Tuesday, October 11, 2011
Netflix losing its grip on the DVD rental industry?
CNN reported that earlier today Netflix released that it was cancelling its plan to split its services into to separate companies. This plan, originally released Sept. 18 would have customers use Netflix for instant streaming and Qwikster for mailed movie rentals. This would allow customers to choose between the two businesses or both for their movie needs. Upon releasing the statement however the online community flared with hostility towards the choice as well as Netflix all together. Many customers complained of being happy with the system already in place as well as their still unsubsided anger over the price increase. These many factors led to the online outcry that forced the company to reconsider. It was a very risky idea issued during a very risky time for the company and it backfired substancially. Netflix no doubt lost customers to their faulty timing and business planning.