The Dark Side of Netflix

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3/16/2005

Netflix Tactics

The theory is that Netflix maximizes their profit by decreasing the monthly rentals of heavy users with a series of various delays. Here are the most common tactics that Netflix could use to slow down your flow of DVDs. Note that this section is theoretical and can be proven
conclusively only with internal Netflix documents.

Late Afternoon Shipping
Netflix sometimes ships DVDs in the late afternoon. This makes it harder on the post office to get the DVDs to you the next day. This often adds a day to your turnaround time.

Delayed Check-In
Netflix will not always check-in your DVDs on the day that they arrive. Netflix will sometimes increase your turnaround by simply holding your DVD for a day or two.

Delayed Shipping
Netflix should send out your replacement DVD the same day they receive your returned DVD; however, they often push your ship date back a day. This allows them to automatically increase your turnaround time by a day on each DVD.

Alternate Distribution Center
Netflix will send your DVDs from alternate distribution centers that are outside of your local area. Depending on distance, this tactic can easily add an additional two or three days to your turnaround time. (See Comments for details.)

Monday Delivery
Netflix will hold your replacement DVD and ship it so late in the week that it is almost impossible for the DVD to arrive before Monday. This throttling measure not only adds days to your turnaround time, it can leave you irritated all weekend.

Missing DVDs
Netflix will sometimes throttle you by "losing" a DVD for an extended period of time. This missing DVD tactic will effectively reduce your three-out plan to a two-out plan. This virtual plan downgrade can go on indefinitely. When this happens, the burden is placed on you to discover the problem and report the issue to Netflix. Each time this happens to you, you will probably end up having to report the DVD as lost to restore your full flow of DVDs. Even though Netflix will almost always blame USPS for the missing DVD, there have been many reports of Netflix suddenly "finding" DVDs when customers start asking questions.

40 comments:

manuel said...

I'm glad you created this list. I was thinking of doing this myself. I find "Shipping Monday" and late afternoon shipping irksome. It's a great way to rip us off. Netflix ships your rental making sure it falls on a weekend or holiday much like a cab driver will run up the meter by taking the longest route. Shipping late in the day after the post office has made its last rounds is a rip off as well. Isn't it amazing how we had such fast service when we first signed up? Netflix must make 2 deliveries to the post office: one early in the day (for profitable customers, trial customers) and a second deliberately late delivery for everyone else.

Another point I would like to make--what is the purpose of creating multiple DC's? If you're being throttled this doesn't benefit you in the least. The only customers that benefit from these are profitable customers and trial customers. The alternate DC tactic is true but not as you described. They might, for whatever reason, have to ship from an DC. Think about it...shipping from an alternate DC ties up rentals, even for their profitable and trial customers. It's much easier and profitable if they shaft "heavy users" by using computer programs. However, shipping from an alternate DC makes for a handy excuse (just like the check is in the mail). I'm sure it's just a matter of time until someone confesses about their customer accounting software.

Editor said...

Dear Manuel,

Thank you for your comment.

I see your point about the alternate distribution center shipping tactic. It is true that, although the tactic causes delays for heavy users, it does tie up Netflix inventory.

A situation where I could see this being a winning scenario for Netflix would be if they had a surplus of a DVD title at one location and wanted to redistribute that title to another distribution center.

For example, let’s say Texas has a surplus of Platoon DVDs sitting on the shelves collecting dust, and Arizona’s supply of Platoon DVDs is a little low. It would benefit Netflix to redistribute these DVDs on the backs unprofitable customers.

When a heavy user in Arizona requests Platoon, Netflix would not send the DVD from the low supply in Arizona (which is reserved for light or new users in Arizona), Netflix would send the DVD from Texas. When the customer returns the DVD, it would go to Arizona to supplement the supply. As a result, Netflix gets to delay the heavy user by a couple of extra days and Netflix gets to transport the DVD to another distribution center at no additional cost to Netflix.

Bill said...

The same thing happened to me. The first few weeks were terrific, they sent the movies out right away and then they got slow. One tactic on their part is not working weekends. You send the movies in on Friday, if they get them on Monday and you get them on Tuesday if you are lucky. You would think missing four out of seven days would be enough. I have experienced ALL the other tatics as well, as Warren has listed.

BUT, I do like Netflix, I just wish they were like they were in the beginning.

I got Netflix when I cancelled most of my cable services, you can only see "Dirty Dancing" and "Top Gun" so many times.

