Skip to main content
Message Font: Serif | Sans-Serif
No. of Recommendations: 7
Yahoo confirmed today that they are test marketing subscribers on a program where if someone is willing to use their search engine they would offer incentives. They listed several incentives and asked their sample audience which they liked the most.

One of the incentives listed (the best in my opinion) was a discount on NFLX memberships. Instead of paying 17.99 per month, subscribers would pay 10.99 for the 3 at a time program.

YHOO and NFLX make a perfect fit together. Both are silicon valley startups and they would benefit tremendously by partnering together. YHOO is qucikly becoming a media company and dvd distribution arm seems like a natural fit. Everybody has been focused on AMZN, but if AMZN doesn't want to play nice, then why not let YHOO contribute to the commoditization of the DVD.

This might be great news for NFLX, but it's a terrible development for the video stores. Between their debt, high fixed costs and old economy management, they will never be able to affectively respond. By subsidizing their rental costs with advertising revenue, NFLX can hurt BBI in a way that they can't match.
Print the post  


What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.