๐ฎ๐ฅ Aloha Netflix DVD: Da End of Da Red-White Envelope Era
Eh, call all yo’ old school ohana and yo’ friends who still love da kine physical media, cuz. Aftah 25 years, Netflix goin’ pau wit da DVD-by-mail side of da business. ๐๐ฌ
Befoah Netflix went flip da entertainment world on top its head wit streaming, it was all about sending out DVDs in da classic red-and-white envelopes. At da peak in 2010, had about 20 million peeps who wen’ subscribe to da DVD service. But now, da whole ting seem kinda old school, yeah? So Netflix wen’ say on Tuesday dat da last DVDs goin’ ship out on Sept. 29. ๐๐
How many customers still get? Netflix no give da exact numbas nowdays. But all those peeps bettah clean up their DVDs laying around and send back da red envelopes to Los Gatos, Calif., fo’ retire ’em fo’ good. โป๏ธ๐ข
“Da iconic red envelopes wen’ change how peeps watch shows and movies at home โ and set da stage fo’ da shift to streaming,” Netflix’s co-CEO Ted Sarandos wen’ say in one letta. “To everyone who evah added one DVD to their queue o’ waited by da mailbox fo’ one red envelope: mahalo plenty!” ๐๐บ
Da letta also wen’ talk story about some DVD trivia. “Beetlejuice,” starring Michael Keaton and Geena Davis, was da first DVD da company wen’ ship back in March 1998. Da mos’ requested one was “The Blind Side,” starring Sandra Bullock. And ova da years, Netflix wen’ send out ova 5.2 billion DVDs! ๐ฒ๐ฟ
Da DVD announcement was part of Netflix’s earnings report fo’ da first quartah, and dat wen’ show how streaming stay dominating now. Aftah one strong fourth quartah, when Netflix wen’ add 7.7 million subscribers, da company wen’ say dat revenue wen’ go up 4 percent from da year befo’ to $8.1 billion, and dat profit wen’ hit $1.3 billion. ๐ฐ๐
Netflix also wen’ say dat average paid memberships wen’ go up 4 percent from last year, and dat they wen’ add 1.75 million subscribers. Now get 232.5 million Netflix subscribers all ova da world. ๐๐
But Netflix jus’ missed their revenue guidance fo’ da quartah and nevah meet Wall Street’s expectations fo’ new subscribers. Dat get analysts worried dat Netflix nevah bounce back yet from da correction last year. ๐๐
Da company get choke challenges, like one possible writers’ strike, mo’ streaming competition, and trying fo’ make live shows work. Like dis past weekend, had technical issues dat wen’ delay da big “Love Is Blind” reunion show. ๐๐บ
Da first-quartah results “leave open questions about da company’s ability to reinvigorate its business wit one advertising tier and one paid password sharing program,” wen’ say Paul Verna, one principal analyst at Insider Intelligence. ๐๐ค
Netflix goin’ expand da password sharing crackdown mo’ wide, even bringing ’em to da U.S. during dis quartah. And still, da company wen’ say da strong quartah was all cuz of da new seasons of shows like “Outer Banks,” “You,” and “Ginny & Georgia” and da release of da sequel to da movie “Murder Mystery,” wit Adam Sandler and Jennifer Aniston. Season 1 of da spy drama “The Night Agent” wen’ do super good, wit ova 515 million hours viewed. ๐ต๏ธโโ๏ธ๐
Befoah, Netflix’s big kine problem was needing fo’ crank out new original shows and movies all da time. Now, da company mo’ often making new seasons of already established shows and movie sequels, but dat get some analysts all worried, yeah? ๐ฐ๐ฌ
“Da health of any streaming service goin’ be dictated by da strength of its catalog,” said Stephen Beck, co-founder of da management consultancy cg42. He wen’ say he stay worried dat Netflix’s reliance on existing shows making da service less valuable. ๐๐
He wen’ mention dat da typical consumer probably going subscribe to two or three streaming services, and Amazon Prime Video probably going be one cuz of all da oddah Prime kine benefits. ๐๏ธ๐ฅ
“You need fo’ keep da portfolio fresh, so dat stay da most important ting dey can be talking about and putting forward,” Mr. Beck wen’ say. So, as Netflix waves aloha to da DVD days, it’s time fo’ ’em to stay focused on keeping da content fresh and exciting fo’ da streaming world. ๐๐บ
NOW IN ENGLISH
๐ฎ๐ฅ Aloha Netflix DVD: Da End of Da Red-White Envelope Era
