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Netflix SWOT

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Can you name the largest online entertainment subscription service? If you said “Netflix” then you are correct. Netflix started in 1997 by Reed Hastings and the subscription service started in 1999. The company headquarters is based out of San Francisco, California. There are over 100 shipping location in the United States. Netflix offers over 100,000 DVD titles and over 8,000 that are ready to be watched instantly on a subscribers PC. Netflix has over 1500 fulltime and 1100 part time employees at their headquarters and shipping centers. This had made Netflix the top ranked e-commerce company in customer satisfaction and that is causing a rapid growth in subscribers, revenue and earnings.

How does it work? First, sign up create your movie list at NetFlix.com. Next, Netflix will rush you movies from your list. Then, watch the movies at your convenience. There is not due date or late fees. And finally, once you have viewed your movie return it to Netflix and get another movie from your list. More that 95% of subscribers live within 1 business day delivery. Netflix delivers over 1.8 million DVD’s each day.

Here are a few Netflix facts. Netflix allows customers to rate the movies. There are over 2 billion reviews currently on the website. Members add over 2 million movies to their queues every day. Most members say they rent twice as many movies per month than they did prior to subscribing to Netflix. 90 % of Netflix subscribers say they would recommend Netflix to friends and family. Within one week, if you stacked every movie Netflix ships, the stack would be higher that Mt Everest (that’s over 1.8 million movies a day). Netflix is concerned about the environment. It is estimated that if Netflix members had t...

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... get the movie they want on the spot. Furthermore, customers will not waste money on a monthly fee when they don’t have time to watch the movies.

 VHS rental store are another kind of competitor of NetFlix. Some movies haven’t been released on DVD, while they can be found on video tapes. Some people will turn to that kind of store to get their favorite movies. (www.netflix.com)

Netflix is a great way to rent DVD’s for those who don’t have the time to go to the video store and wait in line to get a movie. You can enjoy viewing the movies online on your PC or you can wait for that little red envelope in the mail. Some of the best times we have had is popping popcorn and watching the Netflix videos that we got through the mail. It is great not having to fast forward through them so that you can get them back to the video store so do don’t have to pay a late fee.
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