“Netflix and Chill!”.
This statement has become a familiar phrase and represents a whole lifestyle attached to it. Netflix is now synonymous with comfort and entertainment, and it is not just social media hype.
With a selection of some of the best in world media, and new original content coming out regularly, Netflix has hugely changed the way people consume media.
Netflix has also ushered a new wave of video streaming services that bring niche content to the users, and people have welcomed this new way of curating their favorite media with open arms.
If you’re interested in making an app like Netflix, this might be the best time to jump into the arena. With a little bit of tinkering, you can come up with the hot new trendsetter app like Netflix.
We’re going to discuss all things Netflix, and we’ll also try to establish the development costs involved in the making of such an app. So, without further ado, let’s begin!
Video streaming on the go is a long way from tuning in to your favorite show on the television. It was just a few years ago that movie night meant renting a movie and sitting down at a planned time to enjoy it. But thanks to all the technological advancements in this direction, you can now enjoy your favorite shows and movies anywhere you want, given you have a smart device and access to the internet.
Netflix is one of the leading, if not the leading online streaming service providing people with endless entertainment twenty-four seven, all year round. The tremendous popularity and growth that Netflix has seen have made it a highly sought after idea. Entrepreneurs see the appeal of developing ideas with the same soul, and if you’re interested in developing something similar, this might be the time for you to get started!
More about Netflix?
Founded in 1997 by Reed Hastings and Marc Randolph in Scotts Valley, California, Netflix is an American technology and media services provider and production company. Initially, the company provided rental services, along with DVD sales and rental by mail service. However, Netflix removed the sales and rental by mail aspect of its offerings and focused on the rental service.
It wasn’t until 2007 that the company introduced streaming media to its list of offerings. The company expanded its business in 2010 and went international with service in Canada, followed by Latin America and the Caribbean. In 2013, Netflix entered the content-production industry and released its debut series House of Cards. Since then, Netflix has been on a roll and has become the Giant that you see today!
Here are some interesting facts about the company.
- About 12.6% of the worldwide downstream internet traffic is Netflix (As of 2019).
- Netflix accounts for almost 19% of online video subscribers worldwide, and about 44% of the total streaming service subscribers are with Netflix.
- Netflix has over 1500 original Titles to date.
- Over 40% of Netflix subscribers are in the US and Canada.
- Netflix’s personalized recommendation engine is worth around $1 Billion (or more) per year.
- As of April 2020, Netflix is worth over $162 Billion.
- In 2019, Netflix reported over $20.15 Billion in revenue.
- So far, Netflix has received over 430 award nominations and has won 0 awards for its original creations.
- As of 2020, Netflix is still the leading video streaming service provider, with about 167 million subscribers.
How does video streaming app like Netflix work?
Since 1997, Netflix has changed a lot!
Initially, the company offered its users physical copies of movies, shows, video games, and other forms of media through the mail. Although Netflix made changes in its structure and offerings soon after, it wasn’t until 2007 that Netflix started offering streaming services to its customers. It was then when Netflix blew-up.
Here’s how Netflix operates today.
- Netflix has alliances with multiple partners such as Smart TV companies, Companies in the Gaming industry, TV Networks, Producers, Writers, Comedians, and so on, helping it maintain its development and growth.
- Netflix provides its worldwide viewers 24/7 access to a big selection of media, at reasonable pricing. Thanks to Netflix’s deals with various service internet providers, users have better access to the titles, with easier streaming, even if users have poor connections.
- Users can connect on multiple platforms, anywhere, enjoy original content from Netflix, receive recommendations and avoid advertisements, get a free first month, and cancel the service any time they want. Netflix provides excellent customer service, and users can conveniently enjoy and share media with their friends.
- There are more than 150 original titles from Netflix, and people can enjoy them through online website Tv apps, Gaming Consoles, and DVD delivery (yes, Still!).
- Netflix earns money by charging Users Monthly or yearly subscriptions that users can cancel anytime they want. Netflix offers the first month of the service free to its users and then bills them on a monthly or yearly basis. Netflix has three subscription plans; basic, standard, and premium. Netflix also offers gift cards that its subscribers can avail of discounts and other gifts.
- Netflix’s main areas of focus are purchasing rights to increase its library, original productions, costs relating to R & D; Artificial Intelligence; Recommendations Engine, DVD, and mail-related costs, and Subscription management cost.
Now, let’s find out what you need to make a similar, but unique, video streaming App.
Factors Determining the Cost of Netflix like app Development are as follows.
