Netflix Halts Saturday Disc Shipments16 Jul, 2014 By: Erik Gruenwedel
The U.S. Postal service may be considering stopping Saturday mail deliveries, but Netflix has already ceased processing rental discs on Saturdays.
Netflix, which created the by-mail disc-rental business, but now focuses on subscription streaming, stopped processing disc shipments on Saturdays in June, according to a spokesperson. Disc rentals to about 8 million subscribers are now processed Monday through Friday, excluding holidays.
The Los Gatos, Calif.-based service at one time was the Postal Service’s largest individual client, generating more than $500 million in revenue.
With more than 50% of post offices not having regular hours on Saturday, Netflix’s processing centers were stuck with millions of undeliverable discs. So the company shifted its manpower to the five-day work week and now tries to get most of the shipments out by Friday.
“The Post Office still delivers on Saturday, so DVDs processed earlier [by Friday] may still be delivered on Saturday,” spokesperson Joris Evers said in an email.