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Netflix Woes Mean a Gap In Shipments

Loopback writes "It appears that I'm not the only one waiting for my NetFlix movies. It seems they are being bitten in the rear by their home-grown proprietary inventory management system. 'Netflix has been facing shipping delays and outages in its distribution centers for the last two days and is fumbling to find a fix. The tab is roughly $1.8 million to $3.6 million in revenue a day.'"

7 of 239 comments (clear)

  1. DVDs arrived, but no notice by nazanne · · Score: 5, Interesting

    I shipped back two DVDs on Tuesday then got the notice they were received on Wednesday. Today (Thursday) I got the notice from Netflix that shipments might be delayed, but I also received two DVDs in the mail (the correct DVDs that were next in my queue). What I did not get was the normal notice from Netflix that they had shipped me anything.

  2. Re:Not impressed by my trial. by TornCityVenz · · Score: 4, Interesting

    Redbox is a really good service. Recently We've canceled out netflix and gone to useing redbox exclusivly...HOWEVER we did this for one main reasons. - We were'nt returning movies to netflx fast enough to make it worthwhile...we'd get the movie and delay watching it until at least the weekened...sometimes the next. If you turn over your movies fast enough netflix is still a better deal. Redbox is nice if all your looking to see is fairly new releases...but you can't beat netflix when it comes to talking with someone and reliseing they've never seen $clasiccult_movie , you log in put it on your list and soon you be edjumacating them on some fine point of movie history they have missed out on. Also the ability to rent series and have them send you the next episode disks is kinda nice. My wife had always wanted to watch the show farscape, but neither of us had really follwed it. for the next two monthes or so we had netflix send them all to us and we watched it from begining to end. -You can't do that with redbox.

    --
    I Need someone to rebuild a Digitech Digital Delay pedal for me....for me...for me...for me.
  3. Re:Fist Prose by Irish_Samurai · · Score: 5, Interesting

    They're even cooler than just that.

    I've been using them a long time with the 3 disk unlimited plan. One day my girl broke a dvd. Her response: "Let's just mark it as never arrived."

    Being all into personal accountability and shit I told her "no, we'll say we broke it and pay for it. We did in fact break it."

    Their response: "Do you want us to send a replacement?"

    No charge for disk. Nothing. I guess if you don't abuse the shit they overlook the occasional accident.

  4. Re:Not impressed by my trial. by waterwingz · · Score: 3, Interesting

    Maybe it depends on where you live? I have a "1 disc at a time" subscription and routinely get two movies a week. I have yet to receive a disc I can't watch and my only problems (once in three years) was getting the wrong disc ( the cartoon version of a real life movie I'd asked for)

    --
    . waterwingz
  5. Re:Fist Prose by 99BottlesOfBeerInMyF · · Score: 5, Interesting

    One or two of them actually re-appeared later, not sure if they were found in the back of a truck or if Netflix lost them.

    There have been a couple instances now where postal workers were investigated and found to have stolen hundreds of random DVDs from their routes. I also heard of one instance where kids were going through the mailboxes in a neighborhood. Since these incidents are detected, I suspect NetFlix and the post office share data about who loses DVDs and what postal worker's route they are on.

  6. Re:Fist Prose by __aaahtg7394 · · Score: 5, Interesting

    Actually, how long before they offer a discount if you opt into a "direct handoff" network? When you return a movie, instead of shipping it back to netflix, you print out a label for the next member and slap it on the mailer.

    Sure, there's a ton of problems, but it could cut their overhead by up to 60%: they spend half as much on postage and the disks are in flight for one day instead of two each transaction. The savings aren't so much in postage as in inventory reduction: for a popular movie that stays out two days at a time, you cut the postal overhead from 50% to 33%.

  7. Re:Fist Prose by Stubtify · · Score: 3, Interesting

    They could implement tracking on each piece, and find out where these are getting stolen.

    http://en.wikipedia.org/wiki/OneCode

    is the newest version of the barcode to be used on all mail starting next year. It will allow for optional individual piece tracking.

    Currently they can also do this with a second barcode called a PLANET code.

    These extra barcodes add about 1 cent per piece. The scary part is they probably have figured it out to be cheaper to eat the loss, or let their insurance company eat the loss, than to pay an extra 1 cent per piece.

    Their postage costs are actually quite high. There was also talk during the recent (may 07) rate/size changes the Post office implemented of a 17 cent surcharge:

    http://www.hackingnetflix.com/2007/12/usps-considerin.html

    The funny part is that anyone doing the volume netflix is can get direct discussion with the post office. Apparently they pick up at the post office. I believe blockbuster talked about having postmen scan dvd's upon pickup to save time, but I don't know if that happened.