Seems to me, if you name your company ‘Netflix’ and it’s not a streaming movie service – then the company is horribly misnamed.
On the flip side, Netflix has taken years to build a highly efficient distribution pipeline optimized for USPS. And they’ve trained their customers to have high expectations for and quickly report any disruptions in that distribution channel. That’s still an asset, there’s still value there – even if it’s no longer applicable to the core business.
There’s only one other internet-based company so experienced in optimizing the delivery of physical goods: Amazon. But Netflix has done Amazon better – they’ve optimized both the delivery and the return.
When Amazon realized they had excess capacity – they created a new product offering: Amazon Web Services – web hosting, data storage, etc, etc.
Netflix spun off their excess capacity and their physical distribution/return expertise into a new company: Qwikster. There’s nothing specific about movies, entertainment, the internet, in the name. There’s nothing really – except some vague suggestion of ‘quick’ and an even more vague reference to a social network.
Which means – there’s no expectation of just movies. In fact, the Qwikster site suggests a video game rental offering, a product Netflix never provided. And without a concrete expectation in their name – Qwikster could send anything through their channel they think will fit.
Netflix optimized the physical distribution channel for hard-to-find, items generally used infrequently. The real question is – what will Qwikster do w/ Netflix’s unused capacity?
Finding that space between your local library and Amazon.com.
Need some non-offensive (or offensive) artwork for the walls in your office or a home you’re trying to sell? Just visit the ‘Decor’ tab in Qwikster.com
Qwikster acquires U-Haul?