NetFlix.com Transforms DVD Business Eliminating Late Fees and Due Dates From Movie Rentals; NetFlix.com's New Marquee Program Creates Near `DVD-on-Demand'.
LOS GATOS Los Gatos (lôs gä`tōs, lŏs, găt`əs), city (1990 pop. 27,357), Santa Clara co., W Calif.; inc. 1887. It is an affluent residential community and health resort. , Calif.--(BUSINESS WIRE)--Sept. 28, 1999--
Poised to transform the movie rental marketplace and establish NetFlix Netflix (NASDAQ: NFLX), is the largest online DVD rental service, offering flat rate rental-by-mail to customers in the United States. Established in 1998 and headquartered in Los Gatos, California, it has amassed a collection of 85,000 titles and over 6.7 million subscribers. .com as the world's largest provider of DVD DVD: see digital versatile disc.
in full digital video disc or digital versatile disc
Type of optical disc. The DVD represents the second generation of compact-disc (CD) technology. rentals -- online and offline -- the company today launched its Marquee program it was announced by NetFlix.com CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , Reed Hastings Reed Hastings (Wilmot Reed Hastings, Jr.) was the founder of Pure Software and the founder of Netflix. He is currently Netflix's chief executive officer, president and chairman of the board, and serves on the Board of Directors for Microsoft Corp. .
The new subscription service by NetFlix.com, one of the Top 25 Online Merchants (see note A), eliminates due dates and late fees by creating a near "DVD-on-demand" service. Marquee members get four DVD rentals per month with no due dates or late fees for a set monthly fee of $15.95, thus enabling subscribers to watch what they want, when they want.
"Movie renters are fed up with due dates and late fees," said Hastings. "NetFlix.com's Marquee program puts the joy back into movie rental. With no due dates, our customers can stock up on rental movies and always keep a few on top of their television, ready for impulse impulse, in mechanics: see momentum.
The integral of a force over an interval of time. For a force F , the impulse J over the interval from t0 to t1 viewing."
"NetFlix.com has shown itself to be an innovator by taking advantage of the 'mail-ability' of DVD to launch an online DVD rental Online DVD rentals allow a person to rent DVDs by mail. Generally, all interaction between the renter and the rental company takes place through the company's website. How it works
Most companies operate on the following model:
Tom Adams (born 1926) is an illustrator most famous for his Agatha Christie paperback cover designs. , President, Adams Media Research. "Now, with its 'no due date' Marquee program, the company has the potential to revolutionize rev·o·lu·tion·ize
tr.v. rev·o·lu·tion·ized, rev·o·lu·tion·iz·ing, rev·o·lu·tion·iz·es
1. To bring about a radical change in: Television has revolutionized news coverage.
2. the DVD rental market that we estimate will grow explosively to over $1 billion by 2002."
Marquee Program Details
With the availability of every DVD title published and two-day nationwide delivery, as well as on-site reviews and DVD information, NetFlix.com offers consumers an unmatched level of convenience. With no due dates, consumers can stock up on rental movies and maintain a selection of titles for impulse viewing.
Taking these consumer benefits one step further, NetFlix.com's Marquee program provides customers with an even greater movie rental experience. Listed below are the details of the program:
-- Rental Terms: There are no due dates and late fees on movie rentals. Members select four DVD movies per month from NetFlix.com's unlimited selection of DVD titles for a flat monthly fee of $15.95, with the option to cancel at any time. In addition, Marquee members also receive a reduced rental rate of $2.99 plus $0.99 shipping on all subsequent rentals. Members can only keep four rental movies at home at a time. -- Return Policy: Once a customer has viewed a film, they simply send it back to NetFlix.com in the pre-paid mailer. -- Membership: New and existing NetFlix.com customers may join NetFlix.com's Marquee program by visiting the store's Web site, www.netflix.com. -- Automatic Movie Replenishment: Customers may take advantage of a special feature which will allow them to pre-select an unlimited number of DVDs. Members simply return one of their DVDs and the next one of their pre-orders is automatically shipped to them.
NetFlix.com, the world's largest online DVD rental store, offers every DVD title published for rental. The NetFlix.com online rental store, located at www.netflix.com, provides reviews, articles and recommendations to make finding movies simple and convenient. NetFlix.com has promotional partnerships with Sony, Toshiba, RCA/Thomson, Panasonic, Pioneer, Musicland, and others.
Founded in 1997, NetFlix.com, which has raised more than $50 million in venture capital funding, has headquarters in Los Gatos.
Note A: NextCard, August 1999