Netflix Needs to Step Up its Game

Consumer Reports announced a survey of its online subscribers suggests that while Netflix may offer the most popular streaming video service around, it falls behind other alternatives when it comes to overall satisfaction.

For more information visit: www.consumerreports.org


Unedited press release follows:

Consumer Reports Survey: Most Viewers Rely On Netflix, But Streaming Rivals Are More Satisfying

Vudu Gets Top-Ranking in CR’s Ratings of Streaming Video Services;

Netflix’s Disc-by-mail Service Fares Better than its Streaming

YONKERS, N.Y., July 26, 2012 — Although 81 percent of the ConsumerReports.org subscribers who used a streaming video service in the previous month used Netflix, rival services such as Vudu, Apple iTunes, and Amazon Instant Video all scored higher for overall satisfaction in Consumer Reports’ first comprehensive Ratings of video services.

Streaming video content directly from the Internet is emerging as the preferred choice for video viewing. Fifty-two percent of the 15,277 ConsumerReport.org subscribers polled said they used a streaming video service in the previous month, compared to 47 percent who saw a movie at a theater, 43 percent who rented a DVD or Blu-ray disc, and 32 percent who used their cable provider’s video-on-demand service.

The full report is available online now at ConsumerReports.org and in the September 2012 issue of Consumer Reports, which goes on sale Tuesday, August 7th.

The biggest gripe with Netflix’s streaming service was its limited selection of movies, especially the latest releases. This is a common problem with all-you-can-watch streaming services, a category that also includes Amazon Prime and Hulu Plus. Fewer than one in five survey respondents said that they were highly satisfied with the choice of titles from those services. However, the selection of titles available on pay-per-view streaming services such as Amazon Instant Video, iTunes, and Vudu received high marks from more than 60 percent of users.

“Our survey revealed that a healthy selection of titles is one of the biggest factors in overall satisfaction with video services, which is why disc rental services and pay-per-view streaming services scored the highest in our Ratings,” said Jim Willcox, Senior Electronics Editor, Consumer Reports.

The advantages of discs were clear in the Consumer Reports survey. Netflix’s disc-by-mail service and independent video stores were judged to have a more satisfying selection of titles, including current ones, than even the best streaming services. Redbox kiosks were neck-and-neck with Netflix and independent stores in overall satisfaction, but fell short on selection. Survey respondents were not as impressed with Blockbuster stores, Blockbuster Express kiosks or Blockbuster Total Access disc-by-mail.

Consumer Reports is the world’s largest independent product-testing organization. Using its more than 50 labs, auto test center, and survey research center, the nonprofit rates thousands of products and services annually. Founded in 1936, Consumer Reports has over 8 million subscribers to its magazine, website and other publications. Its advocacy division, Consumers Union, works for health reform, product safety, financial reform, and other consumer issues in Washington, D.C., the states, and in the marketplace.