I think (2) is dominant. Netflix has outstanding customer service, which made my wife and me incredibly loyal and happy customers. DVD scratched? They'll gen

I think (2) is dominant. Netflix has outstanding customer service, which made my wife and me incredibly loyal and happy customers. DVD scratched? They'll generally instantly mail you a replacement and tell you to just mail the scratched one back when you get a chance. Something got lost in the mail? No problem, they bite the cost, not you. We use their streaming service more than physical DVDs these days, but we definitely remember how we were treated as early customers.