Whatever happens this will make a B-school case study very soon. The case where a company decided to be pro-active in picking a market vertical based on incomplete data. Weather case will have a positive spin or a negative one, only time will tell.
As a streaming customer I hope they will work on enriching their library.
Netflix Splits DVD And Streaming Businesses
201–206 of 206 posts
Re: Netflix Splits DVD And Streaming Businesses
#202Earlier quoted context omitted.
If you had to pick between DVD and streaming service, and make one of them phenomenally better than what it is now, which one would you pick? DVD, because everyone knows and loves it? Or streaming, because it's growing rapidly? You get to pick one. With the split, Netflix gets to focus entirely on streaming - make it better for the customer. Which means, more (and better) content, faster and better streaming service,…
He must of done a much better job getting the employees to drink the kool aid then the customers
Re: Netflix Splits DVD And Streaming Businesses
#203Earlier quoted context omitted.
> I can't see how we're not a target customer > I already have cable Netflix is a direct competitor to cable. I don't have cable and I use their streaming platform exclusively. I am their target customer. They'll have a tough time convincing the older generation to ditch cable. They know that. So they're ditching you, instead. As things move along, you'll end up in the minority. At least, that's what Netflix is hopin…
I think you're probably right. I just found a website (feedfliks.com) that let's me see a lot of details about my Netflix usage. There are some pretty clear patterns there. Television shows, comedy specials, and the type of movie you'd typically see on TNT, FX, or AMC are available on Netflix Streaming. Theatrical release movies are not nearly as popular. So, you pretty much nailed it. Netflix wants to be Comcast. Th…
And this is why Netflix' business model is doomed. There is no way for them to compete with Comcast, who already gets $50 each month for Internet alone.
There's just no way the content creators are going to give Netflix better terms than they give cable operators. None. Won't happen.
And Netflix cannot afford to pay what cable pays, because it's all added cost to them.
Netflix is between a rock and hard place, they know it, and they did the absolutely worst thing they could do. They should have just let things ride, milk the cash cow they'd created, and see how it plays out. Instead, they shot the cow, spilled the milk, and seem oblivious to the overwhelmingly negative reaction from their customers. sigh
Re: Netflix Splits DVD And Streaming Businesses
#204This reminds me of Apple killing the floppy. Anyway, this is all about negotiations to get more content in the streaming service. If newer movies and more tv shows appear in the streaming service, no one will care about DVDs by mail.
Really? This reminds me of Tivo, who thought they had a great way to monetize the middle between content and the cable companies.
Netflix is on it's way out, just like Tivo. They have ZERO leverage and are doing everything they can to turn away customers (price hike, worse service, god-awful PR...).
Re: Netflix Splits DVD And Streaming Businesses
#205Earlier quoted context omitted.
The attack surface for other companies has just doubled If anything, that is an underestimate. I really can't understand what they are thinking. Since I am interested in both DVD and streaming, up to now I was completely locked into Netflix because of the integrated system - my "Instant" queue is just the subset of my DVD queue that is streamable. If they break that link, and I derive no gain from being BOTH a Netfli…
What's to stop you from switching to Amazon? Have you tried watching a movie on Amazon? Way less usable and its hard to find movies sometimes. Netflix has a way better interface and what I find myself doing is checking on Netflix first, and then only if they don't have it, do I go to Amazon.
Free is hard to beat. Actually, Amazon streaming is better than free. Instead of giving $96/year to Netflix, I can give $79/year to Amazon for a Prime membership, get streaming thrown in for free, and get the usual Prime benefit of free 2-day shipping.
As far as the interface goes, are you really watching on your computer? I bought a Blu-Ray player just to stream Netflix, Hulu and Amazon. Works decently enough.
Re: Netflix Splits DVD And Streaming Businesses
#206tldr;
I read through probably half of the comments and then skimmed the rest, so sorry if this was already mentioned:
What if Netflix streaming service improves A LOT, and their movie collection grows to encompass pretty much every movie out there? A lot of the discussion has assumed that Netflix would remain the same, but with their focusing exclusively on streaming, I could see how they would have more leverage to negotiate with content owners to license movies--for one, they could charge a higher subscription fee and offer more revenue share for streaming and a more comprehensive catalog, something that I'd be very happy to pay an extra $5 for (I currently only have the streaming plan)