1. Features
The total cost of developing an app like Netflix depends on the features that you’re trying to incorporate in your app. There are some fundamental features, and along with those, you can also add other features to make your app unique. Here are some of the most basic features that your app needs to have.
a.) Subscriber’s Registration
Developers will likely start with the registration and login portal. Using this, subscribers can register for an account and later login. It can take around 30- 32 hours.
b.) Subscription and Payment Gateway
The subscription and payment gateway can take developers 75-80 hours to develop. Users can choose from and pay for various subscription packs that Netflix has.
c.) Subscriber Profile
Here, users can input information about themselves, personalize their profile, save preferences like genres, shows, movies, etc., upload videos, and so on. Developing this feature will take around 15-18 hours.
d.) Push Notifications
The push notification feature allows users to receive information about various activities in their profile. It can take anywhere from 20-24 hours to make. ‘
e.) Search
Based on a lot of various factors, users can search for content that they want to see using this feature. It is an essential part of your app and can take around 20-22 hours to develop.
f.) Ratings and Reviews
Users trust reviews on the platform and they also make their decisions based on the ratings, so it is an essential part of your app. It can take around 40-45 hours to develop.
Overall, it can take the developers anywhere from ten to twelve weeks to finish developing the features for your app.
| Feature | Time |
| Subscriber’s Registration | 30-32 Hours |
| Subscription and Payment Gateway | 75- 80 Hours |
| Subscriber Profile | 15- 18 Hours |
| Push Notifications | 20- 24 Hours |
| Search | 20-22 Hours |
| Ratings and Reviews | 40- 45 Hours |
2. Design
The whole layout of your app, everything that the users will be looking at, it’s all part of the design. Depending on how you want your app to look and feel, this part can anywhere from 100-120 hours to 3 weeks. The designing part of the process covers WireFraming, PSD designing, and Final App Design. The cost of your app also depends on how complex you want the design to be.
3. Techstack
Techstack is the underlying structure of your app. Using your wireframe, various software, and relevant languages, developers can complete the app. There are a variety of tools that developers can use, and depending on that, the cost of development can vary significantly. The language and framework that the developers are working with, the server that’s in use, other software that are in use determine the cost.
4. Platform
The app-building platform that the developers use for development, and what platform (iOS, Android, or both) makes a lot of difference in the overall cost of production. The number of users you can reach increases considerably if you develop an app for both platforms, but you can also stick to either iOS or Android. Usually, developing an app for Android costs slightly more than that for iOS.
Also, the app-building platform that the developers use also changes things cost-wise.
5. Who is Developing
You have a lot of options when it comes to choosing developers for developing your app. There are a lot of developers available to you. Depending on your preference, you can shortlist a couple of options, and choose whoever suits your requirements.
Some firms provide better service than others; that’s how it is. Based on that, the development charges for different developers can vary as well. It is up to you to make a compromise that’ll be convenient for you.
On the individual level, developers in various parts of the world may charge you differently. For example, in the US and Canada, usually, the developers might cost you $50-250 per hour, whereas, in Australia, the charges can be $50-150. In Asian countries, the rate can be anywhere between $10- $80 per hour, whereas, in Western Europe, the charges are $35- $170 per hour, and $25- $150 in Eastern Europe. The rate for every developer can vary depending on factors like the experience of the developer.
| Area | Hourly Rates |
| US & Canada | $50- 250 / Hour |
| Australia | $50- 150 / Hour |
| Asia | $10- 80 / Hour |
| Western Europe | $35- 170 /Hour |
| Eastern Europe | $25- 150 /Hour |
Hidden Costs
Other than the costs of development, your app also has some expenses that might not be apparent to you right away. These also affect the overall expense of making an app. Some of the main hidden costs that come with your app are-
- Administrative services (App updates, User management, etc.)
- Infrastructure services (servers, CDN, etc.)
- Functional services (SMS, Push Notifications, Email, etc.)
- IT support services (updates to your app, bug fixes, etc.)
These are some of the most common hidden costs that you might have to give while getting your app developed.
| Hidden expenses | Charges |
| Push notifications | $2,400/year |
| APIs | $5,000/year |
| CDN | $3,600/year |
| Social & chat integrations | $1,200/year |
| Development tools, libraries, and support | $1,200/year (or more) |
| iOS and Android updates | $10,000/year |
| Images data | $4,800/year |
| App update submissions | $2,400/year |
| Data storage | $3,600/year |
| Servers | $12,000/year |
Conclusion
Netflix might be a giant, but there’s still so much to explore in the industry. There are no limits to the possibilities and experiences that can open, with one good app idea. Developing an app like Netflix is a good idea at the moment. If you have the right content, an app like Netflix can help you generate high returns for your content. But you have to have a vision and plan to achieve success afterward.
Developing an app means spending a lot of money. We have discussed various factors that determine the cost of the app development and the hidden costs involved with an app, so you can also prepare for that.
We wish you all the very best with your idea!