Netflix stock plunges as subscribers quit (cinema, films, Sony, script)

[eevee]

after thinking about some more, I've come to the conclusion that the Netflix/Qwikster split will alienate and upset people MORE than the rate hike. It's just a really, really, dumb idea. I can deal w/ paying a bit more for a quality service, especially when you realize that it's the doing of the studios more so than Netflix, but I can't abide by spending more money AND more time to manage 2 different queues, do ratings and reviews on two different sites, etc. I see zero reason for this split other than Netflix trying to dump the physical portion of their business and go all streaming

When this change comes, I'll be dropping "Netflix" and sticking w/ "Qwikster", especially if their game renting options are reasonable and the selection is good. I see no point in sticking w/ Netflix after the split when I already have Amazon Prime and my roommate has Hulu Plus that we can all share. If I have to go on a completely different site to get my streaming, than I WILL go onto a completely different site and just dump Netflix. and god help them if they try to unload the DVD/game portion of their business- as the article below states, Netflix has far too many, richer competitors in the streaming business and the DVD-by-mail service is the ONLY thing that differentiates than from the competitors. and they are just flat out screwed in Google or Apple buys Hulu...

Netflix can't afford a streaming content war - Sep. 19, 2011

[Debbie1125]

Originally Posted by harry chickpea

Their mail delivery socks in comparison to Netflix

Is it slower? I have Netflix and if I mail back a DVD today, I get the next one in my queue on Thursday.

I've been checking out Blockbuster online and they do have a better selection, especially of the older TV series. But I won't switch if their mailing service is slower.

[AlaMommy]

I would think that with 12 million people using the Stream/DVD combo plan that you'd want to keep that. If I were one of those 12 million and was told I had to use two separate accounts and nothing was connected anymore, I'd just drop the DVD and stick with streaming only on Netflix.
How much is it costing to create a new business? They're already losing a huge number of customers. Dividing their services to a new business will only lose more customers.
If he just left that stuff alone he'd be making money off these combo plan people, but instead he's going to spend money which will only cause him to lose even more money.

I think he's making a conscious effort to kill the DVD mailing business. Stupid. I now believe that the price hike was just the first step toward this mission of his.
I wonder if he's just afraid the Post Office will shut down, so he's trying to get out of depending on them.

Which, Obamas new plan will certainly help the Post Office. They are going to Restructure the Postal Accountability and Enhancement Act of 2006 (the sole reason the Post Office isn't making profit) and refund some of that money, and no Saturday Delivery. Closing Post Offices and Processing Facilitys. That's all going to help the Post Office. But I think they'll still lose money every year unless they make the PAEA retiree payment reasonable. USPS made 9 Million in 2006, then the PAEA took affect, which is a 5 billion+ a year payment. It's a prefund account... why can't the pament be 5 million? They'd still make a profit with that.

[fleetiebelle]

I think he's making a conscious effort to kill the DVD mailing business. Stupid. I now believe that the price hike was just the first step toward this mission of his.

I don't think the CEO is trying to kill the physical DVD business, but it is the first step in selling it off. It's telling that the streaming side kept the Netflix brand.

[Debbie1125]

Originally Posted by BlueWillowPlate

They plan to divide Netflix into two entities, one for streaming and Quikster (what an awful name) for dvds.

Am I the only one who is not crazy about streaming, and dreads having it become the only future choice when viewing movies? I like the picture quality of blu-ray and the special features on dvds.

You're not the only one. I prefer watching DVDs on TV and also am not looking forward to the day when streaming is the only choice. I realize that many people like streaming. That doesn't mean everyone should be forced into it though.

[BlueWillowPlate]

Originally Posted by Debbie1125

You're not the only one. I prefer watching DVDs on TV and also am not looking forward to the day when streaming is the only choice. I realize that many people like streaming. That doesn't mean everyone should be forced into it though.

Agreed.

To me, the two forms of media are *not* interchangeable.

I know everyone is saying that "streaming is the future" blah blah blah, and that may be, but right now, the quality (and content!) of streaming is not that great.

I have Amazon Prime, too, and I would probably stick with Quikster.
I'm going to wait awhile, though. Who knows, there might be some new announcement next month.

[Garfunkle524]

Weren't cable/internet providers butting heads with Netflix recently because of all the extra bandwidth people were using? Personally I think streaming is going to face some major hurdles moving forward.

Right now consumers who were paying Comcast $100 for TV/internet are switching to just internet and streaming Netflix. These customers' bills are cut in half, so Comcast brings in less money. As an added burden on Comcast, these customers are using 3 times the bandwidth they used to by streaming Netflix, the service that just cost them all that revenue.

I would expect that Comcast is going to wait for streaming really take hold, then they're going to start clamping down on their subscribers trying to milk them for that extra bandwidth. Comcast is going to start raising fees and lowering bandwidth levels, raking in a ton of money that they didn't really have to do anything to get. People like streaming for two reasons: it's convenient and right now it's very cheap compared to cable (even after Netflix's snafu). As soon as everyone can't live without streaming, Comcast is going to stick their hands out and get a piece of the pie. When Comcast clamps down on their internet provisions (much like cell phone companies are already starting to do) streaming is going to become every bit as expensive for consumers as cable was. If no one can compete with the internet providers, it's going to help bring back the media-by-mail market which will have presumably remained fairly cheap.

[BlueWillowPlate]

Thanks for sharing your opinion, Garfunkle--it sounds plausible to me.
Right now I'm sort of in a holding pattern, but my husband is pestering me to drop Netflix. (Of course, his favorite ESPN is bundled in with our Comcast account and he'd never drop that.)

[Giesela]

I always seem to get stuck with a movie at home that I'm not in the mood for and it sits forever. So I'm paying a monthly bill for nothing. I want all that content on streaming and its just not there. I'd have to say at 70% of what I want to see is not on Netflix streaming. At least 70%. I can get it delivered but I'm very mood specific. I want it all on streaming. I'd be willing to pay more for it.
I don't seem to like either option and wondering if I should just not do either?

[harry chickpea]

Debbie, Blockbuster is MUCH slower in DVD delivery through the mail. Figure one a week even if you return the next day. IF you still have a BB store nearby, you can exchange as many as you want.

There will be plenty of changes in the next year or two. Do what works today and expect it not to work next month.