The report, from Minneapolis based Magid Associates, indicates more than half of Netflix customers already rent from Redbox and a significant number of those expect to rent more from the industry leading kiosk-based service.
Magid's Mike Vorhaus pointed the finger at Netflix's limited selection of streaming content. He said, "A major reason that many consumers are not happy with their Netflix service is due to the quality of the content selection in the streaming service."
Since the announcement of their new plans two months ago, Netflix has suffered a series of setbacks.
Almost immediately after the announcement their stock price dropped 10%. It has continued to decline following additional announcements of a larger than expected subscriber decline and, most recently the decision to completely separate disc rental into the new Qwikster brand.
Their streaming service was also dealt a serious blow by the loss of Starz content.
Written by: Rich Fiscus @ 21 Sep 2011 12:47
