Netflix has announced that it was splitting its DVD/Blu-ray-by-mail service off from its streaming video service and expecting its DVD-rental business to decline not long ago. However, it’s reported by Domain Name Wire that Netflix has acquired the DVD.com domain name. Now DVD.com redirects Netflix’s signup page for DVD subscriptions.
Netflix said that this acquisition aimed to improve use experience of its DVD rental business in the United States as one Netflix representative said, “In the U.S. we look to provide a great experience for our members, those who have DVD only, streaming only and those who have both.” Obviously, Netflix is trying a new solution to make everyone happy after its hated Qwikster split. Under Netflix’s new plan, user ratings will be shared by both sites. And Netflix won’t show any result for those who don’t use the DVD subscription to search movies while DVD-only results will be shown to those who have subscribed to the DVD service. This mean now DVD users have their own website to order their DVDs instead of having to navigate through the Netflix site that is full of streaming promotions.
Why Netflix focuses so much at its DVD business now? In fact, the DVD business is more lucrative than online streaming video service at present. According to a report, Netflix had 11.1 million DVD subscribers in Q4 2011. These DVD consumers contribute a revenue of $370 million while Netflix make only $476 million from 21.6 million streaming video subscribers.
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