Posted by Bill's News on 02/24/06 23:04

Goro wrote:
<snip>

>>> Someone else needs to startup another rental/mail company because
>>> netflix sucks!
>>
>> NF is going thru the phase where they are trying to get as much out
>> of what is left of the business before it all collapses.
>>

40 or more years ago HBR published a paper: Marketing Myopia, by
Theodore Levitt. It crystallized US Railroads' failure as not seeing
themselves as being in the transportation business. One might say the
same of the modern USPS. Netflix is not the only mass-mailing
enterprise, but probably THE one which is presently most time
sensitive to its customer base. Thus, in a NF business model,
proximity to a USPS distribution center is crucial (especially in
severe weather areas). However, no matter what network I plug into,
I can not get volume per dollar equal to the USPS. Their delivery of
a Netflix rental, for our out of pocket cost of about two dollars per
item at most, is way more cost effective than contemporary cable,
satellite, or internet delivery. Hell, I pay my cable provider
$119/mo (community bargaining power;-) for all the cable entertainment
they offer including decent internet access. And they're NOT about to
offer me more than 4 or 5 movies per month on top of that for the same
price as a threeper from Netflix (or its feeble competition).

I can't count the number of times I've chosen an older (12 months or
more) movie from Netflix only to see it in the cable guide shortly
thereafter. So now, I have to think to myself, WHICH of these
services can I do without? $18/mo or $119/mo ;-) Honestly? I'm
thinking all but the basic cable can go - I don't need to see anything
that is offered on the same day that it is offered. And convenience?
.. . . well having a DVD hand delivered to my paws beats VOD for all
but my most whimsical of moods;-)

I've yet to be unique in anything, I suspect this is no different! ;-)

<snip>
> -goro-

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