When Netflix raised their prices, people were outraged. Many dropped the service, feeling it was too expensive to keep receiving DVDs in the mail. So, to try and get rid of the confusion, get back some old customers, and grab some new ones, Netflix is making some drastic changes.
One of the changes they did to infuriate customers, was splitting up the streaming movie service and DVD-by-mail service. So what they are going to do, is completley change the name of DVD-by-mail service, which will be called “Qwikster.” Netflix will still keep the name, however, it will only be for the streaming videos. Their will also be a change in your credit card statement, but the prices will stay the same.
For me, the best part is what they are adding to the service. Not too long ago, I wrote an article, Gamefly vs. Redbox, that talked about how Redbox started video game rentals. What will be known as Qwikster, will not only be using the DVD-by-mail service, but they will be giving into the video game rentals. Many customers having been wanting this service for years. At this time, there is no information as to when this will start and the price of the service. It is great to hear that they are going ahead and trying this out. Now that Netflix will be doing game rentals, it will be another company to add to the list of companies who give the same service. Since Netflix is a popular name, they might have a better chance of succeeding.
This comes to light after Reed Hastings, Co-Founder and CEO of Netflix, released a statement on the Netflix Blog , explaining the changes that have happened and that are coming. Many comments about this blog are showing disagreement on all the changes. Some explain the problems it will cause. Only time will tell how well this new system will work
Netflix Adding Video Games Rentals, Spawning Spin-off Qwikster.