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	<title>spherebox.com &#187; Web Services</title>
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	<description>Leveraging on technology to achieve our goals.</description>
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		<title>NetFlix in Asia? I wish&#8230;</title>
		<link>http://spherebox.com/2007/02/03/netflix-in-asia-i-wish/</link>
		<comments>http://spherebox.com/2007/02/03/netflix-in-asia-i-wish/#comments</comments>
		<pubDate>Sat, 03 Feb 2007 09:25:05 +0000</pubDate>
		<dc:creator>Han Kern</dc:creator>
				<category><![CDATA[Fun]]></category>
		<category><![CDATA[Piracy]]></category>
		<category><![CDATA[Web Services]]></category>

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NetFlix is such a great service.
Here is how it works:

You create a list of movies you want from their lists.
When a movie on your list is available, they ship the movie to you.
When you&#8217;re done with the movie, you mail it back via the envelope it came in (no stamps required).
They will then ship you [...]]]></description>
			<content:encoded><![CDATA[<p><img src="http://images.usatoday.com/money/_photos/2006/04/24/inside-netflix.jpg" alt="NetFlix" /></p>
<p><a href="http://netflix.com/">NetFlix</a> is such a great service.</p>
<p>Here is how it works:</p>
<ul>
<li>You create a list of movies you want from their lists.</li>
<li>When a movie on your list is available, they ship the movie to you.</li>
<li>When you&#8217;re done with the movie, you mail it back via the envelope it came in (no stamps required).</li>
<li>They will then ship you the next item on your list.</li>
</ul>
<p>Interested already? Read more.</p>
<p>You are not just limited to 1 movie at-a-time too, you can actually receive up to 8 movies at-a-time! (by paying more of course). Except for the most basic plan, there isn&#8217;t a limit to how many movies you can receive each month.</p>
<p>If you do the math and compare with other rent-a-movie services, you are actually saving money by using NetFlix. </p>
<blockquote><p>
3 DVDs from Hollywood Video = $13.<br />
3 DVDs at-a-time plan at NetFlix = $18.<br />
<br/><br />
3 DVDs twice a month at Hollywood Video = $26/month.<br />
3 DVDs at-a-time plan at NetFlix = $18/month.<br />
<br/><br />
So as long as you watch more than 3 movies a month while on the NetFlix plan, you will be saving money.
</p></blockquote>
<p>Even better is that the speed at which you receive the DVDs from NetFlix is phenomenal! You mail one back today, you get it within 1 or 2 business days!</p>
<p><img src="http://ir.netflix.com/images/img4.gif" alt="BetFlix User Growth Rate" /></p>
<p>NetFlix has gotten so popular that it&#8217;s user base has grown exponentially. </p>
<p>Now for my question. </p>
<p><strong>Is it possible for a service such as NetFlix to exist in Asia?</strong></p>
<p>Unfortunately, I think not. </p>
<p><strong>The problem is piracy.</strong> </p>
<p>Take a look at one of my previous writings about <a href="http://hankern.com/2006/07/20/pirateer-a-malaysian-career-path/">piracy in Malaysia</a> as an example. </p>
<p>Why would a bargain-hunting consumer pay to rent movies when they can own a copy (although illegal) of those exact movies?</p>
<p><img src="http://hankern.com/images/medium_petstreetdvd.jpg" alt="Pirated Vendor in Malaysia" /></p>
<p>The cost of a pirated DVD movie (of decent-good quality, lower quality movies cost lower) in Malaysia is only about US$1.97 (converted at RM3.55 = US$1). </p>
<p>Is it even possible for a service such as NetFlix to compete on the basis of price?</p>
<p>It is a shame that due to piracy, such a great service will most probably never see light in Asia. Instead, we (in Asia) will have pirated movie vendors (image on top).</p>
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