To adapt to modern streaming audiences on Netflix, the 56-year-old Sesame Street brand is streamlining its content. The new strategy involves fewer characters and more music, demonstrating how even established media properties must evolve their core format to capture the attention of new generations on new platforms.
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Instead of buying entire sports seasons, Netflix acquires single, high-impact events like a Christmas NFL game. This 'eventizing' strategy creates maximum buzz for a lower relative cost by turning content releases into unforgettable, can't-miss dates on the cultural calendar.
Hollywood's current crisis is self-inflicted, stemming from a decades-long failure to adapt its business models and economics. Instead of innovating to compete with tech-driven services like Netflix, the industry persisted with inefficient structures and is now blaming disruptors for inevitable consumer-driven changes.
Despite competing with short-form content like TikTok, Ken Burns' long documentaries succeed because they are built on compelling storytelling. This challenges the myth of shrinking attention spans, suggesting instead that audiences demand more engaging content, regardless of its length.
"Culture" is often used too broadly. Brands should focus on "Little C" culture by tapping into existing pillars like music or sports. "Big C" culture—macro societal shifts—is a rare feat achievable only by platform-level brands like TikTok.
To grow an established product, introduce new formats (e.g., Instagram Stories, Google AI Mode) as separate but integrated experiences. This allows you to tap into new user behaviors without disrupting the expectations and mental models users have for the core product, avoiding confusion and accelerating adoption.
By depicting a Black couple as property owners in the 1960s, Sesame Street's creators used its fantastical setting to present an idealistic social vision. This strategy aimed to shape children's perception of what is possible and normal, making aspirational concepts like Black homeownership feel attainable.
For 20 years, Netflix's identity was built on 'no ads, no live sports, and no big acquisitions.' Its recent reversal on all these fronts to maintain market dominance shows that adapting to new realities is more critical for long-term success than rigidly adhering to foundational principles.
Strict adherence to brand cohesion often stifles creativity and results in subjective boardroom debates. Brands achieve more by focusing on creating relevant, timely content that resonates with their audience, even if it occasionally breaks established stylistic guidelines.
Netflix's content strategy has adapted to the reality of dual-screen viewing. Realizing audiences are often on their phones, they produce shows that are easy to follow in the background. This involves constant plot "signposting" so a distracted viewer can look up and immediately understand what's happening.
Creator John Stone's epiphany to set the show on a city street came from a "Give a Damn" campaign ad showing children in Harlem gutters. Instead of replicating the despair, he chose to create a positive, harmonious counter-narrative set in a familiar but idealized urban environment.