Netflix Splits DVD And Streaming Businesses • Hacker News Board

Re: Netflix Splits DVD And Streaming Businesses

#41

Post by seanalltogether » Mon, Sep 19, 2011, 5:27 AM UTC

steve8918 wrote: post #22

Gasp, this is turning into a joke! I had Netflix for a few months, I used it to watch the entire Battlestar Galactica. After that, I went through and searched for 30 different movies to watch, and they weren't available, and I'm not talking about new movies. None of the Indiana Jones', Star Wars', Rockies, Bladerunner, etc. Now with the Starz debacle, and with content providers getting ready to pound them with price…

The only reason why I can think of why they would cut themselves into 2 companies, is so that the content providers can't use the DVD business' cash flow to pay for the content.

My thoughts exactly, I assumed the original separation was done so hollywood couldn't bargain over dvd profits, perhaps this move was done to make that wall even stronger. I fear for the future of netflix, it's an easy choice to have a subscription now, but what happens when the major studios get involved and start demanding serious money for their content.

Re: Netflix Splits DVD And Streaming Businesses

#42

Post by bethling » Mon, Sep 19, 2011, 5:29 AM UTC

I kept my account even after planning on dropping it when the price increase happened, but now I don't really see any reason to keep my streaming account. At least when they were integrated, searching in one place, and having all my reviews in one place provided some additional benefit for me.

Now I don't really see any benefit at all for keeping the streaming portion over Amazon Prime (which I have) and maybe adding Hulu Plus. I'll have to see if having the game option makes it useful for me to keep the DVD portion of my account.

As soon as the sites split, NetFlix looses a great deal of value to me as a customer. Before it was a single place where I could pick movies to see - whether streaming or on DVD, now it becomes a repository of a bunch of okay television shows and (esp. once they lose Starz Play), a mediocre movie selection.

Re: Netflix Splits DVD And Streaming Businesses

#43

Post by learc83 » Mon, Sep 19, 2011, 5:32 AM UTC

beagledude wrote: post #39

has everyone forgotten how limited the streaming service is? They should have waited until they at least have a selection. I'm going DVD service, and Amazon for streaming.

It may be limited if you only watch movies, but If you like, say...British detective shows, there's enough episodes to keep you busy for a while.

Re: Netflix Splits DVD And Streaming Businesses

#44

Post by elq » Mon, Sep 19, 2011, 5:35 AM UTC

waterlesscloud wrote: post #10

ethank wrote: post #6

Earlier quoted context omitted.

Qwikster.com was registered in May 2010. This was not an overnight decision and I doubt even the contrition in the blog post wasn't well planned.

I strongly suspect it's related to negotiating royalties for streaming based on streaming subscriber numbers, not the combined numbers. That was the reason behind the original split in the services, so it's probably why they're actually splitting the accounts.

> That was the reason behind the original split in the services

No. Not at all.

The plans were split in preparation for the company split. This has been in planning for a long time.

Re: Netflix Splits DVD And Streaming Businesses

#45

Post by elq » Mon, Sep 19, 2011, 5:37 AM UTC

enjo wrote: post #31

icefox wrote: post #20

"Qwikster will also now offer video game rentals through the mail" While I wouldn't sign up full time for a game rental service I would be interested in getting a game now and then rather than a dvd. Suffice it to say for my needs a dvd in the mail fit my needs exactly and I will continue paying for that. Edit: not to mention from what I hear games always have a long waiting list on other services. I am more than hap…

I'm hoping it comes with the requisite netflix...err qwikster... efficiency that I've come to expect. We tried Blockbuster for this, and it was a nightmare. Getting a game from them was an exercise in patience. We were with them for two months and didn't receive a single one:)

I believe speed was one of the things Netflix wanted to communicate with the otherwise unfortunate name "Qwikster".

Re: Netflix Splits DVD And Streaming Businesses

#46

Post by bbgm » Mon, Sep 19, 2011, 5:38 AM UTC

learc83 wrote: post #43

beagledude wrote: post #39

has everyone forgotten how limited the streaming service is? They should have waited until they at least have a selection. I'm going DVD service, and Amazon for streaming.

It may be limited if you only watch movies, but If you like, say...British detective shows, there's enough episodes to keep you busy for a while.

Or Dr. Who, or all seven seasons of Star Trek Voyager.

Re: Netflix Splits DVD And Streaming Businesses

#47

Post by sk_0919 » Mon, Sep 19, 2011, 5:41 AM UTC

crgt wrote: post #30

I'll throw it out as a side note, because in all the discussions I've read on Netflix of late no one seems to mention it: Netflix has FANTASTIC kids content available for streaming. My kids would revolt if we cancelled our service. That alone guarantees my business until there is a truly compelling replacement. I cannot believe we're the only family like this. And while this is probably not a large enough market to s…

>>I cannot believe we're the only family like this

You certainly aren't..They actually have a tab called "Just for kids"

Re: Netflix Splits DVD And Streaming Businesses

#48

Post by evandena » Mon, Sep 19, 2011, 5:41 AM UTC

morrow wrote: post #19

"...the Qwikster.com and Netflix.com websites will not be integrated. So if you subscribe to both services, and if you need to change your credit card or email address, you would need to do it in two places. Similarly, if you rate or review a movie on Qwikster, it doesn’t show up on Netflix, and vice-versa." Wow. I had previously thought that their pricing change was forcing consumers to effectively choose between st…

My guess is that the logical split has to do with future contract negotiations. Netflix has no ties to DVD rentals, so maybe this aids them in the deals they are able to make.

Re: Netflix Splits DVD And Streaming Businesses

#49

Post by jjm » Mon, Sep 19, 2011, 5:41 AM UTC

Clearly this will be disheartening to the true user such as myself. By splitting functionality as to prevent easy access to either material nor allowing usage of existing ratings they're continuing the trend toward customer alienation.

I say this almost all the time, but even if Netfix renegotiates for retaining Starz it is still not yet an adequate amount of viewing content for me to wholely dismiss DVD by mail, regardless of where I even stand on the matter in terms of philosophy.

In the end I still gain a larger bill, continued limited streaming content, and a split in usability.

And what of netflix when Hollywood continues to charge into extinction taking Netflix with them?

Re: Netflix Splits DVD And Streaming Businesses

#50

Post by superkinz » Mon, Sep 19, 2011, 5:43 AM UTC

People always go up in arms about change of price like this. For a long time, the prices at Netflix mostly stayed the same because they started with DVDs, and later added streaming. The streaming catalog wasn't built out enough for them to monetize it with confidence. So what did they do? They gave us a break and let us have free streaming. Now that it's a significant catalog, they want us to pay for the service... which they have to license! And it aint cheap for them to do that.

Now that it's doubled, people feel it's outrageous! But it's not because of the value they're receiving, it's because they're conditioned to expect one price and it's now higher. They lost a million subscribers, but Netflix will get those back after people realize they were being idiots.

Let me ask you a question, would you rather pay $15 a month for unlimited streaming and DVDs, or $50 to Comcast for basic cable? In my book, $15 is a pretty damn reasonable price.