Following tech with the consumer in mind » netflix

Netflix + Mac On The Horizon

techconsumer — Thu, 02 Oct 2008 22:42:55 +0000

Settle down, it’s not quite here yet – but at least Mac users are finally on Netflix’s radar. The company says it will begin providing support for Mac users in a few months time. The news was recently broken by Netflix representative “Brent” on the company’s official blog,

“We’ve been busy working getting a solution that will allow you to watch instantly on your Mac. So hang in there – we’ll have something for you by the end of the year,”

Encouraging words, however long overdue. It’s always astounding how businesses can completely ignore a large and growing segment consumers. Oh well, better late than never?

In other Netflix news, the company has parterned with Starz Play in a deal that will add 1,000 titles to its “Watch Instantly” selection, and is planning to add a further 1,500 by years end. Hits such as “Spider-Man 3,” “No Country for Old Men” and “Superbad” will be part of the new package of titles.

Netflix Eliminating Profiles: Tells Us We Don’t Own Our Data

Bob Caswell — Thu, 19 Jun 2008 13:30:10 +0000

Last night Netflix sent out an email (full text below) explaining that it will be getting rid of profiles. For those unfamiliar, the profile feature allows one account to have multiple profiles. For example, you could pay $13.99 to get 2 DVDs at a time sent to your addresss but have one DVD come from your queue of chosen movies while the other DVD comes from another queue of movies.

It also allowed each queue owner to have their own movie ratings, recommendations, friends, etc. This feature is/was especially useful for families. As long as you’re all at the same address, you could pay for the 2-at-a-time plan and have your movie ratings, friends, recommendations, notes (basically all features) separate from your spouse’s.

Not only is Netflix taking this feature away, the company is also reminding us that we don’t own our own data. In the FAQ about this decision, Netflix states the following (emphasis added):

Your additional Profile Queues will be eliminated. If you would like to keep a copy of each Profile Queue we recommend that you print them out
Prior to Profiles going away, we will also email you a copy of your Profile Queues
Profiles movie ratings and Profiles Friends connections will no longer be available
You will not be able to transfer your Profiles data to a separate new account

So if someone in your household has written movie reviews, made friends, rated movies, sent notes, received recommendations, etc. — basically done any of the cool so called “web 2.0″ features made available on the site — they lose it all. You don’t even have the option to pay to keep it. How infuriating.

Netflix is quickly losing its otherwise positive image from this stupid mistake. The uprising has already begun. See Hacking Netflix for around 200 mostly negative responses or Get Satisfaction for another 50 or so. Some are hoping that there’s time for Netflix to change its mind, but Netflix spokesperson Steve Swasey said that the decision is a “final decision.”

See below for the ambiguous email sent from Netflix last night:

Important News Regarding Netflix Profiles

Dear Bob,

We wanted to let you know we will be eliminating Profiles, the feature that allowed you to set up separate DVD Queues under one account, effective September 1, 2008.

Each additional Profile Queue will be unavailable after September 1, 2008. Before then, we recommend you consolidate any of your Profile Queues to your main account Queue or print them out.

While it may be disappointing to see Profiles go away, this change will help us continue to improve the Netflix website for all our customers.

If you have any questions, please go to http://www.netflix.com/Help?p_faqid=3962 or call us anytime at 1 (888) 638-3549. We apologize for any inconvenience.

- The Netflix Team

*Update* So much for the “final decision,” Netflix has been “persuaded by the well-reasoned, sincere responses of loyal members” to reverse its decision!

Blockbuster Online & Facebook: No Longer My Friends

Marion Jensen — Thu, 03 Apr 2008 04:32:15 +0000

Bite me, Blockbuster Online. Oh, and you too, Facebook.

About three years ago, I signed up for Netflix, Walmart DVD Online, and Blockbuster Online. I wanted to see which interface was better, and who was quicker about sending me DVDs in the mail. Netflix won, hands down.

Blockbuster has recently come out with an interesting idea, however, where you can rent online, as well as in the store. They have been pestering me to “come back” for years, and yesterday they sent me a free month. So I thought, what the heck. I’ll sign up, rent a few, and then cancel after 29 days.