Has anyone heard how the new Blockbuster service is?

manuel said...

Warren: You make a good point about the DC centers and heavy users. I'm sure they've maximized their service in their favor.
Bill: In my opinion, Blockbuster is slower when it comes to shipping. I recently made a comparison of the services:

http://www.manuelsweb.com/netflixjournal2.htm#compare2

I think this is because their service is new and they're adding more distribution centers. Just in a short time, I've seen a considerable improvement in their anime selection.

BTW I had no idea we could have avatars. I saw yours and immediately added an avatar for me as well (picture of my cocker). Looks like you have a Lab, yes?

I can't help myself. I spend more time complaining about Netflix and not having enough rentals which takes up my time of actually watching my rentals.

Noah said...

I'm happy that you have this blog up. I have suspected for some time that something was up with Netflix. I assumed that it was USPS. I'm about 45 miles away from the local distribution center for Atlanta in Duluth. So mail will get there in a day, less than a day in a few instances. I specifically mornitored my returns and shipments for this month because I knew somthing was wrong. I noticed that dvds returned in the same batch were showing up as received hours after each other.

Here's are my mailing options:

1) I live a few miles away from the main USPS Post Office in Atlanta where mail is picked up like 12 times a day. I drop it off in the morning before work or school it arrives at 7 or 8am the next day

2) My local post office. Mail gets picked up twice a day. Mail should get to netflix by 10 am or noon the next day

3) Mailbox outside my door. Mail gets picked up once a day. Mail should get to Nexflix the next day. But depends on when the carrier gets back to the post office and sorts mail.

4) Work.. mail gets picked up multiple times a day. Never gets to netflix for like 2+ days even though it is 15 miles away from the distribution center

5) School.. Mail is picked up once a day.. 30 miles from the distribution center. Gets there in a day.. around 7 or 8. I has gotten there in less than a day on a few instances.

My problems are netflix holding shipments, late shipments, and shipments from weird distribution centers.

For instance Donnie Darko was shipped on 03/08/05 and expected to arrive on 03/12/05. Yet it did not arrive until 3/15. I know of no mail that 5 business days to travel acrosss the US.

Franklin said...

Great website - information is power!

The only tactic I have found useful is to phone Customer Service and complain, complain, complain. That's what I did when I received deplorable service after activating a gift membership. Broken discs, shipping delays, wrong discs -- all within my first month with Netflix. Two calls to Customer Service resulted in (1) a 1 month plan upgrade from 3 to 4 at a time; plus (2) 1 additional free month (3 at a time) plus (3) 10% discount to be applied to my first period of paid service.

Lately I have noticed a marked improvement in service.

Jennifer & Juan said...

I mainly fall victim to Shipping Monday and the Late day shipping. although I have gotten shipping tomorrow a couple of times which really ticks me off because its mid-day in the middle of the week and my queue is full so there is no reason why they shouldn't send me a movie pronto.

I recieved a movie on a day I was leaving to go vist my parents so I took the movie with me and watched it. When I went to put it in their mail box to return it my dad saw it (he works for the USPS) and he said to me in a accusatory tone "Oh, your one of those people." Well that caught me off guard. So I said "What?" He pointed at the Netflix movie and said I hate those things those stupid flaps are always getting ripped off in our machines and the flaps have the customers addresses on it so we have to send those movies back to the distribution center by the stacks. My point? I'm sure this is part of the slow down as well and maybe Netflix should design a little bettle mailer.

Anonymous said...

Some of these complaints are just ridiciluious. Obviously NFLX is going to experince some shipping problems with the volume of DVD's they ship out. I am convienced that most if not all of these are unintentional.

For example, I know NFLX would not ship a broken DVD. It would be foolish and costly to do so. Furthermore, I spoke with NFLX and they told me that they remove DVDs that are scratched as soon as they are reported scratched the first time.

Net Flix created an industry that allows cheap and convient movie rentals. We should all be greatful to NFLX and Reed Hastings for giving us this option. All of the NFLX competition seems to be falling appart--notablly Blockbuster, proving that NFLX alone knows how to do online movie rentals best.

I *heart* Net Flix

-Ztsmart

(I do own some NFLX stock, but that does not bias my opinion of the company)

Anonymous said...

