Netflix Could Have Secret Weapon To Manage The Hollywood Strikes: Cooking Shows And A New Restaurant?

The Hollywood strikes by writers and actors have shut down work on many major television shows and future movie releases.

Media companies have gotten many questions on the impact and how long they have content for before it starts hurting their lineup and financials.

One leading streaming company could have a new approach to fight against the Writers Guild of America (WGA) and Screen Actors Guild and American Federation of Television and Radio Artists (SAG-AFTRA) strikes.

What Happened: Known for hit shows like “Squid Game,” “Wednesday,” “Stranger Things” and “Bridgerton,” Netflix Inc NFLX is one of the largest streaming companies in the world. The company, which ended the second quarter with 238.9 million paying subscribers could be impacted by the strikes.

To get around the impact, Netflix could be betting larger on reality competitions and content that includes cooking shows.

A report from The New Yorker highlighted Netflix opening a restaurant called “Netflix Bites” in California. Located near its Hollywood headquarters, Netflix Bites is a way for the streaming company to highlight its growing lineup of cooking-related shows.

“We noodled with the idea of a restaurant for a while,” Netflix’s Head of Experiences Greg Lombardo said at an opening for the restaurant.

Lombardo highlighted the cross-promotional opportunities of Netflix shows and the restaurant.

“What do people really want? I think you want a chance to literally taste that amazing dish that you’ve watched this incredible chef prepare.”

Commenting on the strike, Lombardo was optimistic, but highlighted how the restaurant could help connect with fans.

“Look, we’re hopeful that the strike is resolved. We want it to end fairly for everybody. This is a way for us to connect with members where they are, in between content windows, when there’s no new content for them to enjoy. This is a great way to remind them that they love that content.”

TV Chef Curtis Stone, who stars in Netflix’s “Iron Chef,” was present at the grand opening of the restaurant.

Stone said the writer’s strike has helped the restaurant industry in California.

“Out of a normal restaurant in L.A., fifty percent of your staff are actors waiting for their next gig,” Stone said. “We’re not getting the leads from, you know, blockbusters, but it’s a big industry, and it’s transient work.”

Also present at the grand opening of Netflix Bites was Netflix co-CEO Ted Sarandos, who was seen making pizza.

Related Link: Netflix Launching Zombie Reality Series 

Why It’s Important: Netflix highlighted the potential positive of the Hollywood strike leading to lower spending in the fiscal year, during its second-quarter results.

“Our updated expectation reflects lower cash content spend in 2023 than we originally anticipated due to timing of production starts and the ongoing WGA and SAG-AFTRA strikes,” the company said.

With a motto of “Watching is Good, Eating is Better,” Netflix Bites seeks to appeal to fans of Netflix shows and also provide a stop-gap as the streaming giant suffers from less new content on the platform.

Could cooking shows and old shows top the weekly list as fans see the food come to life in the restaurant?

Netflix recently highlighted “14 TV shows for Foodie Fanatics” in a post, which showed off its impressive lineup of cooking shows.

Benzinga shared in 2022 that Netflix was investing more in reality shows, including those in the dating segment, which has proved popular with viewers.

Depending on how long the strikes last, networks and streaming companies could quickly turn to live sports and reality competitions, which require less writing and scripting and can get around the strikes.

With Netflix not ready to fully commit to live sports, subscribers might want to plan on having more cooking shows and reality shows coming their way.

NFLX Price Action: Netflix shares closed Tuesday at $414.17 versus a 52-week trading range of $211.73 to $485. Shares of the streaming giant are up 40.7% year-to-date in 2023.

Read Next: Red Light Green Light: Squid Game Reality Show Is Coming 

Photo: Shutterstock