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"...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
by morrow 15y ago
"...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 streaming and disc-based services, but didn't expect that they'd actually go this far and completely cut the cord between the two.
Considering the how much less efficient it is to mail movies than it is to download them in an age of high gas prices and fast internet, Netflix killing or spinning-off it's dvd service was an inevitability. I'm just not sure that right now the streaming service by itself has the selection to keep subscription numbers high enough to maintain sufficient leverage with content providers.
Momentum is very important with the type of model they have: the more content Netflix loses to studios who start their own streaming services, the less appealing the Netflix service becomes to subscribers, which both weakens the argument for studios to stick with them due to the size of their subscriber base and also sets a positive example of succeeding without Netflix that other studios can follow.
- deleted 15y ago[deleted]
- evandena 15y agoMy 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.
- pyre 15y agoAs I understand it, most of the deals between Netflix and the studios are revenue sharing deals. So the studios have a vested interest in increasing whatever metrics they are basing the revenue sharing on. They could see streaming availability as hurting the DVDs 'sales.' Though this would apply industry-wide anyways, so I don't know if this would really put the streaming side of things in a better negotiation position.
- ABCD_FUFU 15y agoYep. Also netflix has no value add in the streaming business. Streaming a video just isnt that hard and they are not content owners. The content owners have no incentive to put their stuff on netflix. The content owners will try to insert ads and cut out middlemen. On the other hand the customer is shafted big time by being forced to remember what he wants to watch on dvd separate from streaming.
- deleted 15y ago[deleted]