My wife and I are being throttled down after only 18 days of membership! We are paying extra for the four-at-a-time plan so we can each have our own two movies. The two week free period was great (two day turnaround on every DVD we sent back) and immediately after we started paying it became a three day turnaround. They received two movies from me this morning and right now my queue says the next ones are "shipping today." Well it's after 6:00 pm folks, how on earth can they ship them today when USPS is closed?
I think the last poster is mistaken when he said they immediately discard a DVD when it is reported scratched. I had one that was unplayable in places and when I reported it on the netflix website it said their "polishing machines" could restore many scratched DVDs.

Anonymous said...

All true. I have dropped my DVD's off at the main post office where their PO Box is located. Sometimes, it has taken 2-3 week days for them to show up as returned. They also delay my shipments by a day.

Currently I am in the 3 at a time UNLIMITED program. My plan still indicates unlimited, yet they are limiting my rentals. There is no question that eventually they will pay the price with a Class Action suit. Not to mention actions by state governments such as WI where I am.

I was renting 4-6 per week. Now down to 3-4 due to their tactics. Not able to rent as many movies as I want because they are limiting me!

DaveG in WI.

Anonymous said...

I just started getting throttled last week. I got disgrunteled enough to do a google search of Netflix Slow and got this page.
I just re-enrolled in Netflix this August after being laid off, so I can watch 3 movies in a day and get them out the next day. Not something Netflix likes I guess. I returned my last batch of movies on Tuesday, now its Friday AM and they are not recieved yet. This batch of movies was 'awaiting shipment' or 'shipping today' last Wednesday and one came on saturday and the other 2 on Monday.
Prior to the recent delays I was on a next day recieve and delivery schedule, but now it's obvious that my account has been flagged for a slow down.
I'll be cancelling my subscription prior to the end of this billing cycle as a result of this service, and letting everyone I know that Netflix is great so long as you don't watch to many movies.
I do believe they should be sued based upon their use of "Unlimited" in the program description. I'll be waiting for my check for $1.29 once the class action suit is settled.

eb in South Carolina, 80 miles from Columbia SC shipping center.

Anonymous said...

I have to disagree with most of you. I've been a Netflix customer for almost 2 years now. I live in Houston, Texas and I get great service from Netflix. If I send a DVD back on Monday, I have a replacement in the mail on Wednesday! You can't beat that folks! And if one gets lost in the mail, which only happened once by the way, they answered my message promptly and sent me out a replacement the same day. Also, I have NEVER received broken or damaged DVDs. I have received some that skipped, but come on, they do that when you get them from Blockbuster or Hollywood Video too. Anyway, all in all, I think Netflix is great and I wish all industries and companies had such great customer service. And NO, I don't work for Netflix.

Editor said...

Dear Anonymous,

How long have you been with Netflix? What plan are you on? How many correct and playable DVDs do you receive each month?

By the way, since you are a happy customer and not a Netflix employee, how did you happen to come across Netflix Underground? I am asking because most of the people who find this site are Netflix investors/employees or consumers who have gotten shafted by Netflix. Happy Netflix customers are normally busy watching DVDs and do not have the time or incentive to browse consumer watchdog sites.

Please explain. Otherwise, people might be suspicious of your motives.

Anonymous said...

I have been a loyal customer to Netflix for over 2 years. I live within 5 miles of their HEADQUARTERS and I have been getting "throttled" for the past 3 months. Once I upped my membership to the 5 at a time option, my shipping times was lengthened to 2-3 days, and they often wouldn't report the DVD's I shipped back to them for 2-3 days. I am extremely wary of Blockbuster because I heard they put out edited versions of films only, but my patience is being tested. I would rather pay a little more for good service. Ever since Netflix went public, their service has gone downhill. They openly and blatantly DO NOT want the business of the heavy movie watcher, as it is unprofitable for them.

Editor said...

Dear Anonymous,

In regard to your concern about edited movies, you need to read this article about the censorship myth.

http://blockbusterunderground.blogspot.com/2005/08/blockbuster-mpaa-ratings-and.html

Anonymous said...

Can anyone really explain what gain Netflix recieves by "throttling" customers? What is the increase in profit margin when they don't ship DVD's on time? How does that make them more money? Why on earth would Netflix
want any customer to cancel thier subscription? I might just be catching on late because I just got my "settlement" e-mail so I only started looking this stuff up today.

Anonymous said...

I recieved several scratched DVDs during my time with Netflix and overall Netflix was OK. Now I'm so mad at Netflix. They labeled me as a heavy user and they are delaying my shipping a day after and I never get the latest releases anymore. All the latest movies are in a long wait and very long wait period.

Anonymous said...

