Netflix signed a one-of-its-kind deal with Marriott Hotels that will transform the way people enjoy television in hotels on Wednesday. The deal will allow some Marriott hotels to offer a Netflix app on in-room televisions to facilitate guests with a feature to stream their preferred TV shows, films and other entertainment services. For now, the streaming service is only available in six hotels in the U.S., though more Marriott facilities are also expected to feature the service soon.
A win-win for Netflix and Marriott
Using the Netflix app, guests who already have their accounts on the platform just need to log-in into the service once, and they will remain signed in till until they leave. Considering that such users would be streaming content through their own accounts, they would be able to resume a show from where they left it and could also view other recommendations tailored to them. Moreover, new users can also enjoy the streaming experience by subscribing for the service that includes a 30-day trial period. This could in turn lead to more people subscribing for Netflix, which already has more than 40 million users in the U.S.
This Tiger Cub Giant Is Betting On Banks And Tech Stocks In The Recovery
The first two months of the third quarter were the best months for D1 Capital Partners' public portfolio since inception, that's according to a copy of the firm's August update, which ValueWalk has been able to review. Q2 2020 hedge fund letters, conferences and more According to the update, D1's public portfolio returned 20.1% gross Read More
On the other hand, Marriott hotels can become more attractive to guests who like to enjoy streaming services, while they are traveling. Thus, the deal can be beneficial to both Netflix and Marriott. Matthew Carroll, vice president of brand management in Marriott Hotels, notes that the partnership with Netflix demonstrates a shift in the way the consumers prefer to watch media content. Moreover, Carroll said that as users “are choosing to take their streaming content with them when they travel, Marriott Hotels is making the industry’s first roll-out of Netflix a priority.”
Declining popularity of in-room services
With this deal, Marriott becomes the first company in the hotel industry to feature Netflix. Along with its six hotels, the hotel brand plans to introduce Netflix as part of in-room entertainment facilities in about 100 hotels by the end of this year, and in more than 300 hotels by the end of 2016.
Netflix and other streaming services have become increasingly popular lately. Along with Netflix, there are other SVOD companies, such as Amazon Instant Video, Hulu Plus and HBO Go, which are used whiled traveling. This has led to a decline in the use of in-room services offered by hotels. One such company is Lodge Net, which filed for bankruptcy protection in 2013.