Qwikster: What the Heck was Netflix Thinking?
Netflix stock has dropped 45% since they announced a new pricing structure in mid-July. Last Sunday, Netflix Co-Founder and CEO, Reed Hastings, took to social media to apologize for the way in which the company communicated that information to their clients. He also used the opportunity to announced the new banner Qwikster, that will take over the DVD by mail portion of the business.
You can bet Chris Gore had something to say about this. He started by saying, “I think it’s a huge mistake on Netflix part.” Chris continued to explain that although Soleil Moon Frye and he both love it, physical media, like DVD’s, will be going away someday soon. He thinks separating the two business will be costly and further annoy users.
Soleil chimed in to say that she may be “old school,” but she recognizes that the world of media is changing. She added that although she likes a physical DVD, she often just ends up streaming her content. She then joked, “If they opened up a video store in my neighborhood, I’d be the one person.”
Our great panel finished with a laugh about how Netflix did not even have the Twitter handle Qwikster when they made their announcement, which Chris described it as a rookie move.
What do you think of Netflix breaking off their DVD business into Qwikster?