Spatially Determining Netflix Target Audience in Toledo, OH By Jimmy Thompson April 25, 2008 Project Idea I subscribe to Netflix and I like it So many questions about the company Where do the DVD’s come from? How long has it been around? Who is most likely to subscribe to their service? How do they decide where to advertise the most? Initial Idea Determine if Netflix is pushing local video stores out of business Find out who the common Netflix customer is Determine who they target through advertisements Actual Project Using four different factors determine who would be a good customer then apply that to a spatial layout Four Factors: Location Convenience Income Age Netflix Background Began by two friends working for a software company in 1997 Began selling monthly subscriptions to DVD service in 1999 2007 net income = $66.9 million Spend $300 million annually in postage Employ over 1,400 employees Netflix Headquarters in Los Gatos, CA Toledo Video Rental Stores Yellow pages website Excel spreadsheet Address Locator using the Lucas County street shapefile as a reference Geocode Location Factor ½ mile and 1 mile buffers Chose 1 mile buffer Many things effected this decision People are exercising more Gas prices are high Target age Convenience Walmart, grocery stores Day to day routine Video rentals are only 3 to 5 days long usually Income Level Higher than average median income American Fact Finder website Joined table to Lucas County census tracts Range from $0 to $99,908 Natural breaks, 7 classes Population Factor Similar style to income layout Natural breaks, 6 classes Total population to get a feel for where video stores are located Target Population Age 22 to 39 Natural breaks, 5 classes Create field, field calculator to get target age Population Within Walking Distance 1 mile buffer Total population Target population Two Types of Netflix Target Customers Traditional Customers Nontraditional Align with four factors Customers • Location Don’t align with • Convenience predetermined factors • Income Based on need or lack • Age of product available Entertainment Data Sources ESRI- Census TIGER American Fact Finder Yellow Pages website Exciting Skills I Used Erase, and Proximity Buffer in ArcToolbox Geocoding (my favorite) Join Tables Using Field Calculator Difficulties Along the Way Joining the tables- determing which field to base the join on (Thanks Angel) Remembering to Define the Projection of the street file before creating an Address Locator Biggest Problem- narrowing down my project to goals I could achieve Further Development Video stores that are no longer in business Develop automobile convenience as well as include public transportation Economic factor- video rental costs versus Netflix monthly subscription Thank You For Your Kind Attention Are There Any Questions?