I canceled after one. Here’s why:

I put Enchanted in my queue, because the kids have wanted to watch it. I thought it would be a fun surprise. It was a surprise, all right.

I wandered over to Facebook sometime later, and there in my newsfeed is a proud proclamation, “Marion Jensen added Enchanted to his Blockbuster queue!”

WHAT?!

I’m glad I didn’t add what I wanted (Beaches, Sense and Sensibility, and Pretty Woman).

Now, I’ve gone through the settings of Facebook long ago and have turned notifying all actions from external sites (nobody is so bored that they run to the web to see what I’ve been doing), but that didn’t stop Facebook. Even though the default to Blockbuster Online was “notify me first,” it posted this breaking story to my newsfeed. My co-worker logged in and saw that I had added Enchanted to my Blockbuster queue.

I’m pretty ticked.

So, the lesson? Screw Blockbuster, go with Netflix. And as far as Facebook goes, BACK OFF.

As soon as I see an alpha version of Justin Ball’s app that brings social networking to blogging, I’m bailing.

*Update* Several readers have asked why I added the Blockbuster app if I didn’t want my queue broadcast to the world. The fact is that I didn’t add the app. The app was added for me, by Facebook. I can only assume that the two systems talked to each other because I login with the same e-mail address.

Marion Jensen

Dear Microsoft: Get Netflix on the Xbox 360 and I’ll Buy One

Bob Caswell — Tue, 26 Feb 2008 01:47:07 +0000

Last week plenty of rumors were floating around about a potential Microsoft / Netflix partnership. The announcement was supposedly going to happen during the keynote address (by Xbox Live exec John Schappert) at the Game Developer’s Conference in San Francisco last Wednesday. The concept: make it so Netflix’s 7,000 available “Watch Instantly” movies would be viewed easily on your TV via the Xbox 360.

But sadly, this rumor didn’t prove to be accurate (yet); no such announcement was made even if the excitement surrounding the news was anything but restrained. Just check out the comments on any of the sites I linked to above. I couldn’t find anyone thinking this possibility was a bad idea for the consumer. Instead, there was plenty of this:

“I don’t even use Netflix right now, but I would sign up in a second if I could stream their catalog to my 360! Do it now!!!” (via Gizmodo)
“I would reactivate my NetFlix account if this was going to happen soon.” (via Gizmodo)
“I’d probably sign up for Netflix again if this happens. What about you guys?” (via CrunchGear)
“I would definitely get netflix again if I could get it over my 360.” (via CrunchGear)
“I totally agree. I have often considered Netflix but never did it for one reason or another. THIS, sells me.” (via Engadget)
“This would force me to buy a subscription. Do it netflix. You’ll be rolling in $$$.” (via Engadget)

Now, it’s interesting to note that most comments focused on this being a benefit for Netflix (in terms of gaining new customers). Microsoft has already been renting movies through its Xbox Live service for over a year even if the catalog is pretty weak: 300 movies. But I’m doubting that feature has been behind many Xbox 360 purchases.

Netflix, on the other hand, currently has 7,000 movies and TV shows available via its Watch Instantly service. That may seem small compared to the more than 90,000 DVDs in its library, but that 7,000 is on the rise and has more than doubled since the online service went live a little over a year ago. Plus, it’s still a much larger library than most other video-on-demand services available through cable companies.

Of course, most all the sources I quoted above include a relatively tech savvy audience already likely to have an Xbox 360. And I personally think the potential (again, in terms of gaining new customers) is just as strong for Microsoft and wanted to take the chance to agree with this MSNBC article:

“But Netflix is a household name. My parents have a Netflix membership. The company has fended off (at least so far) competitive attempts by everyone from Wal-Mart to Blockbuster. And it has 7.5 million subscribers, many of whom might be convinced to buy an Xbox 360 for the sheer convenience of true on-demand movies – and to not have to mail back those DVDs anymore.” (emphasis added).

An interesting statistic would be just how much overlap there is between the two currently (i.e., how many people are already both an owner of an Xbox 360 and a member of Netflix). For now, all I can say is that I am a Netflix member and would buy an Xbox 360 if this rumor came true. Anyone else?

Note: This article is cross-posted at BobCaswell.com .

