To analyze the The Netflix case we should start analyzing the market before Netflix enter in the market. Since 1997 the DVD rental market was dominated by big firms like Blockbaster, WalMart ecc. The market was store-based so the people should go to the store or vending machine insert the card chose a movie ( there were always categorize by genere or most recent), if te movue was avabile (because if you have ever had experience to rent a movie often the best selling or the more recent one were most of the time sold out) Back hom, see your movie and after that back to the store to give in back be carefull to brig it back on time to not pay a really expensive penalty.
That was how rent a movie before Netflix, so now let try to analyze the situation with the costumers eyes, let s talk about costumers satisfaction. Everybody can understand that in DVD rental market there ware many weak point and many complains from the costumers =, but les t analyze it clearly.
Firt was TIME issue reach the store pick a movie and get in back required time and we all know that more the money people try almost always to save time. Connect also with a distribution problem since the costumers had to reach the store but as we all now there is not a store next to every single house
The selection of the movie. Stand in front the machine or looking around the store to find the movie. Shelves or the terminal menu were usually not that user friendly and not helpful tofind you some good movie.
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