OVERVIEW
A video store is planning to use its existing film licenses to launch an online video rental service in order to stay competitive.
OBJECTIVE
Propose strategies for engaging customers for a new online video service, based on customer behavior and current film collection.
ASSUMPTIONS
Films of certain genres and ratings are more popular than others. Some countries have higher customer bases than others.
SKILLS
- Cleaning and Summarizing
- Joining Tables
- Relational Databases
- Database querying
- Subqueries
- Common Table Expressions
PROJECT STORYBOARD ON TABLEAU PUBLIC AND GITHUB REPOSITORY
CHALLENGES
Rockbuster Stealth is facing stiff competition from streaming services such as Amazon Prime and Netflix. Senior management wants to launch an online video rental service, but it needs to better understand where to focus the company’s resources. They want to know which movies contributed the most revenue gain, where their customers are based, and the locations of their most loyal customers.
ANALYSIS
An analysis of Rockbuster’s existing film collection evaluated the make-up of the collection by rating and genre as well as the average time films are rented, average rental rates, and replacement cost. The films are fairly event distributed across genre and rating.
PG-13 films generate the most revenue, but not significantly more than films of other ratings. Genre tends to be a better predictor of revenue. Sports and sci-fi films bring in the most revenue, while music and travel films bring in the least.
Customers are distributed worldwide, but some countries have a stronger customer base. Clients might not actively use Rockbuster’s services, but only 3% have deactivated their accounts. Further analysis revealed the top cities in the top countries, as well as the top spenders in each of those cities.
RECOMMENDATIONS
Focus Marketing on Top Countries: The top five countries in terms of revenue and number of customers are India, China, the US, Japan, and Mexico. Focus marketing efforts on those countries.
Grow the Film Collection: Currently, Rockbuster Stealth’s entire film collection includes films in English. While Rockbuster management intends to use its current licenses to move to an online platform, future film buys should include films in languages in Rockbuster’s top countries to appeal to that customer base. Also, future film buys should be in the most popular genres and ratings.