We tend to separate college life from “the real world,” but who says we collegiettes™ have to stay out of touch? In this blog, Her Campus Skidmore brings national and global news to the campus.
Netflix has proved to be a perfect commodity for college students, especially those living in dorms, without cars, and/or without televisions. If you’re a Netflix customer, you probably received the gushy apology email from Netflix CEO, Reed Hastings and realized that not only will the DVD-mailing services and streaming services be separated by price, but also by brand name.
That’s right, Netflix DVD mailings will soon be branded with the name, “Qwikster” while the streaming website will remain “Netflix.” The executive email apologizes for the unexpected news delivered this summer that to maintain both services, you’d have to pay over 60% more, or you could chose either the DVD or streaming service for a smaller price tag.
We aren’t used to voluntary CEO confessions, but Hastings did not beat around the bush when he began the email saying, “I messed up. I owe you an explanation.” He continues to explain the transition by pointing out the separate credit card statements for each service, separate websites, and the addition of a video game upgrade option for Qwikster. He finishes up the email with an emotional conclusion:
“For me the Netflix red envelope has always been a source of joy. The new envelope is still that lovely red, but now it will have a Qwikster logo. I know that logo will grow on me over time, but still, it is hard. I imagine it will be similar for many of you…. Both the Qwikster and Netflix teams will work hard to regain your trust. We know it will not be overnight. Actions speak louder than words. But words help people to understand actions.”
Read the extended version of the email on Netflix’s blog here.
This news surfaced the long ignored but inevitable realization that DVDs are on the way out. Like VHS, and more recently CDs, DVDs seem to be en route to thrift, record and vintage stores throughout the country.
Netflix certainly makes no room for doubt on their priorities by putting their valuable brand name on streaming instead of DVD services, but the more pressing question is whether college students will follow Netflix to Qwikster territory. With popular emerging businesses like Redbox, and the ever-enduring, cost-cutting mindset of the college-aged population, Qwikster seems like a doomed operation on America’s campuses. But it’s hard to say whether Netflix would be disheartened by this news considering Qwikster seems more akin to an exit strategy than a business strategy. As technology improves, as it already has with MP3s, the convenience of streaming and downloading will outweigh the hassle and cost of purchasing a hardcopy. If the American public is anything like it’s college students, it’s not a stretch to see Qwikster fizzle out with the DVD market not just on campuses, but also throughout the nation.
Comment below if the Netflix news affects the way you now plan to watch movies and shows!