Alexis Madrigal — who is turning into one of the most interesting journalists of our time — goes deep on Netflix’s 76,897 (often bizarre) micro-genres in How Netflix Reverse Engineered Hollywood:

Netflix has meticulously analyzed and tagged every movie and TV show imaginable. They possess a stockpile of data about Hollywood entertainment that is absolutely unprecedented.

Netflix is putting in a staggering amount of effort on the structured data of their TV shows and movies. And of course, it’s all for one reason — to get to know you better:

They capture dozens of different movie attributes. They even rate the moral status of characters. When these tags are combined with millions of users’ viewing habits, they become Netflix’s competitive advantage. The company’s main goal as a business is to gain and retain subscribers. And the genres that it displays to people are a key part of that strategy. “Members connect with these [genre] rows so well that we measure an increase in member retention by placing the most tailored rows higher on the page instead of lower,” the company revealed in a 2012 blog post. The better Netflix shows that it knows you, the likelier you are to stick around.

And now, they have a terrific advantage in their efforts to produce their own content: Netflix has created a database of American cinematic predilections. The data can’t tell them how to make a TV show, but it can tell them what they should be making. When they create a show like House of Cards, they aren’t guessing at what people want.

What’s interesting is that similar things are happening in other forms of media as well. Spotify and Rdio’s knowledge of our listening data can be used to inform record labels what type of albums they should invest in. And as David Streitfeld reports in As New Services Track Habits, the E-Books Are Reading You, a new crop of companies are helping authors figure out what type of books they should write:

The move to exploit reading data is one aspect of how consumer analytics is making its way into every corner of the culture. Amazon and Barnes & Noble already collect vast amounts of information from their e-readers but keep it proprietary. Now the start-ups — which also include Entitle, a North Carolina-based company — are hoping to profit by telling all.

“We’re going to be pretty open about sharing this data so people can use it to publish better books,” said Trip Adler, Scribd’s chief executive. […]

Scribd is just beginning to analyze the data from its subscribers. Some general insights: The longer a mystery novel is, the more likely readers are to jump to the end to see who done it. People are more likely to finish biographies than business titles, but a chapter of a yoga book is all they need. They speed through romances faster than religious titles, and erotica fastest of all.

All of this raises familiar questions about the loss of serendipity — finding interesting things we’re not looking for. But I still think this is an unnecessary fear.