Netflix Chooses Blu-ray, Big Blow to Any Chance of an HD DVD Comeback

Bob Caswell — Mon, 11 Feb 2008 20:50:49 +0000

Notwithstanding the price slashing Toshiba has been doing (HD DVD player with 7 movies for $129 compared to Blu-ray players starting in the $300′s), Netflix choosing to drop HD DVD by year’s end in favor of Blu-ray exclusivity is quite the blow to the HD DVD crowd. Thanks a lot, Netflix. Give me an online streaming experience in HD by year’s end, and you’re forgiven. See below for full text of the email going out to any Netflix HD DVD users:

We’re Going Blu-ray

Dear Bob,

You’re receiving this email because you have asked to receive high-definition movies in the HD DVD format. As you may have heard, most of the major movie studios have recently decided to release their high-definition movies exclusively in the Blu-ray format. In order to provide the best selection of high-definition titles for our members, we have decided to go exclusively with Blu-ray as well.

While we will continue to make our current selection of HD DVD titles available to you for the next several months, we will not be adding additional HD DVD titles or reordering replacements.

Toward the end of February, HD DVDs in your Saved Queue will automatically be changed to standard definition DVDs. Then toward the end of this year, all HD DVDs in your Queue will be changed to standard definition DVDs. Don’t worry, we will contact you before this happens.

You can click here to change your format preferences.

We’re sorry for any inconvenience. If you have any questions or need further assistance, please call us at 1 (888) 638-3549.

-The Netflix Team

*Update* More bad news for HD DVD… “Best Buy will recommend Blu-ray as the preferred format.”

Apple TV: Top 10 Reasons You Should Wait

Bob Caswell — Fri, 18 Jan 2008 14:36:28 +0000

I’m not usually one to go for the top 10 list method of discussing limitations of a product. But then again, products don’t usually have 10 weaknesses I care enough about to compile a list. Apple TV, on the other hand, falls into this category. And it’s not even a first generation product!

But to be fair, I should point out that this is a product I sincerely want to work. After all, I already use iTunes to manage my music, and the iPod is my music player of choice. Too bad, then, that Apple TV simply isn’t ready for prime time. Here are the top 10 reasons you should wait:

1. No TV Focus

Steve Jobs has confirmed that Apple TV will focus on movies rather than TV shows. This makes sense considering Apple’s scuffle with NBC last year but means no Battlestar Galactica, Heroes, or The Office for you. If the focus is shifting toward movies then expect TV show selection to go down, not up.

2. Older iPods

So the cool new feature that makes Apple TV different this time around is the fact that you can rent a movie, watch part of it on your TV and then finish the rest of it on your iPod. Oh wait, this feature is only good for owners of the current generation of iPods. You know, the generation that has been out less than five months. If Apple is going to play the our-stuff-only-works-with-our-stuff game, they surely can’t expect you to rebuy all their products each time they try to entice you with a new one.

3. Rental Time

So if you rent a movie, you have 30 days to start watching it. That seems fair. But once you start, you are required to finish the movie within 24 hours, a limitation which makes it nearly impossible to start a movie one evening and finish it the next evening. Of course, a workaround has been discovered but expect Apple to plug it shortly.

4. Rental Price

Blockbuster called: they want their pricing structure back. $3.99 per movie and $4.99 per HD movie seems fairly steep, especially considering that it doesn’t take much for Netflix to be a way better deal. If you watch more than two movies per month, why would you want to pay per movie?

5. No HD on PC

So the next generation of movie watching is to be in high definition (HD), and Apple seems to realize that. But HD movie rentals via Apple TV cannot be viewed or transferred on anything but your TV. Remember that nowadays most everyone’s computer has a screen that can take advantage of HD content (the same can’t be said for TVs yet).

6. Compatibility

This one is obvious and no different than what Apple has done in the past: Anything you purchase or rent can only be used with Apple software/hardware. But there is hope, after all. If iTunes can sell restriction-free music that can be played on something other than an iPod… who knows, maybe someday other media will follow suit. But I’m not holding my breath.

7. Selection

From the press release: “With iTunes Movie Rentals and Apple TV, users can just click a button on their remote to effortlessly rent movies from a catalog of over 1,000 titles by the end of February, including over 100 titles in stunning high definition video…” For anyone interested in watching more than summer blockbusters, here’s hoping these numbers rise quickly.

