the founder, Reid Hastings, who majored in mathematics and is good at algorithm design.

Reed's great-grandfather, Lumis, was a famous mathematical genius of the last century, and he put his mathematical talents to stock investment.

The math DNA is deeply ingrained in Reed's body, and since his sophomore year of college, Reed has repeatedly won the highest math awards in the college he attended.

Reed, who was looking for the perfect mathematical algorithm, spent his life defining all kinds of nature and man.

It can be said that Netflix's success is closely related to Reed Hastings and Mark Randolph.

The dinner was arranged at the Beverly Hills Montage Hotel, where Cang Yaozu, Jennifer Aniston, Thomas Toole, Robert Iger, Reed Hastings, and Mark Randolph sat at a large table, and several people chatted while eating.

Mark Randolph is very sociable, and he talks and laughs with Thomas Toole and Robert Iger. Cang Yaozu and Jennifer Aniston chatted a lot, and the two of them were hot. Robert Iger and Reed Hastings had a little less to say.

When the meal was finished, the waiter brought the coffee, and several people began to talk about the topic. Robert Iger invited Mark Randolph to set up an e-commerce platform that would sell and rent movies, TV tapes, comics and various movie merchandise.

Robert Egger sent a formal invitation to Mark Randolph: "We agree with Mr. Marc Randolph's e-commerce concept and hope that you will lead the project. ”

Mark Randolph glanced at Reed Hastings, and then said: "Thank you Marvel for valuing us, I am very willing to engage in the e-commerce business, but unfortunately, Reed and I are planning a new entrepreneurial project." ”

Robert Iger asked, "Oh, so what industry do you plan to work in? Is it also e-commerce? Just together, we have a lot of resources, enough funds, and you have technology and ideas, so we just happen to have a big scene together." ”

"Mr. Egger, I hear that your plan is a little messy, are you going to target Blockbuster or Amazon? Reed Hastings interjected suddenly.

Robert Iger smiled and said: "Yes, these two opponents are very strong, and our e-commerce category will only be related to film and television, which is our main business."

Of course, there are comics, although comics belong to books, but they are one of the more special categories, and our Marvel will create a series of superhero movies based on comics in the future, so comics can actually be counted as movie peripherals.

In terms of books, there will be some film biographies, movie script publishing, original novels, and there will be no more book categories. Therefore, the initial competition with Blockbuster should not be Amazon, and there will be more competition with Blockbuster in the early stage, and there will be differentiated competitive categories in the later stage. ”

"So how are you going to compete with Blockbuster, which is a subsidiary of Viacom, and Mr. Lei Shidong bought Viacom for $7.6 billion two years ago. ”

"We will build a flagship experience store + regional warehousing center + online rental and sales model, and the biggest difference with BesTV is that the goods are different, PesTV rents videotapes, we rent DVD discs, and we do not charge late fees. ”

"Well, Mr. Egger, we really have the same idea, and we actually want to do this part of the business as well. However, my idea is a little different from yours, I hope to use the model of Internet companies to do video tape rental, and use the business model of online e-commerce to reduce costs.

Mr. Iger, you may not know, but I am good at algorithm writing optimization, which can comprehensively optimize the recommendation function of the website, increase the conversion rate of users, so that the profit will come soon. ”

"Well, great idea, I would like to invite Mr. Hastings to be the CTO of the new company, I wonder what you think?"

"Oh, no, Mr. Iger, I want this company to be led by me, I can lead the company to a quick profit, I just led a company to go public last year. I have a lot of experience with this. ”

"We can talk about the specific shareholding ratio. Mr. Hastings, we initially expect to invest $100 million in Los Angeles. By the way, we're going to be shooting superhero movies in the near future, and we're going to be releasing a lot of new comics, so the company needs to start quickly. ”

"This company doesn't need so much money in the beginning, we can invest three to five million to make a website. And it's better for the company to be founded in Silicon Valley, where the atmosphere is more suitable for tech companies and there are enough technicians. ”

"This, Ah Yao, what do you think of Mr. Hastings's statement?" Robert Iger disagreed with Hastings' insistence, but he didn't directly refute it, so he asked Shimokura Yaozu's opinion.

"It's okay if the company is built in Silicon Valley or Los Angeles, and if you have money, you will have people, even if it's as far away as Las Vegas.

In the Internet era, the key to the survival of enterprises is speed, and we cannot procrastinate and wait, which will drag a promising company to death.

As long as the concept is correct, Internet companies can use a large amount of funds to smash out a large number of users, and a large number of users will attract more funds, and so on, generally not more than 3 years before the company can go public. ”

Mark Randolph agreed with Cang Yaozu's statement, but he saw that Reed Hastings' face was a little ugly. He knew that Reed had always wanted to start a business again, so they studied the business model of Blockbuster for a period of time, and found a loophole in Blockbuster, that is, Blockbuster's late fees made users criticize, and the two also noticed the emergence of DVD players, and they thought that they could launch a DVD disc rental business to avoid head-on competition with Blockbuster, and win the market and users through differentiation.

"This, Mr. Cang, is it, rapid expansion is too risky, aren't you afraid of investing in waste?"

"No, now the development of the Internet is the trend of the times, every industry must embrace the Internet instead of resisting, we have a saying in China: those who follow the trend live, and those who go against the trend die.

If it violates the law of development of things, no matter how powerful it is, it will be wiped out. Those who conform to the law of development of things will not be far worse no matter how bad they are. ”