You people have no idea what your talking about. I work for Netflix. We do ship out the same day.

We only ship from a different distrbutiion center if your local one does not have the title in stock.

We work extremely hard to make you happy. I average about 80 hrs a week that I volunteer as overtime just so I can better service you bitter ass people.


Hello its a friggin DVD it wil not end your life if you dont get it the next day. Do something active , or spend time with your family. But dont talk shit about something you know nothing about....

Anonymous said...

As stated above, I found the site because I am now a disgruntled and evidentailly, being "throttled" in all the ways described here -- Possibly with a new tactic.

I was a 3 at a time customer for over a year, and had no troubles -- since joining the 4 at a time plan three months ago, I've now had three cds shipped and returned without my ever having received them. With the first I attributed it to my being absentminded and shipping it back accidentally, but then the second happend while I was away on Holiday, and the last one was shipped out and received back in a day and a half. Remarkable since I was working those days and didn't watch any DVDs.

Has anyone else experienced this?

My inquiry to their customer service three days ago has received only an automated response.

Anonymous said...

Continuing from the post above:

Five business day turn-around on customer support -- ridiculous.

Here is their response:

We appreciate you letting us know about the difficulty you have experienced with your mailer. These problems are unusual and we apologize for any inconvenience this may have caused.

Thank you for letting us know that you never received the movie, yet it was checked back into our warehouse. It is the policy of the USPS to return mail that is undeliverable. The most common reasons are: the mail was damaged in processing and the label was illegible, the mailer cover became separated from the rest of the envelope, or an error with the USPS known as "Looping" occurred where the movie was returned to us in error instead of being delivered. If you still wish to view this title, please feel free to add it to your Rental Queue.

If you have any further questions or concerns, please feel free to contact us.

Thanks,
Girlie,
Netflix Customer Service .

Anonymous said...

Hi, thanks for your comment, 'Hello its a friggin DVD it wil not end your life if you dont get it the next day. Do something active , or spend time with your family.' LOL, you're right !

However, I travel a lot for business and it's nice to have them in hotels, in the evening. I'd like to return them to the facility that really is the 'nearest'. What's weird is that I mailed a DVD in a mailer with a New York address... from Chicago. In the evening. Next morning it was reported 'received' by Netflix.

Then again, from Atlanta all my returns take four days or more to reach Netflix (with the usual New York address).

But I can't find a list of these addresses anywhere... Wikipaedia deleted the only list I knew of! Anybody?

Thanks !!

Anonymous said...

They even cheated me during the trial period.

I started the two week trial 2 weeks ago and only got 3 DVDs per week. The last batch I mailed on Tuesday, Wednesday, and Friday. They all showed up at Netflix on the following Monday even though I live in the same city as a distribution center (Houston, Texas).

They also said they mailed two DVDs on the same day, but then they showed up on different days in my mailbox. I think it's obvious that Netflix lied about the shipping date.

Still, 3 DVDs per week is enough for me and assuming they don't "lose" DVDs, I will keep Netflix.

Cheryl said...

Wow! Looks like what i accused Netflix of (and they completely denied) is true. I used to return a movie on Saturday (same city/same hub)and get a new movie by Tuesday. Then about two months into my membership I got a DVD that was scratched and I thought it would be in good taste to report the damage. Ever since then I have been punished for my complaint and now it takes up to a week and a half to two weeks to get one friggin movie!!!! I can't wait to read on the rest of this sight what other crappy tactics they use. I am also making it a daily plan to call their customer service everyday until they admit they are doing this scam on purpose. I used to receommend them but now I tell people to never enroll. i also work for the largest advertising company int he world and spoke about Netflix on the air. It wasn't very pretty....

Anonymous said...

I had been a happy Netflix user since 2000. Some time in 2003 I began remarking to my husband that mail from Netflix sure seemed slow all of a sudden. We went from being able to see 15 movies a month easily to perhaps 10. He then read something online about their throttling tactics and agreed something was fishy. However, this year, 2006, has been the absolute worst to date! It takes days for them to ship a movie after they receive it and when they do it is from the far reaches of the country! I never used to receive movies from Hawaii and California (I live in AL) and now those are my regular shipping points, even though Birmingham and Atlanta are right down the road. Movies often arrive unplayable or broken in two. I now visually look at each one as it arrives as I had previously just laid them aside to watch later, only to find it was badly scratched or broken in two and had sat there for days unwatched. One time it took 4 (yes, I said 4) movies being shipped before I could finally get it all watched all the way through. Mind you, this is with Netflix movies only; all others play FINE. Of course, because I am obviously a throttled customer now, it took a few weeks of movies being shipped back and forth with their delay tactics to get the thing watched. I am deciding right now whether we want to continue with them. We supported them for 6 years and it has come to this. Really disappointed and angered by their deception and double talk.

