DVD Netflix is Shutting Down

It was only a little over a month ago that I wrote a post on the 25th anniversary of DVD Netflix. Sadly, it was yesterday that it was announced that Netflix will be shutting down its DVD-by-mail business. The last DVD will be sent out on September 29 2023.

Sadly, DVD Netflix is not as big as it once was. In 2012 DVD Netflix clocked  $1,136.87 million. In 2020 it was down to $239 million. Its revenue fell to $183 million in 2021 and then fell to $146 million in 2022. As to what caused DVD Netflix, it seems like that the blame can be placed firmly on streaming. Netflix launched it streaming service in 2007 and it would grow to the point that it is now what Netflix is best known for. Of course, other streaming services would follow in its wake, including Hulu, Disney+, and HBO Max. Given a choice between choosing a movie from DVD Netflix and waiting for it to arrive in the mail and choosing  a movie on a streaming service and then watching it minutes later, many apparently chose the latter option.

While there can be no doubt that many people deserted DVD Netflix in favour of streaming services, DVD Netflix still has a loyal following. DVD Netflix has one big advantage over the various streaming services. Quite simply, it has an enormous DVD library, allowing customers to watch movies that aren't currently available on streaming services. Want to watch Mask (1985)? Well, you can't do it on streaming, but it is available on DVD. The  Cannonball Run (1981)? It's not on streaming either, but it is on DVD. Even the classic Rebecca (1940) is not be found on streaming at the moment, but there have been several DVD releases. The death of DVD Netflix will then leave a hole for many movie and television buffs that won't easily be filled.

Indeed, I have fond memories of watching DVDs I received in the familiar Netflix red envelopes. I rewatched the entire runs of the TV shows Nowhere Man and Crime Story by way of Netflix. I also watched such diverse movies as Quadrophenia (1979), Phantom of the Paradise (1974), Seven Samurai (1954), and Pandora's Box (1929) through DVD Netflix. The extensive library of DVD Netflix gave me access to far more movies and TV shows than all of the major streaming services combined currently do.

Now I will admit that I don't know how much it cost to operate DVD Netflix. It could be that a good chuck of $146 million it made last year was devoured by operating costs. Regardless, it is a sad day for fans of physical media. DVD Netflix filled a niche that I suspect the streaming services never will.