Lenny Rachitsky: prediction

Transcript context

…extension there you go yeah yeah yeah i think i tried it actually it was Yeah, it's complicated, right? I mean, you and I are both freaks, so we can figure it out. So the idea is it will delight customers because this sounds like fun, especially during COVID. We can have this connected experience when we're also disconnected. Hard to copy advantage. We're kind of building a network effect. You and I will be connected and watching on Netflix. We don't want to quit because we don't want to leave each other behind. And then the margin for Netflix, it's largely about will it improve retention? So Netflix today, 2% are canceling. Netflix is just ticked away at a point by point. It's these kinds of things that create a little bit more value that improve retention. So the way I think about this is the way that addition of this feature would actually improve retention is if some reasonable number of customers actually used it. And so what I look out for is I don't like two percenters. So if you find an idea that only works for 2% of your customers, now you're creating complexity. One more thing to choose. What happens when I hit this button? And frankly, some complexity that everybody else building the product forgets, right? Like, oh, like this happened to me a lot. We'd have a, in the old days, there was a profiles feature. When we launched streaming, we forgot about the profiles feature for DVD. Like, ah, crap. So as a rule, I never use rules of thumb, but these two percenters, I would kill them. If I launched something and it was only 2%, we called it scraping the barnacles. Just get rid of it. So I think the key question here is what percent of Netflix members would use Netflix Party if you launched to all? So you want to guess at that, Lenny? Let's say 5%. Okay.…

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