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Montreal — To strengthen its market presence, WECO recently announced that it signed five new sales agencies to represent the company's terminal blocks and connectors lines.
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News For Electronics Purchasing And The Supply Chain
Weco Announces 5 New Sales Agencies
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I was surprised to read this because Netflix had so badly handled its transition and I pretty much wrote them off. Of all the companies to out-earn Apple, Netflix wasn't at the top of the list. But even with their rate hike, Netflix is still a bargain. I took toll of how I use these services, and new movies are definitely rental or on-demand, whereas if I am going to purchase a classic, I'll download from iTunes.
If we look at the table, we will see that Netflix gained 40% of the market share in one year from 0.5 the previous year. And Apple went from 60% to 30% so my question is why customers prefer to download movies from Netflix instead of Apple?
Nemos, The simple answer to your question is that the models are different and Apple's offering in this market isn't as robust as the Netflix option. Consider this: Netflix movies can be watched on the big TV screen and subscribers have the option of getting more than a single movie with one flat fee. In the case of Apple, the movies are often downloaded on other devices like the iPod, the iPad or the iPhone and then hooked up to the big screen. Too many processes, right? Plus, you pay for one movie at a time.
I think the battle will continue and other players will come in the market, then I am wondering what is the future for other segment as CableTV broadcasting movies for example. Heard for several provider movie providers by cable, revenues are really reducing…
I think it also helped Netflix that hardware vendors that make DVD players or video recording hardware like Tivo, advertise their ability to stream Netflix content to any TV.
But personally I don't watch that many movies (or other video for that matter) on my large screen TV. And I find that when I do my local Redbox kiosks are a convenient and cheap way to go. So I hope physical media doesn't become completely obsolete any time soon. Maybe the Redbox DVD kiosks will get replaced by kiosks stocked with USB thumb drives instead.
Netflix is probably gaining popularity in the US only. Outside US it is not offering anything and most people have not heard of it. However I think this is a good start to go global.