Consumer Satisfaction Declines for Netflix, Rises for Amazon

December 28, 2011

Online retailer Amazon has risen slightly among the top companies for customer satisfaction while Netflix takes a significant nose dive, according to an annual holiday online retail satisfaction report released today from analytics firm ForeSee.

ForeSee’s latest report scores the top 40 online retailers in 14 different areas, such as content, website functionality, merchandise and pricing. The report also contains top retailers’ scores for the last six years. This year Amazon scored an 88 of 100 due to decent customer support, fast shipping through its Amazon Prime membership program and no taxes on items sold directly by Amazon.

Netflix, on the other hand, saw its customer satisfaction numbers decline by 8 percent to 79 out of 100. While the ForeSee report notes areas where customers are unsatisfied, pricing is the key issue. In July the company raised its subscription price by 60 percent. This made a lot of subscribers unhappy. Then in September the company announced an ill-conceived scheme to separate its disc business from its streaming business. Customers went insane and gave the company a very public thrashing. Naturally it caused Netflix to abandon that plan. But the net result for the third quarter was a loss of 600,000 subscribers.

The declining customer satisfaction numbers are all about pricing and the company's difficulty in keeping streaming content as fresh as consumers would like it to be. Analysts and even Netflix executives see a challenging year ahead for the company..

Source: VentureBeat

Posted in

Comments

Re: Consumer Satisfaction Declines for Netflix, Rises for Amazon

Submitted by MechaTama31 on Thu, 12/29/2011 - 04:34.

"...and no taxes on items sold directly by Amazon."

*lives in Washington, pays nearly 10% sales tax*

Re: Consumer Satisfaction Declines for Netflix, Rises for Amazon

Submitted by Technogeek on Thu, 12/29/2011 - 19:43.

That's kind of how sales tax works in the US -- as per Quill Corp. v. North Dakota and National Bellas Hess v. Illinois Dept. of Revenue, states can only force businesses to collect sales tax if the business has a physical presence within the borders of the state. It should be noted, however, that the former ruling explicitly states that Congress is "free to decide whether, when, and to what extent the States may burden interstate mail-order concerns with a duty to collect use taxes" -- hence the existence of SB1452.

Poll

Shout box

Andrew Eisen: Well, the Xbox One reveal certainly had an interesting affect on the big 3's stock prices. https://twitter.com/AndrewEisen/status/33705126448977100805/21/2013 - 10:45pm

PHX Corp: http://kotaku.com/so-the-xbox-one-reveal-screwed-up-a-lot-of-peoples-kin-509179256 So The Xbox One Reveal Screwed With Some People's Kinects05/21/2013 - 10:36pm

Zen: On a funny side note...both of my boys have already voted NOT to get the Xbox One as soon as they found out Minecraft won't transfer lol. Some people have priorities damnit! ;)05/21/2013 - 9:27pm

Andrew Eisen: Here's the full quote on EA making Wii U games according to Neogaf: http://www.neogaf.com/forum/showthread.php?t=56112105/21/2013 - 8:19pm

Andrew Eisen: Xbox One may not be always on but that doesn't mean you can use it without an internet connection. http://kotaku.com/xbox-one-does-require-internet-connection-cant-play-o-50916410905/21/2013 - 7:39pm

Andrew Eisen: Polygon says EA's CFO says it is developing games for Wii U but doesn't provide that quote. http://www.polygon.com/2013/5/21/4351844/ea-developing-wii-u-games05/21/2013 - 7:11pm

Andrew Eisen: Well, I was right. Both Sony and Microsoft's consoles will be out by the year's end and both will be significantly more powerful than the current gen.05/21/2013 - 5:06pm

james_fudge: thnx05/21/2013 - 4:47pm

Zen: Just to let ya know...you called it the "Xbox 260" in the backwards compatibility article lol.05/21/2013 - 4:26pm

Zen: @PHX Awesome, I will hit those up after class tonight. Going back to college finally! :) My kids have had a blast telling ME to do my homework now lol.05/21/2013 - 4:19pm

PHX Corp: @Zen I sent you a friend request on both PSN and XBL, just a heads up05/21/2013 - 4:16pm

Zen: I noticed it with the football players when EA showed off Madden as well.05/21/2013 - 4:11pm

Zen: Is it just me or is call of duty hitting the "uncanny valley" with their nicely modeled faces and dead looking eyes? I found it distracting and seemed actually "less" real to me lol.05/21/2013 - 4:10pm

james_fudge: it sounds like if you have an HD reciever you'll be able to use it with a pass-through cable... not 100 percent sure yet05/21/2013 - 2:41pm

james_fudge: happening now http://majornelson.com/2013/05/21/xbox-one-architecture-panel/05/21/2013 - 2:20pm

E. Zachary Knight: Some reading material for Microsoft on its used games blocks. That will hurt the console more than helping. http://ezknight.net/?page_id=20505/21/2013 - 2:18pm

james_fudge: yeah good luck with over the air TV05/21/2013 - 2:12pm

E. Zachary Knight: But what if I want to only watch over the air tv? I don't subscribe to pay tv. I never will. If that is a requirement, then MS wasted 45 minutes telling me how great TV will be.05/21/2013 - 2:08pm

james_fudge: EZK it will depend on your provider, just like HBO Go i'd imagine.05/21/2013 - 2:05pm

PHX Corp: @IanC there's also a chance that those titles might be Xbox one exclusive, but it's too early to tell afaik05/21/2013 - 2:03pm

All shouts

<< Return To Top

Forgot your password?
Username :
Password :