Netflix plays the Blame Game
Netflix’s shift in dividing its usual DVD mail services and streaming services has garnered much attention from consumers and critics as to why this decision was set in stone. Many inquisitive Americans are now trying to figure out why they must pay two different bills and access streaming services and DVD-by-mail through two different websites creating inconvenience. CEO of Netflix, Reed Hastings, had a simple good humoured answer: “It’s all the Canadians’ fault”.
Canada’s Netflix is only restricted to streaming services, which was the company’s initial plan to observe how well the market for streaming services were in the North. However, placing the burden on Canada for its feasible success in streaming only services seems to place a negative connotation for the fact that Canada has helped the company realize that the demand for streaming is superior to its counterparts.
The spin off subsidiary of Netflix, Qwikster is now being adopted as a rather smart accounting decision to try and dismiss itself from the DVD niche altogether. Understanding that the demand for DVDs were decreasing, Qwikster serves as a company purposed to herald the downfall of this service in a cost-efficient manner without largely harming the brand image of Netflix.