Is NetFlix A Scam?

Read this article about Netflix using similar practices to some web hosting companies.

http://news.yahoo.com/s/ap/20060210/ap_on_bi_ge/netflix_throttling

So what do you guys think? Is Netflix a scam?

 

I like this line in the story:

Looks like its the attorneys who won this case. You get more DVDs and I get $2.5 million. I love attorneys.

I've always wondered how netflix stayed profitable. I don't understand the business model at all.

 

I wouldn't say it's a scam, I'd say it's a business trying to make money.

I've used them before and I had no problem with the service. However I am sure if I was "throttled", I'd be annoyed.

 

Implementing different types of treatment for what customers pay for is in my book a scam if you ask me.

And because of such an scam i would also definately be annoyed.

 

I have been a member of Netflix for at least 5 years now and have never had any issues at all.

 

I just bought a six month membership today.

I bought a few memberships for family members for x-mas and they love it.

 

I have been a Netflix user for ages now and I was aware of the class action. As with all class action's, the lawyers win (God, I can't wait to enroll into Law School).

Anyway, the whole issue was their service would have hiccups as it grew. Instead of receiving your movies within one day always, it would be two or three in some cases. This mad many people mad.

The downside to the class action for me is that I am on their max plan already.

Netflix is a great service. Just make sure you check your return envelopes. Sometimes they give you envelopes with other cities on them and this will delay your wait. For example, I live in Vegas. Now and then, I get an envelope for Houston or LA. If I use these, the mail has to go to these places, which means an extra day or two in processing.

 

Services like this are pretty cool but sometimes they have small print terms for new members which can misslead people....

 

I have also been a member for about 2 years, and never had any problems. I return the movies usually the next day and it is always the same amount of time from when I send it out to when I receive it.

I did live in a small town in Colorado for a year and there was an extra day in shipping each direction, but this was a USPS thing and not netflix.

I'm not sure whether they are or are not doing what was in the article but I would personally recommend them, and I will continue to use them.

 

I used to be a member & will be joining again since my kids keep on bugging me to sign up again. When I was a member I only had one minor problem. Other then that I can't complain about there service.

The key to them making less $$ off of you is to Rent your movies & as soon as you get them then watch them Immediately. Then the very next day you mail them out & then you get your other DVD"S faster.

They make most of there $$ off of the people who hold onto there DVD"S for weeks.

Legends

 

NetFlix was making massive million dollar loses in its first year. But once they stabled the market, they signed deals direct with the Hollywood companies to ensure they got DVDs before others, and they did affiliate marketing with Yahoo and MSN, this made them really profitable.

I don't think this "throttling" makes it a scam, infact, ISPs do the same thing. They have a 'fair usage policy' so anyone who is a heavy internet user can be capped/limited or completely removed from the service. I don't see anything wrong with it so long as it's written in their small print.

We have similar services in the UK, the main problem I have with them is the way they don't send the DVD at the top of my list, so I always end up with crappy ones which weren't even in cinemas. I've never used NetFlix so I wouldn't know if that's a problem.

 

netflix is great

I watched 15 movies, in january for like $25

 

I think this is kind of stupid on Netflix's part. You will always have those who try to get the most for their money. You will also have those like me who had Netflix, and got like 3-5 movies per month. It balances out.

 

I really like netflix. The only problems arise when I do want a hot new release, it takes a while to get it. I just leave it the top of my queue and eventually I'll get it. The only time shipping titles take a while is if my local distibution center doesn't have the title and it must ship from far away. The bad part is the return envelope is addressed to that far away center, so it takes just as long to get back. Still, a great service, and huge selection compared to the local stores.