Anonymous said...

I live in Duluth (Atlanta), GA in the same zip code where the DC is but it still takes anywhere between 2-4 days to receive a DVD. Is there a way to find the physical address of the DC. I would like to go and drop it at the DC.

Anonymous said...

I was not even a heavy user of their service, but one time I returned a movie very quickly and that must've sent up a red flag, because from then on it would take a whole week to receive another movie. Before that time it took only 3 days to send and receive a new movie. Once you are used to a 3 day turnaround a week is a loooooong time.

Anonymous said...

I,too,am the victim of shipping tactics.
very often,the local warehouse(Santa Ana) will claim they did not receive back a DVD I sent to them.I live only one town away.
I also get the next day shipping delay.
In addition,I always get the shipping today,but then it turns out to be shipping the next day.This week,I sent back 3 DVds,but netflix claims"we have not received them yet"I was told they must wait 6 days to investigate.
here is the best part.I report a lost DVD,then all of a sudden it is found!
here is what I do about DVds that are sent from out of state.
First,if you get more than one DVD from the same local center,then keep the envelope and send 2 back in the same one.
Now,if you get the out of state DVD,then use the local envelope to send it back.Sometimes,it works until they realize what you are doing.

Seth said...

Netflix has a stupid way of doing business. Rather than throttling, and in sneaky yet widely observed ways, they could just have a deal like $15/month for 8 dvd's/month plus $3 for each additional dvd. You know, like cell phone companies. That way, they could keep customers who like renting a lot as well as make more money from them. I'll even give them a name for such non-throttle plans: Netflix Express. I wouldn't mind paying more if I didn't have to wait for days-upon-days.

Anonymous said...

I can't believe how many people have issues with Netflix. I live in Eugene, OR and virtually all of my discs come from Salem, just up the road. I can usually drop them in the mail on a Monday and often have new titles by Wednesday, Thursday at the latest. I've also got a home theater PC hooked to my PC so I get a lot of use out of the Watch Instantly titles. Also I make myself a sort of buffer, by taking discs I might not watch instantly and ripping them to my hard drive. That way I can return the old discs immediately while still having the titles around to watch when I want. Kosher? No. But darn handy.

Anonymous said...

Does anyone have any complaints regarding the netflix lost DVD policy? In particular, has anyone been charged for a lost DVD?

Anonymous said...

Four out of my last five Netflix rentals have come out of "alternative" distribution centers. Just one more throttling scam from this outfit.

Anonymous said...

Yeah I have been a netflix subscriber for a few months now. I am a serious netflix user. i sometimes watch all three of my movies in one day (because I have no life) and ship thenm out in the morning. I think this is beginning to agrivate them because they are starting to use some of the tactics listed above. First thing I had a movie on my list, a fairly popular movie, and it said it would have to be shipped from ohio or something because my local netflix distributer did not have it. WTF!!!! I have rented so many movies that I sometimes think I am the only one who has ever seen them. I mean, why would they have these rare, non popular movies but not this movie. I think its BS. Oh and another thing, Netflix didn't even warn me until after they said they were shipping it. There needs to be a way to check if your local distributer carries the movie u want before they ship it from OHIO and delay it a week. If I knew it would take that long, I would have brought it to the bottom of my list. Still, I am a big netflix fan. If you can get a lot out of it like i do, its worth it.

James in Sandy Springs said...

I agree with some of the bloggers. Netflix was awesome when I first signed up. Believe it or not I had a 1 day turn around time. Now it's 3 days, still not bad, but no where near as good as it was.

Does anyone know how to get the physical address of the distribution centers?

Angela said...