8. New Releases

First-run titles will be available via iTunes but 30 days after the DVD release. The irony here is that watching movies “instantly” rather than waiting for a movie in the mail (or running to Blockbuster) is supposed to be an advantage of Apple TV. I could be wrong, but I’m guessing the crowd that likes “instant” movies is probably the same crowd unlikely to wait first for 30 days. And remember that Netflix has instant content (like the hit show Heroes) that you can watch within 24 hours of it airing on TV.

9. Separate Box

Apple TV is, of course, a separate box you have to purchase for $229 (even after the price drop from $299, I still think it’s pricey, especially now that you can get HD DVD players for around $129). And Apple has no plans to incorporate CableCARDs, a DVD player, or pretty much any third-party equipment you might use. So it’s not as if buying Apple TV will allow you to consolidate your home theater equipment. The opposite is true.

10. No HD Purchases

That’s right, folks, HD content can only be rented at the $4.99 per movie fee.

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Apple TV 2.0 vs. Netflix Unlimited: This Will Be Interesting

Bob Caswell — Tue, 15 Jan 2008 21:08:20 +0000

So today is Apple’s yearly coming out party where good ol’ Steve Jobs takes the stage and releases big surprises (even if most are leaked days earlier). There’s a new ultra-thin notebook, new features for the iPhone (SMS messaging to multiple friends), new apps for the iPod Touch (Mail, Maps, Stocks, Notes, and Weather), iTunes movie rentals, and the second generation Apple TV.

Despite the fact that plenty of people already seem to be professing a new found love for the MacBook Air, my interest is more towards Apple’s desire to be in the center of my living room. So let’s take a look at the newly released Apple TV set-top box and iTunes rental package:

Interestingly enough, Apple did so poorly in this sphere last year that Jobs admitted on stage that the Apple TV product had failed. But that was simply a quick way of introducing the latest and greatest Apple TV 2.0. This time around the price has dropped (from $299 to $229); it requires no computer and allows for rentals (via iTunes) directly from the box.

Movies will be available both in standard definition and HD from pretty much all major studios: Miramax, Touchstone, MGM Lionsgate, New Line Cinema, Fox, Warner Bros, Paramount, Sony, and Universal. First-run titles will be available on the iTunes Store 30 days after the DVD release (unfortunately). Over a thousand titles are expected to be available for rent “by the end of February.”

Movies are available in HD Dolby 5.1 while other media is available/supported as well: podcasts, audio, video, and photos (via Flickr and .Mac). Movies now have previews and start playing relatively quickly (within 30 seconds) but have to be watched within 24 hours of being started. Pricing is $2.99 for older titles and $3.99 for new releases. But that’s for standard definition; high-definition titles are $1.00 more.

All of this is mostly good news, and I must say that part of me is definitely interested. But online movie rentals have been around for years now with consumers mostly ignoring the option. And Apple isn’t necessarily doing anything revolutionary. I still need a separate box, which has to be setup with my system. Plus, I pay a high premium per movie ($5) and am required to finish watching the movie within 24 hours (a limitation which makes it nearly impossible to start a movie one evening and finish it the next evening).

So Apple TV is really just another option among a crowded-and-ignored group. What sets Apple apart is a slew of little things, such as the fact that these rented movies can also be played on a PC, Mac, iPod, or iPhone (and you can apparently start watching it in one place, such as your TV, and then pick up where you left off but on your iPod). Mix that in with the previously mentioned Flickr / podcast / music support, and you have some differentiation.

But the core product of watching digital movies on your TV isn’t much different than what we already have. Enter Netflix:

Netflix recently announced that subscribers will have unlimited access to movie viewing online. It used to have a quota/hours system in place, which was based upon how much you paid for your mail-in DVD plan. But that isn’t the only Netflix announcement recently. Netflix has partnered with LG and is creating a cable-like box that will allow you to watch movies on your TV via Netflix streaming. More importantly, Netflix hopes to partner with videogame console makers.

