Netflix admits it's experiencing shipping delays
By Tim Conneally | Published August 15, 2008, 11:08 AM
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11:00 am EDT August 15, 2008 - In what many are calling Netflix's biggest service disruption yet, the movie rental-by-mail company's shipping system has still not returned to full functionality, with at least 2.5 million subscribers affected.
As of Thursday evening, Netflix still had not returned to fully functional distribution after almost four days of intermittent service. The company's representatives have disclosed neither the scope of the disruption nor the precise cause, saying only that it is of "significant" size and that technicians are working to have operations fully restored as soon as possible.
On the official Netflix blog yesterday evening, spokesman Steve Swasey wrote, "There's no guarantee at this point that our shipping operations will be fully restored by tomorrow."
The initial shipping delay was reported on Tuesday and reported in the company's blog to have been mostly resolved on Wednesday. Apparently, though, problems continued into this morning, when e-mails like the one pictured below were sent out.

Naturally, the blog is filled with disgruntled customers airing their complaints. One such commenter called the telephone support team which the user typically finds helpful, "offensively standoffish concerning this issue."
This is the second delivery delay in under five months. In March, a site malfunction caused shipments to be held up longer than usual.
The Netflix streaming service remains unaffected.
Here's a new Netflix glitch. Netflix started shipping me discs that I had already sent them earlier this week. So I looked at my queue and had to remove my next two choices because they relisted two dvds that I received today. I called the customer service number listed on their website and I received a message asking me to hang up and dial another number to talk to a customer service representative for $5.49. That's the first time I've heard that one from Netflix or anyone for that matter. A customer service e-mail address would help after that message. But we all know that Netflix doesn't do personal e-mails. I guess I chose the wrong month to restart my membership. Hopefully Netflix stops messing with my queue so I don't need to check it every day.
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|First time in 2 years this has happened since I've been a member. Usually if I put the DVDs in the mail on Monday before 5pm I get new DVDs on Wednesday. I've been able to get movies delivered Monday, Wednesday and Friday.
Now this week I put them in the Mail on Saturday night, and got 2 on Wednesday and 1 the next Saturday.
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|Joined blockbuster again to if anything changed and nope. 2 days for them to get the dvd's back and 2 days to get them. And bribing me to their stores won't help either. Getting more movies I actually want thru Netflix. 1 day to get there 1 day back. And cheaper. My only real complaint, the three that they had processing to ship disappeared. Deleted right out of the queue. At least I remembered two of them. That and they say 15 % credit off next billing cycle. Several of us accepted the settlement which is supposed to be free this month. Where does the 15 % go if it's free?
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|"2 days for them to get the dvd's back and 2 days to get them."
That all depends on where you live. Mine are always overnight from Blockbuster. So while Netflix may be better for you that doesn't necessarily apply to everyone. I actually get both overnight and I go by a Blockbuster store often so that was the kicker for me.
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|While I have no doubt that their problem is real there may be a welcome (welcome to Netflix) but unintended consequence of the outage.
We know that Netflix is losing profits every time postage goes up. I'm sure they'd rather have members access online "Watch Instantly" content than have to send DVDs to them.
This may entice members to try this service. It could accelerate the move to the more profitable online distribution model.
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|Netflix is one the best ever companies with a solid customer satisfaction policy in place. Never had any problems for the last 3-4 years I have been with them. Their collection is outstanding including a surprising amount of very good Kannada and Hindi movies apart from English unlike Blockbuster.
Very few companies out there actually have a good reputation for customer service.
Everybody has bad days and Netflix's turn now. I'll wait. Nothing will change if I don't see a movie for another couple of days.
I wonder why people have to call up Netflix and curse at them. Hello, world isn't ending because of this.
Seriously, people need to recognize a good company when they see one.
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|F Blockbuster. Netflix usually sends out the same day as received. Blockbuster usually takes at least 2 days if not 3 & if it's a weekend this turns int 5 days. So after a year of consistantly good service with Netflix, I've never had a complaint. So it's acceptable if there is some kind of shipping problem.
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|I have no problems with Blockbuster shipping my movies out the next day. In fact I have had Netflix and Blockbuster all summer and I have been receiving both at exactly the same rate. Also with Blockbuster I can take my movie in and exchange it for a new one right there and it also lets the next movie in my queue go. I have now canceled Netflix because I could not see any reason to go with them instead of Blockbuster.(Wasn't interested in 99% of movies on Netflix's Instant Watch)
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|My only problem with blockbuster is they don't get a lot of the more obscure movies or it takes them a bit longer to come in, other then that its perfect and you have the option of getting blu-ray or standard dvd.
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|I don't ever watch the more obscure movies, so it is perfect for me. I have never come across anything that I wanted to watch that they didn't have.
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|I've come across a few
this movie has not been rated
and the machine girl
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|With gas the way it is, why would I go to blockbuster. Completely misses the point of Netflix. That and I've rented everything I needed to rent at the store. That same service now instead of $18 is going on $40. Totally pointless to go to a store and rent a movie I don't want and have to return it to the store. Too much trouble.
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|I drive by Blockbuster all the time when I am in town so I am not wasting a bit of gas. It may be pointless for you, but there are countless people that it is a very welcome feature.
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|I got mine no problem. I like this company as they don't make you pay for lost movies.
There are people who rent movies and keep them for months on end, this is how they make money. I'm the exact opposite, mine usually go back after a few days so I can go through 20 a month easily.
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|I remember once adelphia cable had hbo out for a very long period of time, like several weeks in our area.
You know what they did? I got a 1.47 credit on my next bill. So they gave me a credit, thinking they would give me a month free of hbo, no they took off the number of days lost, for that one channel. So 10 dollars divided by 30 days, and multiplied by how many days were lost, nice huh? So I think giving customers a free month of netflix for a few days of hold up is pretty generous. Especially when they are only getting 10 dollars per month from me, offering streaming service which I use a lot and getting at least 5 - 7 movies per month. Amazing how they make any money at all.
Cut throat competition obviously, block buster is right behind them.
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|Netflix never said they were going to give affected people a full month's credit. They simply said they were going to issue some sort of credit, presumably for the amount of time the shipping delays occurred.
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|welcoming in the generation of spoiled brats with the need for instant gratification.
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|Perhaps these problems could have been avoided with iPhones.
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|iPhones can help in a lot of everyday situations, you're absolutely right.
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|No one should be crying about anything, they should be happy that Netflix is proactively saying "yes, we know there's a problem, no, we're not going to shaft you, in fact, we're going to punish ourselves by issuing a credit to show our good faith".
Ummm HELLO... this is a company "not being evil". How refreshing.
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|I have been a netflix subscriber for almost a year now. I have to say that they handle these issues far better than blockbuster did when I was a member. This is an acceptable situation to me as they are not hiding anything and are very forthcoming about the issue. The credit only helps alleviate the issues I had.
I also agree that people are wasting their time calling in. Complaining about this will not solve the issue. Sorry folks
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|"is affected"
but it doesn't bother me i know things like this happens i got the email last night and i am now awaiting for the issue to be resolved.
and lol to the idiots calling and crying ....these things happen
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|Seems like the communication has been pretty fair.
Not exactly sure what people expect to happen by calling. These down times surely receive very high priority and are fixed ASAP. Customer service has no control over this. All you do by calling is waste everyone's time.
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|I have no problem with an occasional glitch but it would be preferable if they were a little more transparent about whatever problems they are having.
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|A server crashed or a machine that prepares the DVD's for shipping broke. It happens all the time with both Netflix and other companies. At least Netflix is issuing credits to any affected customers.
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