As PM for Amazon Studios, would you increase Amazon original content budget with fewer licensed shows, or maintain current content mix?

Introduction

As the PM for Amazon Studios, we're facing a critical decision regarding our content strategy: should we increase our budget for Amazon original content while reducing licensed shows, or maintain our current content mix? This trade-off directly impacts our competitive position in the streaming market, user engagement, and long-term brand value. I'll analyze this decision through the lens of product strategy, user experience, and business impact.

Step 1

Clarifying Questions (3 minutes)

• Context: I'm thinking about our current market position. Could you share our market share compared to competitors like Netflix and Disney+?

Why it matters: Helps gauge our competitive strength and growth potential. Expected answer: Mid-tier market share, room for growth. Impact: Higher share might favor maintaining mix; lower share could justify more originals.

• Business Context: Based on our revenue model, I assume originals drive subscriptions while licensed content retains users. Is this accurate?

Why it matters: Clarifies the role of each content type in our business model. Expected answer: Confirmation of assumption. Impact: If incorrect, would significantly alter the strategy for content investment.

• User Impact: I'm considering user segments. Do we have data on which content types resonate most with our core demographics?

Why it matters: Ensures we're meeting the needs of our target audience. Expected answer: Varied preferences across segments. Impact: Strong preference for originals would support increased investment.

• Technical: Regarding our recommendation algorithms, how well do they currently surface our original content?

Why it matters: Affects visibility and engagement with Amazon originals. Expected answer: Room for improvement in original content promotion. Impact: Poor surfacing might indicate a need for algorithm refinement before increasing original content.

• Resource: Considering our production capabilities, how quickly could we scale up original content creation?

Why it matters: Determines feasibility of rapid original content increase. Expected answer: Moderate scalability with some constraints. Impact: Limited scalability might favor a more gradual shift to originals.