Let’s take a look at the advantages: no waiting 30 days for new releases (if you can’t wait, just have Netflix send you the DVD), no having to finish a movie in 24 hours (finish it whenever you want), no high price per movie fee (if you watch more than 2 movies a month, why would you pay iTunes the high fee of $5 per movie when you can get unlimited movies for close to the same price?), and possibly no new device to hook up to your TV.

But Netflix can’t get on your iPod, and Netflix doesn’t care much about your pictures or music. Even so, I’m leaning more toward Netflix (I’m already a member as it is, but I’m talking about the purchase of a set-top box). And if Netflix becomes available on a gaming console or two? Then definitely, Netflix. But Apple has no shortage of fans and has been known to innovate quickly. It will be interesting to see how this consumer technology evolves.

*Update* Looks like HD content via Apple TV can NOT be transferred or used on any devices other than your TV. Also, TechCrunch has a poll asking who might buy Apple TV.

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Netflix Preemptively Takes On Apple: Unlimited Online Movies

Bob Caswell — Mon, 14 Jan 2008 00:55:59 +0000

Netflix will be making a big announcement tomorrow, coincidentally one day before Apple will be making some [similar] big announcements of its own:

Starting Monday, January 14, 2008, Netflix subscribers will have unlimited access to movie viewing online. The company plans to do away with its quota/hours system it had in place before (viewing hours per month were based upon how much you paid for you mail-in DVD plan). The only group of Netflix subscribers to be left out of this unlimited plan: you who pay the minimum of $4.99 to rent just two DVDs per month.

Right now the Netflix online catalog consists of approximately 6,000 titles, which is still only a fraction of the 90,000 titles in the company’s DVD collection. But the number of movies available for online viewing is still on the rise and has doubled since the online service went live a year ago. And it’s still a bigger library than most other video-on-demand services available.

This news has even bigger potential when combined with the previous Netflix announcement of Netflix and LG marketing an LG-branded device (like a cable box) that will allow you to watch movies on your TV via Netflix streaming. The LG partnership is to be the “first of many” Netflix hopes to announce this year with makers of hardware devices, including videogame consoles.

Netflix’s news of unlimited movie watching comes just one day before Apple’s expected release of an iTunes movie rental service. The main advantage Apple will have is that its digital content will be viewable on iPods and iPhones along with computers. But so far, most consumers appear to prefer watching movies on their big-screen TVs. Apple already has a product, Apple TV, which syncs movies from your computer to your TV. But it has been met with some critism and is not without its limitations.

The Netflix unlimited plan may be more attractive than Apple’s expected $3.99 per movie plan, which will likely require movies to be downloaded and viewed within 24 hours of purchase. Whatever the case, more competition in this space is definitely a good thing.

Note: This article is cross-posted at BobCaswell.com.

Netflix TV Boxes Coming Soon + Netflix via Gaming Consoles

Bob Caswell — Thu, 03 Jan 2008 15:35:24 +0000

The big news today is that Netflix and LG plan to market an LG-branded device (like a cable box) that will allow you to watch movies on your TV via Netflix streaming. Details are sketchy, but the product is to be available in the second half of this year.

And multiple sources are claiming that this magical device will play both Blu-ray and HD DVD discs, the two big next generation high definition rival formats that are incompatible with each other. LG already offers a Blu-ray / HD DVD combo player for $799, but some are hoping this new Netflix device will be priced much lower.

The idea, according to Netflix CEO Reed Hastings, is for the new service to combine the benefits of an Internet browser with the luxury of watching movies and TV shows on large, high-definition TV screens. He mentioned that you, as a Netflix subscriber, would be able to go to the Netflix website and create lists of movies you want to see on your TV. Here’s more of what Hastings had to say:

“We think we have solved the real fundamental problem, which has been that choosing movies on a television has been extremely challenging… Video-on-demand companies worked at it for a long time, but choosing movies on the TV just doesn’t have the power of the Web.”

Netflix already has streaming movies available at no additional cost to subscribers. The streaming service has been available since last year and works by you getting a certain number of hours of free online watching time in addition to whatever DVDs you normally get through the mail. For example, if you pay $17 per month for the 3-at-a-time DVD mailing plan, you’d also get 17 hours of free online watching time. The good news is that the same policy will apply to this new Netflix/LG device, that is, you’ll get 17 hours of free online watching time to be available directly via your TV.

