Posted on 12/20/2008 1:32:47 AM PST by Las Vegas Dave
Washington, D.C. (December 17, 2008) -- On October 30, I reported here that Netflix was painfully slow in sending new Blu-ray releases to its customers. Time and time again, Netflix tagged new Blu-ray titles with the dreaded "Long Wait" or "Very Long Wait" label, meaning it could take weeks before the title is mailed to you.
On November 20, I wrote an update saying that I had had enough. I was dropping Netflix and signing up with Blockbuster's online rental service. Considering that I paid $18 a month for my Netflix subscription, which allowed me to have three different discs out at the same time, I wrote that you would think that the company would work harder to get my Blu-ray choices to me in a timely fashion.
Particularly since Netflix recently began charging Blu-ray subscribers an extra $1 a month for the 'privilege' of renting high-def discs!
Well, guess what? News.com now reports that Netflix is not only aware of the backlog problem, but they are just fine with it.
Steve Swasey, Netflix's spokesman, told the web site that the company simply doesn't have enough Blu-ray discs to distribute. When asked why Netflix doesn't buy more Blu-ray copies -- perhaps with the $1 a month fee they are charging its 500,000 Blu-ray subscribers -- Swasey said the company believes that wouldn't be "efficient."
"There is an expense to that," Swasey told News.com. "These things cost money. We deploy money where we think it's going to be most efficient to keep subscribers and investors happy. It's always check and balances."
Swasey added that the studios have been slow to release enough Blu-ray discs for rental services such as Blockbuster and Netflix. But the Netflix spokesman said his company isn't necessarily interested in buying them when they are available because of the cost.
Swasey also confessed that frequent renters are penalized for watching so many films.
"What we're doing is giving new releases to the person who hasn't rented as much," he said. "We've been doing this for a couple of years and fully disclose this in our terms of agreement. If we have a shortage of titles we do what we think is equitable and give the title to the person who hasn't rented as much or who hasn't gotten as much enjoyment from the service."
Folks, as I wrote in my earlier commentaries, Netflix is ripping you off. If you're a Blu-ray subscriber, Netflix is just taking your extra $1 a month and using it for whatever it wants, be it the company's digital download program or perhaps CEO Reed Hastings' salary. Who knows? It's certainly not going for more Blu-ray discs.
(Note: When Hastings first revealed earlier this year that Netflix would charge more for Blu-ray rentals, he defended the increase by noting that Blu-ray discs cost more at retail -- and he opined that high-def owners are used to "paying more.")
I urge everyone to dump Netflix ASAP and sign up with Blockbuster's online service. Thus far, Blockbuster has been terrific, delivering almost every new release promptly.
So, Netflix, screw you!
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NOTE:
I have the Netflix $4.99/mth service for HDDVD and DVD rentals, I do expect to have a problem receiving HDDVD's until they are finally removed from Netflix's offerings.
LVD
We just returned a movie to BB and found out that the “late fees” have been reinstated. We had to buy the DVD, not just pay the fees. Paid $10 for a DVD we didn’t want.
It would be refreshing if these people would show the same outrage toward their government, which does the same thing writ large. But hey, at least you can pick a different DVD rental company to do business with.
Full disclosure: Netflix customer, not a Blu-Ray subscriber (though I did do the HD-DVD thing with them for awhile).
It would be refreshing if these people would show the same outrage toward their government, which does the same thing writ large. But hey, at least you can pick a different DVD rental company to do business with.
Full disclosure: Netflix customer, not a Blu-Ray subscriber (though I did do the HD-DVD thing with them for awhile).
Sorry for the double-post. I hate that.
>>>>found out that the “late fees” have been reinstated.<<<<<
Yes. You’re right, and I forgot about that.
They definitely have short rental periods and stiff late fees on those “premium” DVDs in the stores (”Hot Picks”???, something like that).
But at my local store they’ve been pretty loosy-goosie about charging those late fees if it’s only a day or two. In fact they don’t charge at all. That seems to be their policy.
It’s entirely possible that Netflix have started to move the goalposts now that they are a market leader themselves but Blockbuster dug almost to China so they have a long ways to go.
>>>>>Blockbuster dug almost to China so they have a long ways to go.<<<<<
Yep, I think they’d come to rely on late fees as their business model.
So basically their business model was premised on ***shaming and pissing off their own customers*****!!!!
I guess you can do that when you have a de facto monopoly.
It got so out of control that they once dinged me for late fees AND a lost video which I definitely returned, and returned on time (this was from a store that was in process of moving to another location, so it was pretty obvious that *they* misplaced the vids).
Anyway it took weeks for the franchisee/management to refund all those charges.
And that’s when I switched to Netflix. Around 2000 or 2001.
So this is a perfect example of capitalism in action, and why de facto monopolies are only temporary (in a market economy) and why Blockbuster struggles against PO’d former customers to this very day.
Can you imagine if Blockbuster were to get a Federal Bailout from Henry Paulson? They’d still be providing the “valuable market service” of insulting and victimizing their captive customer base.
I never bothered to take advantage of Blockbuster's "return them to the store" policy. If I wanted to return them to the store I wouldn't have rented online. I do not have a Blu-ray yet, so I am fine with Netflix. Judging by Netflix's response to slow delivery of Blu-rays, I guess I'm not the only one who thinks Blu-ray is too expensive right now.
Netflix should charge a premium for bluray. It only makes sense. And pressure should be put on the industry to lower the price tag for a bluray movie.
When is Lord of the Rings coming out in bluray?
When a new release comes out, though, I sometimes rent it at the brick and mortar store if I'm anxious to see it.
Netflix is great for those who watch older TV series, and you cannot beat their incredibly large library.
Blu-Ray owners are now “high maintenance?”
Pretty much. Just make sure if you buy DVDs, to buy widescreen versions. I've been doing that since they first came out in anticipation of WS displays in the future. And really, unless they're really old DVDs from a crappy print, an upconverted SD WS DVD looks just fine on a HDTV. And as they start to "remaster" movies for HD (even old films can be remastered for HD) those SD discs should look even better.
I didn't say that but anyone that publishes multiple opinion pieces about an extra buck a month is probably a customer they are better off sending to the competition. I just wish we could charge a buck on election day to vote. Conservatives would win every time.
Okay, an information on upscaling DVD players would be welcome. I have a 60” plasma and 22” LCD HD and with over a thousand DVDs don’t plan on repacing my libary.
His bone of contention is more “Blu-Ray movies take forever to rent,” less “one stinking dollar!”
Well, it isn't YOUR $1 anymore since you gave it to them. So, they CAN do whatever they want with it. Just as you could have done anything YOU wanted to do with it. You chose to give it the them.
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