Netflix to be Pimped by Hollywood

The word here in Los Angeles is that Netflix is “entertaining” Hollywood’s idea of delaying new releases by 30 days.  Are they taking kazi shots in the boardroom of Netflix?  I must be missing something on this deal.  Why would Netflix, a key player in the decrapification of Hollywood lameness, decide that the best decision for their brand is to piss off its customers?

Stop the insanity.

I clearly understand that Hollywood studios have a responsibility to their shareholders/stakeholders to deliver a desirable P&L statement.  What I can’t understand is why Netflix feels that it’s a better idea to save some cash in the short term, rather than consistently “giving the people what they want”.

Let’s face it.  The Neflix service is a great convenience to anybody that has the ability to play a DVD at home.  Netflix is able to deliver convenient service, low subscription costs, on demand viewing via computer and a broader selection of videos than any other video store.  These are great value-adds to a video service, but there is something else going on.

Netflix is giving consumers what they want.  It’s that simple.  We, as humans, view brands and people in much the same way.  We love them if they stay consistently pleasant and provide us with what we want/need.  We turn our backs on them if they change in a way that we feel is out of integrity of their core values.

Like MG Siegler at Tech Crunch mentioned, Netflix would be making a risky move that could easily lump them in the Dumb and Dumber category.  What’s more, he postulates that this move could increase priracy in the DVD world.  Do you agree?  Or do you think MG and I are insane?