Netflix Ventures Into Brick-And-Mortar With Themed Retail Stores

Two stores will open in the US in 2025, with locations still undisclosed.

Streaming giant Netflix is breaking new ground by announcing its foray into permanent physical retail spaces, set to open in 2025. Initially targeting two undisclosed locations in the United States, these establishments will adopt a mini theme park model, featuring food and beverage services, merchandise sales, and immersive installations based on their popular shows like Squid Game and Stranger Things.

This decision represents a tactical pivot for Netflix, which plans to use these retail spaces mainly as promotional platforms to enhance fan engagement and drive its primary streaming service. Netflix aims to leverage the growing trend of immersive experiences, enabling fans to explore the universes of their favorite films and TV series in greater depth.

Josh Simon, Netflix’s Vice President of Consumer Products, stated, “We’ve seen how much fans love to immerse themselves in the world of our movies and TV shows, and we’ve been thinking a lot about how we take that to the next level.” The company’s earlier pop-up locations, like the “Netflix Bites” restaurant in Los Angeles, and immersive experiences such as “The Queen’s Ball: A Bridgerton Experience”, laid the foundation for this retail venture.

Netflix’s foray into retail is not new and has been guided by Simon, under whose leadership the company has rolled out over 40 pop-up venues. These spaces feature diverse experiences like “Stranger Things: The Experience” and exclusive “The Witcher” merchandise. The streaming leader has also expanded into e-commerce, launching an online store with exclusive products tied to its original content.

Recent strategic licensing agreements have extended Netflix’s consumer footprint, including a Scoops Ahoy ice cream collaboration with Walmart based on Stranger Things and a Squid Game slot machine for casinos. However, it’s crucial to recognize that Netflix’s current consumer-focused endeavors supplement its core streaming business.

Compared to industry giants like Disney, with their extensive theme parks and cruise lines, Netflix is taking a measured approach. The forthcoming retail locations are seen as an extension of the brand, enhancing fan engagement and creating immersive experiences while primarily driving more traffic to the streaming service.

Source: Variety