Hastings further explained that the company’s Internet-streaming service has been popular, but mainly among the under-25-years-old group who don’t mind watching movies on their computers (or hooking their computers up to their TVs, like I do). But that approach isn’t going to “get to the whole market.”

And this LG partnership is to be the “first of many” Netflix hopes to announce this year with makers of hardware devices, including videogame consoles, according to some sources (Xbox 360? PS3? Both?). Apparently, for several years, Netflix had a small in-house team working on a prototype Netflix device as kind of a “backup option.” But now so many companies are interested in partnerships that Netflix has shelved plans to make a set-top box under its own brand.

So far Netflix has about 6,000 movies and TV shows available for online streaming, which may seem small compared to the more than 90,000 DVDs in its library. But that number is still on the rise and has doubled since the online service went live a year ago. And it’s still a much larger library than most other video-on-demand services available through cable companies.

See our previous coverage as to why Blockbuster has serious issues and why Netflix is likely the best platform for receiving movie and TV entertainment. Also related, some thoughts on Blu-ray vs. HD DVD.

Additional PR quotes from Netflix & LG:

“We want to be integrated on every Internet-connected device, game system, high-definition DVD player and dedicated Internet set-top box,” said Netflix Founder, Chairman and CEO Reed Hastings. “Eventually, as TVs have wireless connectivity built into them, we’ll integrate right into the television.”

Hastings continues, “Internet to the TV is a huge opportunity. Netflix explored also offering its own Netflix-branded set-top boxes but we concluded that familiar consumer electronics devices from industry leaders like LG Electronics are a better consumer solution for getting the Internet to the TV.”

“Consumers crave compelling and immediate content, and the Netflix online streaming movie feature can provide instant gratification. This alliance underscores LG’s goal of developing smart technologies that deliver flexibility, convenience and control to consumers,” said KI Kwon, President of the Consumer Electronics Division of LG Electronics USA, Inc.

*Update* Erick Schonfeld of TechCrunch thinks “The Netflix Set-Top Box Will be a Hard Sell.” But his argument doesn’t discuss the possibilities of Netflix streaming via gaming consoles.

Note: This article is cross-posted at BobCaswell.com.

Why Blockbuster Total Access Doesn’t Work

Bob Caswell — Fri, 21 Dec 2007 14:57:17 +0000

In theory, Blockbuster has a better offering than Netflix in that it “lets you rent online with the flexibility to exchange movies in-store, so you never have to wait for a movie.” That is, according to the marketing pitch plastered all over its homepage. But I decided to see just how “total” Total Access is, and I found it pretty lacking. In short, over half the movies in my Netflix queue are not available at my local Blockbuster.

So I could switch to Blockbuster and have the added “flexibility” of exchanging movies in store. But it would honestly be more of a headache to micromanage the discrepancy between what I want to see and what’s available in the actual store. I’d rather wait and see what I really want to see.

I remember when Blockbuster locations had decent selection. But nowadays, the stores located closest to my past two addresses have all been half the size of the Blockbusters I browsed growing up. And let’s not forget the focus: hundreds of copies of new releases so as to be “guaranteed” in stock while other movies get demoted to only one copy that is often checked out indefinitely (yes, there is a downside to no late fees).

And what if you’re not interested only in box office hits released within the last five years? The sales associate hovering uses it as reason enough to ask, “Have you tried Blockbuster Online because that movie isn’t available in our store.”

So why don’t I try using Blockbuster Online then? Well, I did, and it seemed fine. The problem? I don’t have a single friend who uses Blockbuster Online. All my friends who rent movies online use Netflix. The social side of movie watching has never been better; I use it as a way to stay in touch with high school / college buddies. We see what each of us has been watching lately, rate movies, leave comments, etc. It’s great fun.

Will I never go to Blockbuster again? Not necessarily. There do seem to be those few times a year when I impulsively want to “browse and pick” (even if my wife isn’t a big fan of that move). Of course, now that I have access to streaming movies via Netflix (which so far seems to work extremely well for me), my token in-store browsing time may shrink even more.

Note: This article is cross-posted at BobCaswell.com.

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