Netflix Stock Drops like Subscribers from their Rolls

Netflix came out with earnings today. Despite beating analyst expectations, the stock is off 15% in after hours trading.

While Netflix's losses weren't as bad as what analyst were expecting, what is doing in the stock is that sales are coming in much softer than expected. This is no doubt due to the fact that many people have become dissatisfied with their Netflix service and have looked elsewhere to get there entertainment.

This should be lesson #1 on how fast fortunes can change for a business. It wasn't too long ago that Netflix was a darling to most, myself included. It was one of those companies that just kept churning out innvoation and doing right by their customers. I still look at some of their business and hiring philosophies as a model for how I plan to do things in my own startup.

But it seemingly all started to fall apart with one single move, Qwikster. Since then, the sentiment on Netflix has done a 180. It went from the company that could do no wrong to the company that can't seem to get out of its own way.

Although I didn't have the same strong negative reaction that most had to the Qwikster debacle, I can be counted as among the group of people that is no longer a Netflix customer. A few things conspired against Netflix for me to stop using it including cutting cost to start my own company. But more important than that was simply I wasn't a satisfied customer of their service. Streaming was a joke and since this is where there focus is it became a bad deal. They continuously made concessions on their DVD side including delaying of releases and increasing prices. That became that and I stopped my subscriptions a few months back.

Can anyone else remember a company's where sentiment seemed to change overnight and so violently. Do you think Netlfix's best days are behind it? If you are still a subscriber, what keeps you sticking around?
Shared publiclyView activity