Not very long back, it was Amazon that was scaring everybody around it with its growth, but now Netflix too has joined the pack. The streaming services provider is giving competitors the chills and companies in the media and entertainment sector are building their resources and mulling various strategic moves to compete with it.
Netflix and Amazon are giants in the video streaming space, and they are on a path of rapid expansion supported by massive investments in their respective businesses. Tech companies like Apple (AAPL) are also moving into this space, and all these players have a large and loyal user base they can count on. Walmart will face a massive challenge in trying to lure these users away from their favorite streaming channels.
Based on data from Bloomberg, the video streaming market is expected to grow to $84 billion by 2022. There are plenty of new users signing up every month, and Walmart has a chance to carve out space for itself in this area by making significant investments in its streaming business.
To attract new users, Walmart could try offering family-oriented content. Since most of the established players in this space offer robust and graphic content, giving importance to light, family-friendly content could help Walmart stand out from the crowd.