Call your old-school family members and friends who still appreciate physical media, because after 25 years, Netflix is ending its DVD-by-mail service. ๐๐ฌ
Before Netflix revolutionized the entertainment world with streaming, its business model revolved around sending DVDs through the mail in easily recognizable red-and-white envelopes. In 2010, at its peak, about 20 million people subscribed to the DVD service. However, the practice now seems outdated, and the company announced on Tuesday that it will ship its final DVDs to customers on September 29th. ๐๐
How many customers are left? Netflix doesn’t reveal those numbers anymore. But whoever they are, it’s time for them to dust off any DVDs they might have lying around and send their red envelopes back to Los Gatos, California, where they can be retired for good. โป๏ธ๐ข
“Those iconic red envelopes changed the way people watched shows and movies at home โ and they paved the way for the shift to streaming,” said the company’s co-CEO Ted Sarandos in a letter. “To everyone who ever added a DVD to their queue or waited by the mailbox for a red envelope to arrive: thank you.” ๐๐บ
The letter also noted some DVD trivia. “Beetlejuice,” starring Michael Keaton and Geena Davis, was the first DVD shipped by the company in March 1998. The most frequently requested DVD was the feel-good film “The Blind Side,” starring Sandra Bullock. Over the years, Netflix has sent out more than 5.2 billion DVDs! ๐ฒ๐ฟ
The DVD announcement was part of Netflix’s earnings report for the first quarter, which illustrated just how dominant streaming has become for the company. After a strong fourth quarter when it added 7.7 million subscribers, Netflix said that revenue had risen 4 percent from a year earlier to $8.1 billion, and that profit had reached $1.3 billion. ๐ฐ๐
Netflix also reported that its average paid memberships increased by 4 percent over the previous year, and that it added 1.75 million subscribers. Netflix’s subscriber base now totals 232.5 million worldwide. ๐๐
But Netflix just missed its revenue guidance for the quarter and fell short of Wall Street’s expectations for new subscribers, leaving analysts concerned that it has not yet rebounded from its correction last year. ๐๐
The company faces serious challenges, including a possible writers’ strike, increased streaming competition, and a burgeoning live show business, which faltered over the weekend when technical difficulties delayed Netflix’s much-hyped “Love Is Blind” reunion show. ๐๐บ
The first-quarter results “leave open questions about the company’s ability to reinvigorate its business with an advertising tier and a paid password-sharing program,” said Paul Verna, a principal analyst at Insider Intelligence. ๐๐ค
Netflix plans to expand its password-sharing crackdown more broadly, including to the United States, during the current quarter. The company attributed the strong quarter to new seasons of shows like “Outer Banks,” “You,” and “Ginny & Georgia,” and the release of the sequel to the film “Murder Mystery,” starring Adam Sandler and Jennifer Aniston. Season 1 of the spy drama “The Night Agent” was particularly successful, with over 515 million hours viewed. ๐ต๏ธโโ๏ธ๐
Once, Netflix’s greatest challenge was constantly producing new original shows and movies. Now, the company more often creates new seasons of already established shows and sequels to movies, a change that has some analysts concerned. ๐ฐ๐ฌ
“The health of any streaming service is going to be dictated by the strength of its catalog,” said Stephen Beck, co-founder of the management consultancy cg42. He expressed concern that Netflix’s reliance on existing shows is making the service less valuable. ๐๐
Beck noted that a typical consumer is likely to subscribe to two or three streaming services, with Amazon Prime Video probably being one because of all the other Prime membership benefits. ๐๏ธ๐ฅ
“You need to keep the portfolio fresh, and so it is by far the most important thing they can be talking about and putting forward,” Mr. Beck said. As Netflix waves goodbye to the DVD era, it’s time for the company to focus on keeping its content fresh and exciting for the streaming world. ๐๐บ
