Whoever owns demand creation and content discovery ultimately captures the gross margin
Barry McCarthy · Barry McCarthy: From Netflix CFO to Peloton CEO; How Netflix Beat Blockbuster | 20VC #962 · 20VC with Harry Stebbings · Dec 20, 2022 · at 41:26
Barry McCarthy, former CFO of Netflix and Spotify, explains how personalized recommendation systems allow digital distribution platforms to shift demand away from expensive suppliers to lower-cost content.
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“So at a high level, I would say it's kind of in summary, whoever owns demand creation owns the gross margin.”
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