06-03-2012, 01:47 PM
Yeah, that article confirms what I was getting at -- that Netflix, as a monthly payment rental service, isn't competing with all of these other $-per-download services. I wasn't aware that Netflix was killing those services in a straight streaming revenue comparison but it's no surprise to me. I'm just not sure how big the market is for stuff like this:
Red Tails:
iTunes sells it for $14.99
Amazon sells it for $14.99 or rents it for $3.99
Netflix doesn't have it at all for streaming but I can get the disk as part of my monthly fee (I still do disk + streaming)
Netflix still offers all the top movies, but only as disk rentals.
Amazon offers SOME premium movies as streaming rentals (pay per view) but I suspect the studios refuse to allow most of it, hoping for digital sales instead (e.g., THOR -- available on iTunes and Amazon for $14.99. No rental options and Netflix doesn't have it for streaming but they DO have the disk.)
I just don't think most of the country is interested in buying movies for $15 or renting them for $4 when Netflix is a far better monthly deal, even after the price hike. 1 disk at a time is $7.99/month. Get 1 disk every 2 weeks and it breaks even with Amazon (actually, if you want to limit yourself to 2 disks per month, there's a $4.99 plan just for that). iTunes doesn't "rent" so they aren't even in the picture.
This is part of how Netflix destroyed the DVD rental industry.
I also think everyone who angrily quit Netflix over the price hike is going to come back, if they haven't already. There are / will be competitors out there but nothing is nearly as good or as affordable as Netflix right now.
At least domestically. It's the overseas scene that's hurting Netflix and I'm not as familiar with how things work there.
Red Tails:
iTunes sells it for $14.99
Amazon sells it for $14.99 or rents it for $3.99
Netflix doesn't have it at all for streaming but I can get the disk as part of my monthly fee (I still do disk + streaming)
Netflix still offers all the top movies, but only as disk rentals.
Amazon offers SOME premium movies as streaming rentals (pay per view) but I suspect the studios refuse to allow most of it, hoping for digital sales instead (e.g., THOR -- available on iTunes and Amazon for $14.99. No rental options and Netflix doesn't have it for streaming but they DO have the disk.)
I just don't think most of the country is interested in buying movies for $15 or renting them for $4 when Netflix is a far better monthly deal, even after the price hike. 1 disk at a time is $7.99/month. Get 1 disk every 2 weeks and it breaks even with Amazon (actually, if you want to limit yourself to 2 disks per month, there's a $4.99 plan just for that). iTunes doesn't "rent" so they aren't even in the picture.
This is part of how Netflix destroyed the DVD rental industry.
I also think everyone who angrily quit Netflix over the price hike is going to come back, if they haven't already. There are / will be competitors out there but nothing is nearly as good or as affordable as Netflix right now.
At least domestically. It's the overseas scene that's hurting Netflix and I'm not as familiar with how things work there.