Netflix Widening Gap Between Disc, Digital Services?

30 Mar, 2012 By: Erik Gruenwedel

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Little more than six months after it infamously bowed and then scuttled stand alone by-mail disc rental service Qwikster, Netflix apparently is incorporating user-interface changes that further sequester physical and digital subscribers.

Specifically, one disc subscriber writing on  noticed that he or she is now directed to a dvd.netflix.com subdomain featuring substantially fewer reviews of a particular movie than is found on the streaming-only site.

Previously, movie reviews and rating — whether physical or digital — appeared on the same Netflix page.

“So, if I am a [disc] customer and go see The Artist in theaters and think it's the greatest movie I've ever seen, I can't go home and rate it 5 stars and begin getting recommendations for similar films that Netflix might have on Instant,” wrote myhandleonReddit March 27. “Also, as a DVD customer I can no longer read any reviews that people may have written while having the instant plan.”

That posting generated more than 120 responses — the majority negative.

“I’m just so confused why Netflix is so fascinated with destroying the value of their service,” wrote fspOr.

Last fall when Netflix instituted a 60% price hike on its popular hybrid disc/stream plan and then rolled out Qwikster, the actions resulted in myriad negative posts by consumers online, the subsequent exodus of more than 800,000 subscribers, and a 75% drop in Netflix's stock valuation. Both the stock and subscriber base have rebounded since.

Fan site reported that Netflix recently purchased the domain address for an undisclosed amount.

Separately, Netflix is once again experimenting offering a sellthrough option for select titles.

Subscribers interested in renting Tinker, Tailor, Soldier Spy (Universal Studios Home Entertainment), starring Oscar-nominated Gary Oldman, can find a “buy now” link underneath the “add to queue” button. Clicking on the buy option directs you to a Universal ecommerce page — underscoring Netflix’s desire to curry favor with a studio without directly engaging in sellthrough.

“We’re always testing ways to improve Netflix for our members, but nothing further on this,” said Netflix spokesperson Steve Swasey in an email. “No DVD purchase opportunity at Netflix.”

Finally, Netflix CEO Reed Hastings March 30 posted on  annoyance with the fact he couldn’t access HBO Go on his Xbox or Roku media player due to ISP provider Comcast disallowing access to the Time Warner-owned TV Everywhere platform.

HBO March 27 launched HBO Go on Xbox 360, which allows authenicated viewers to stream more than 1,400 catalog and new series and movies on demand through a broadband connection. Comcast has its own TV Everywhere platform called Xfinity TV.

“Comcast: I’m paying you a lot of money for HBO, so please let ...me watch HBO Go on my TV,” Hastings wrote.

Facebook friend Tim Napoleon responded dryly, “I want to watch [Netflix original series] ‘Lilyhammer’ on Time Warner cable. Why are you making me get a Netflix account?”

 

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