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Netflix’s box office success shows its strategy beyond streaming

The news: Two months after its streaming-only release, Netflix’s “KPop Demon Hunters” thrived in a limited box office run—emphasizing the company’s evolving strategy as the streaming market becomes increasingly saturated.

The sing-along version of the film led the box office this weekend with an estimated $18 million to $20 million debut across 1,700 screens, with sales expected to be ahead of box office hits like Warner Bros. Discovery’s “Weapons.”

Netflix’s growth strategy: Despite being historically theater-averse, Netflix is at a point where its streaming-only strategy is nearing its ceiling—necessitating evolution.

  • “KPop Demon Hunters” isn’t Netflix’s first attempt to turn streaming exclusives into box office hits: The company had limited theatrical runs for “Glass Onion: A Knives Out Mystery” in 2022 and “May December” in 2023, to name a few.
  • But beyond exploring theatrical runs, Netflix is placing bets on experiential offerings. The company is opening its first two “Netflix House” locations this year, with plans for a third location in 2027.

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