“Stranger Things” ushered in a new era for Netflix

The original concept for what would become “Stranger Things” was rejected by more than 15 studios before finding a place on those of Netflix original programming list.

A decade later, the series created, written and directed by Matt and Ross Duffer has become one of the biggest cultural touchstones of the streaming era and cemented Netflix as not only a competitor, but also a leader in the field.

“People always talk about Netflix and [say] Our big moment was when we put together “House of Cards,” and it was a big deal. But our real moment was when we put ‘Stranger Things’ together,” co-CEO Ted Sarandos said at the ‘Stranger Things’ Season 5 premiere in Los Angeles last month.

“‘House of Cards’ was great. It kind of told the world that we were going to make some really good TV shows,” he continued. “But with ‘Stranger Things,’ it was much closer to a ‘Star Wars’ moment. It’s a series, culture-moving characters, that spawned live events, consumer products, spinoffs and sequels.”

Released in 2016, “Stranger Things” is set in the 1980s and centers on a group of middle school students in a fictional rural Indiana town who must deal with paranormal and supernatural events following the disappearance of their friend. In the mix are a young girl with psychokinetic powers who escaped from a secret research lab, an alcoholic police chief trying to find the missing boy, and a distraught mother.

Now, nearly a decade later, the fifth and final season makes its staggered debut on Netflix.

Volume 1, which includes the first four episodes, debuted over the Thanksgiving holiday and garnered 59.6 million views in the first five days, the largest premiere week for an English-language series on Netflix. It ranks third overall behind seasons 2 and 3 of the Korean series “Squid Game”.

In its second week on the platform, Volume 1 generated an additional 23.6 million views, topping the streamer’s weekly charts, and each of the previous four seasons saw viewership increase week-over-week as fans rewatched previous episodes, Netflix reported.

“Stranger Things” Season 5 Volume 2, which contains three episodes, arrives on Christmas, and the finale episode, which is just over two hours long, is scheduled for New Year’s Eve. The finale will be available in select theaters on New Year’s Eve and New Year’s Day.

Contrary to tradition, Netflix will not sell tickets for these screenings. Instead, more than 500 theaters nationwide will sell concession vouchers guaranteeing seats for screenings. These vouchers can be used to purchase food and drinks at the venues. Additionally, theater owners will keep all revenue from these purchases.

Netflix and exhibitors have sparred in the past over release terms, as the streamer does not commit to an extended theatrical run of films it wants to be eligible for awards.

“Nothing would make us happier than showing Netflix movies in our theaters,” AMC CEO Adam Aron said in a statement earlier this month. “We believe this could be beneficial for everyone involved. But as we need to treat our existing studio partners fairly, there is still a lot that needs to be worked out to that end. Despite this, there is progress.”

“Stranger Things” sparked a 1980s renaissance, reviving abandoned fashion trends, music and even food brands for a new generation.

When the series debuted, Netflix partnered with mainstream brands to create T-shirts, mugs, plush toys, and more, but it primarily worked with licensees. This means it collected fees for other companies to design and manufacture the products, or participated in brand partnerships where no fees were exchanged.

In 2019, the company launched its own consumer products division and, two years later, its own officially licensed online store.

Coinciding with the launch of the latest season of “Stranger Things,” Netflix announced dozens of partnerships and collaborations with brands in the merchandise, retail and restaurant industries.

The streamer exploited Lego, FunkoSquishmallows, HasbroJazwares and Care Bears to offer “Stranger Things” toys and collectibles to fans of the series. It offers clothing and lifestyle offerings with Gap, Nike, CrocsCoverGirl, Zara and Wrangler, among others, and food and drink collaborations with Eggo, Doritos, Kellogg, Gatorade and Starbucks.

“We’re incredibly excited to partner with so many fantastic brands, bringing fans – and our fellow nerds – the largest collection of products and experiences in ‘Stranger Things’ history and one of our biggest campaigns to date as we celebrate the fifth and final season of this globally beloved series,” Netflix Chief Marketing Officer Marian Lee said in a statement earlier this month.

Outside of the retail space, Netflix has delved into the live events space, bringing “Stranger Things” to life through an immersive experience that allows fans to explore Hawkins Lab and other iconic locations from the series. It is currently underway in Abu Dhabi, United Arab Emirates, and will open in Mexico City next month.

There is also a play called “Stranger Things: The First Shadow”, which has been playing in London’s West End since 2023 and in New York since this spring.

Additionally, Netflix struck a deal with Epic Games that brought “Stranger Things” elements to the popular online video game Fortnite.

Netflix’s merchandise and live events strategy is more than a way for the company to generate revenue outside of its streaming subscriptions. According to industry experts, it helps fans stay interested in its content during show breaks and between movie sequels.

This playbook isn’t unique to Netflix, but it showcases the streaming service’s maturation. “Strangers Things” is less of a template that can be adopted by every Netflix show or movie, and more of a benchmark for what’s possible.

“[Netflix] “They’ve had a lot of success since then, with shows like ‘Squid Game’ and ‘Bridgerton,’ but it was questionable whether they could stick to a formula to deliver original IP.

“‘Stranger Things’ remained a solid IP throughout and garnered a lot of recognition,” he added.