(from http://blog.netflix.com)
Hi there, it’s Jamie Odell, director of product management at Netflix, with an update for members who add DVDs to their Queue from the device they use to watch instantly. We’re removing the “Add to DVD Queue” option from streaming devices. 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. This change does not impact the Netflix Web site, where most members manage their DVD Queues.
Wednesday, January 19, 2011
Netflix Enrages Subscribers By Limiting DVD Queue
Andrew Wallenstein
@awallenstein 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.
Netflix Is Abandoning DVDs, Customers Who Prefer DVDs
(original article http://blog.movies.yahoo.com)
by: Tim Grierson
When Netflix started up more than 10 years ago, its sales pitch was pretty simple: Hey, subscribe to us, and we'll mail you DVDs that you can then mail back to us without worrying about any late fees. But as the rental market moves toward online and on-demand models, Netflix's iconic red envelopes may eventually become as antiquated as VHS tapes. Beefing up their streaming business, Netflix has predicted that in about two years their economics will be geared more toward their "Watch Instantly" service than through physical discs. For that to happen, Netflix will have to nudge their DVD-loyal customers to the new platform. And on Monday, the company learned just how hard that may be.
In a seemingly innocent 109-word blog post, Netflix director of product management Jamie Odell announced, "We're removing the 'Add to DVD Queue' option from streaming devices," suggesting that it was being done so that the company "can concentrate on offering you the titles that are available to watch instantly." Granted, the Netflix website still allows DVD queue updating, but this post, dropped on the morning of Martin Luther King, Jr. Day, created an immediate firestorm of comments -- most of them very, very angry.
"Clearly Netflix wants to send less discs through the mail, and therefore wants to make it more difficult for the user to add to their queue in furtherance of that," wrote "Eldendor." "Horrible idea!" wrote "usrbingeek." "Especially when there are still few titles available for streaming and the titles that you do have, seem to have very narrow license windows." On and on came the complaints, with most responders saying essentially (1) I like having access to DVDs even if I use a PS3 or mobile phone to stream movies on Netflix; and (2) there aren't enough good titles available on "Watch Instantly." "I think this is a totally foolish move on your part. I like to be able to add movies to my DVD queue from my iPhone," commented "b.dsign." "[I]f this means that netflix is going to add more movies to watch instantly i support the change," "Beto" wrote, "but if they are not, then it's just a bad idea."
As of yet Netflix hasn't released any response, which, really, is their response. Whether customers like or not, Netflix knows that the future is moving away from physical discs and toward instant access. And, really, none of us who use Netflix should be surprised: Back in November the company announced that they were offering a new lower subscription rate for streaming-only customers while increasing the rate for people who still wanted DVDs. Right now, if you want DVDs from Netflix, the company is less than thrilled with you: They need you to get used to the idea of streaming films and TV shows so that you'll drop the physical disc habit: a craving, ironically, that they themselves created thanks to the ease of their iconic red envelopes.
But while Netflix is slowly discouraging the continued interest in DVDs, they face a different challenge even if their business model transformation succeeds. As Slate reported, if Netflix's streaming business takes off the way they think it will, it could prove a serious drain on America's broadband capacity, which is far less nimble than other countries'. Netflix is angering customers right now because the company wants to do away with DVDs: We don't even want to think of a future where Netflix angers the entire Internet community because too many people are streaming old episodes of "Friends" at the same time.
by: Tim Grierson
When Netflix started up more than 10 years ago, its sales pitch was pretty simple: Hey, subscribe to us, and we'll mail you DVDs that you can then mail back to us without worrying about any late fees. But as the rental market moves toward online and on-demand models, Netflix's iconic red envelopes may eventually become as antiquated as VHS tapes. Beefing up their streaming business, Netflix has predicted that in about two years their economics will be geared more toward their "Watch Instantly" service than through physical discs. For that to happen, Netflix will have to nudge their DVD-loyal customers to the new platform. And on Monday, the company learned just how hard that may be.
In a seemingly innocent 109-word blog post, Netflix director of product management Jamie Odell announced, "We're removing the 'Add to DVD Queue' option from streaming devices," suggesting that it was being done so that the company "can concentrate on offering you the titles that are available to watch instantly." Granted, the Netflix website still allows DVD queue updating, but this post, dropped on the morning of Martin Luther King, Jr. Day, created an immediate firestorm of comments -- most of them very, very angry.
"Clearly Netflix wants to send less discs through the mail, and therefore wants to make it more difficult for the user to add to their queue in furtherance of that," wrote "Eldendor." "Horrible idea!" wrote "usrbingeek." "Especially when there are still few titles available for streaming and the titles that you do have, seem to have very narrow license windows." On and on came the complaints, with most responders saying essentially (1) I like having access to DVDs even if I use a PS3 or mobile phone to stream movies on Netflix; and (2) there aren't enough good titles available on "Watch Instantly." "I think this is a totally foolish move on your part. I like to be able to add movies to my DVD queue from my iPhone," commented "b.dsign." "[I]f this means that netflix is going to add more movies to watch instantly i support the change," "Beto" wrote, "but if they are not, then it's just a bad idea."
As of yet Netflix hasn't released any response, which, really, is their response. Whether customers like or not, Netflix knows that the future is moving away from physical discs and toward instant access. And, really, none of us who use Netflix should be surprised: Back in November the company announced that they were offering a new lower subscription rate for streaming-only customers while increasing the rate for people who still wanted DVDs. Right now, if you want DVDs from Netflix, the company is less than thrilled with you: They need you to get used to the idea of streaming films and TV shows so that you'll drop the physical disc habit: a craving, ironically, that they themselves created thanks to the ease of their iconic red envelopes.
But while Netflix is slowly discouraging the continued interest in DVDs, they face a different challenge even if their business model transformation succeeds. As Slate reported, if Netflix's streaming business takes off the way they think it will, it could prove a serious drain on America's broadband capacity, which is far less nimble than other countries'. Netflix is angering customers right now because the company wants to do away with DVDs: We don't even want to think of a future where Netflix angers the entire Internet community because too many people are streaming old episodes of "Friends" at the same time.
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