27 January 2012

Netflix Gets A Good Outlook For 2012

Netflix Black & White Logo

AllThingD got a report about how Netflix recovered in 2011 Q4 and how Reed Hasting puts Amazon as Netflix most likely competitor for 2012

http://allthingsd.com/20120125/netflix-bounces-back-with-a-q4-beat/

This is why i never worried much about Netflix fate or put much credibility on those who said that they were going to ditch or ditched Netflix because of the Netflix-Qwikster debacle. 

As there was really nowhere to switch that could match the selection and the price. And those who switched or dropped Netflix are all coming back slowly, but surely. No surprises on that.

Reed now stated the obvious about Amazon coming after Netflix, but it is also nothing new. The way things are going, it will take Amazon the rest of 2012 to consolidate how they want to go after Netflix and if iLoveFilm will become their video brand in the USA too or that will remain disconnected. As Amazon still don't has opened a video service in the Netflix model for their home market. Even if they now got LoveFilm following on Netflix foosteps on the U.K and other international markets.

What did bothered me about Netflix recently is that they have now ditched the plan to go after GameFly and GameRush. No doubt giving Blockbuster some good news to grab on to tight. 

Netflix may be worried about Amazon competing with them on USA grounds. But considering how slow they have been moving. It is more probable that Netflix gets another year of smooth sailing as there are no real challengers to it yet. Will 6 months change that and Amazon will suddenly become their nemesis? While possible, i doubt it. Maybe in 9 months.

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