Converting to a streaming-only business isn’t easy, as Netflix (NSDQ: NFLX) discovered Monday when the company’s blog was bombarded by complaints over its decision to remove the ability to add to DVD queues from connected devices.
Jamie O’Dell, director of product management at Netflix, may want to get an intern to start his car tomorrow after offering the following gem of corporate gobbledygook on the Netflix blog:
We’re doing this so we can concentrate on offering you the titles that are available to watch instantly. Further, providing the option to add a DVD to your Queue from a streaming device complicates the instant watching experience and ties up resources that are better used to improve the overall streaming functionality.
Though the ‘Add to DVD Queue’ option will still be available at Netflix.com, that didn’t stop hundreds from voicing considerable displeasure that they can’t use everything from their iPhone to their PS3 to manage their queue.
“With all sorts of streaming devices out there the computer is becoming more and more obsolete, this seems like a step backwards,” noted one concerned sub named Luke.
Raged another sub named Hal, “Sorry Netflix, I love you but this is idiotic. Hire some developers that know who has the premium accounts and who just has streaming access. It should all go by log in. This is a dumb move.”
What many subscribers called out Netflix on was its gradual dismantling of its disc business as more and more of its video delivery gets devoted to streaming. With its recently altered subscription model clearly steering customers toward digital-only delivery, Netflix is forced to undergo the painful process of alienating the core customer base that may still want to hang onto discs and don’t want to be weaned off. “When the optical media goes, so do I,” pledged Jason.
Netflix needs to proceed with great caution in how it unwinds its disc business or risk losing a chunk of the subscribers on which it built its booming empire. The company would have probably been better off figuring just what new functionality they were going to bestow on their subscribers once they “untied” resources, but it’s too late to un-ring that bell.
Hey Netflix, when you can give me all HD 1080P streaming at Blu ray quality without running me over my Comcast cap then I will give up disks, But since that wont happen with IP or ISP cooperation, then I think you better stick to what works.
Time marches on and early adopters aren’t the growth curve anymore. Disc rental is going the way of the dodo. Don’t blame Netflix. If you think you can find an alternative that is still open, by all means give it a try.
DVD, like VHS will eventually follow the “dodo”. However, HD streaming won’t replace it as long as home networks are still at “dodo” speeds in America.
The secret formula behind the Netflix model, and their growth has been free shipping. An aggressive pro-streaming posture may indicate this formula for success was actually their “lost leader”. If Netflix forgets their customers, cuts the chord too early, or tries to rope customers into streaming before they can — it may turn into their own noose.
The day that digital delivery is as fast, cheap and reliable as postal delivery (ironically through the U.S.P.S.) then NetFlix can start pushing their, “Brave New World.” In the mean time, any of these logical, blue-sky visions of quickly shifting to streaming Blue-Ray, or even DVD quality to customers’ homes, are years away.
Hmmm, for me its not the elimination of discs that concerns me its the fact that their offerings on instant view are far from stellar. A lot of movies that I want to watch are only on disc and I am fine with that but I get a bad feeling that if Netflix eliminates their disc program they will increase their rates to have the more recent films on instant view. If this is the case then how much will this cost?
Netflix’s days are numbered. They’ve been extraordinarily lucky to date (especially with no more crises in the mail stream), but there is no way they’re going to be able to stream recent studio content @ $8/month after their current contract expires next year. But it’s been a good ride while it lasted!
I subscrib to both netflix and hulu. Netflix for the DVD at my convenience. The newer movies as well, but if no more DVD’s then NO MORE netflix. i will stay completely HULU!!!!!! i know that I am not the only person that looks at this in that manner. So, good luck.
As long as all DVDs go instantly and not just the ones that come on starz or older movies, then i would actually prefer for them to go instantly…Its much easier to get on my PS3 and watch something instantly, rather than having to wait 4 days for my next movie to arrive. i also see other’s points as well the cost will definitely go up for us but i also wonder, maybe it will be cheaper because there wont be any discs and discs cost money to make as well.
I am a fairly new customer to Netflix and if they do away with DVDs then I WILL drop my subscription! Not everyone has the money to have internet on their phone or to buy a game console to watch movies. If Netflix wants to switch then they better provide these game consoles etc to their customers or lose them. I don’t have the time nor the interest to play video games so why would I purchase an Xbox or PS3?
Its not a good idea to just dump something like DVDs .Has anyone stopped to think of the thousands of people that live in rural areas with satellite or just plain old dial up around the country? I have lived in the country for my whole life and look forward to my DVD to come to my house.I think that it is a terrible idea, please reconsider.
The broad band network in this country is not ready for all of the streaming videos that will be downloaded-no way to keep up with the volume. That being said, the selection of videos from Netflix that can be downloaded instantly is very limited. One last note-the last time I tried to download an instant video on Netflix, the system was not working. Good luck Netflix!