Hi all,

I have been a netflix customer for about 2 years now. I have noticed that within the last 6 months the turnaround time on movies reaching me has slowed to 3-4 days. I used to get them within 2-3 days. I went back and looked at my rental history for the last 6 months and counted how many movies I was averaging a month. I am on the 2 at a time "unlimited" plan but I have somehow gotten no more than 7 or 8 movies a month for the last 6 months. In april I only got 5 and 6in may! I think Netflix is hoping to take advantage of people with busy lives and between work, school, and family,we don't have time to notice dates on movies sent or received. I called customer service tonight and complained because I sent in a movie last Saturday morning and here it is Wednesday night and I have no movie. Their system says they sent it out today. This seems excessive since there is a distribution center in my city (Albuquerque). Hell I can mail something to Arizona or Colorado in 2-3 days! Of course their customer service person gave me the standard scripted message about postal service delays. Sounded like a crock to me. Oh and the rep sounded like she could care less when I said we were probably going to just cancel and use the Redbox machine for $1 a night rentals. Their customer service is terrible to say the least! No loyalty to longtime customers at all. They don't even try to convince you to stay. Guess they're making enough money off all their poor unsuspecting customers not to care.

I guess I've been flagged as a frequent renter and they've been making $2 off of each movie I rent by limiting me to 7-8 movies a month max. That's ok. I'll just start watching movies on my computer every night to make sure I get my monies worth. Hey and while my husband and I watch our rented movies from Netflix I'll put movies on the computer for the kids to watch instantly. Everyone should take advantage of the watch instantly feature.


Thanks for letting an unsatisfied customer rant.

Angela

darkforcesjedi said...

I was reading up on the topic and came across your list of throttling measures in a Google search. It seems you left something out (or maybe they just weren't doing it when you compiled the list).

The last few discs I received from Netflix have had misprinted bar codes. On the outside of the envelope is the user's address with an Intelligent Postal Bar Code (65 bars). The shipping facility (return) address is accompanied by a delivery point bar code (a 62-bar PostNet barcode).

Both bar code types have a "tracking" region. This region is darkened on all bars and is used by the reading equipment to determine the orientation of the bar code and which regions should be read as bars.

I keep the outer stubs (and write the date of receipt on them) so I can keep track of my service to determine if/when I should cancel.

Today I took a look at the Intelligent bar codes (one of them didn't look right) and found that on many of them, the bar codes had blanks in the tracking region or a misaligned tracking region, which would make delivery point unreadable! The post office would then divert the mail to a different machine that attempts to read the printed address, which can introduce additional delays. You can tell if the post office failed to read this bar code because they will print a new bar code on the envelope when they process it.

In addition, the 2 envelopes I have ready to return only have 61 bars in the delivery point bar code, which makes them invalid. By comparing them I was able to determine the correct bar code and filled in the gaps with a pen. Hopefully that will work.

Anonymous said...

I guess that Netflix is hoping that throtled customers will compensate for delayed deliveries by upgrading to a higher plan and more DVDs. While angering customers to the point of making the quit is stupid for business, stearing them towards more expensive plans is brilliant.

Anonymous said...

In my opinion Netflix can be called semi-transparently devious. During interviews management will occasionally admit to employing various techniques to "throttle" heavy users and hedge their position to avoid taking a loss. However, I do not believe they ever fully admit to ALL of their throttling techniques. Furthermore, they are disingenuous for their reasons behind throttling, almost always claiming they are acting in the best interests of other customers. The real crime is their negligent misrepresentation in their advertising campaign. Personally, I think a class action would make sense, as it could effectively force Netflix to engage in legal business practices; but who wants to become a representative plaintiff and lead the class action charge? A simpler solution is to switch to Blockbuster (which also has convenient storefronts), or rent on itunes.

Anonymous said...

When you get throttled, quit, change your email and use a different credit card. Then start sending more DVD's back in ONE envelope, and stockpile the rest until they start throttling again, then when you have to send back a DVD that's going across country instead of the nearby sort center - use one of those stockpile envelopes instead. Worked great for me.

Anonymous said...

Ive had netflix for many yrs, and while not perfect I find the service a real bargain. Do they throttle heavy users? Yes definetely, I find it happening about mid month..after a few day delay theyre back on track and coming like clockwork again. Netflix spends over 300 million a yr just on shipping so thats basically why they throttle heavy users..they do have to be profitable too..

Another thing Ive noticed is the severe delay in getting new releases now, its pretty obvious Netflix purchases very few new releases now so youve gotta wait longer...why do I seem so happy still? Cause I burn every dvd I get at a cost of about 20 cents a movie, AND burn copies for friends and family..NOW THATS A BARGAIN!

Anonymous said...

I live in the Netflix distribution center but it takes 3-4 days for them to receive my videos. It should only take one. They are absolutely sitting on videos in addition to no longer processing on Saturday. Wish they had some competition. It would certainly improve customer service.