If you have any social media account, you are aware of the existence of Squid Game. The popular Korean Netflix (NFLX) show has sent millions of fans worldwide into a frenzy, with users posting pictures and stories of their favorite characters and moments of the series. Netflix is now looking to capitalize on the show’s success by launching a dedicated line of merch. To do so, the American streaming company has signed a deal with Walmart (WMT) to create a digital storefront on the retailer’s website. Yes, this means that you will soon be able to own your very own “red light, green light” doll (watch the show for more context). But what if you’re not a fan of Squid Game? No worries, Netflix and Walmart have got you covered. The digital storefront will sell merch from other popular Netflix shows.
This is the first time that Netflix has created an official storefront with a national retailer. Netflix’s move is an attempt to develop new revenue streams beyond its core subscription business and market its content away from its platform.
why it matters
Netflix's decision to open up an online store with the world's largest retailer is one way for the company to keep on adding customers. Netflix has lost its competitive advantage in the US, with rivals such as HBOmax, Hulu, and Prime video rising to the challenge.