Netflix Splits: Qwikster Becomes DVD Rental Brand

Sep 20, 2011


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Netflix will split into two brands: Netflix for streaming, and Qwikster for DVD rental, according to CEO Reed Hastings. As reported on paidContent, the company announced it would be separating the two services and increasing subscription cost earlier this summer, but was criticized for lack of adequate communication on the matter. Hastings apologized for the way the announcement was handled in a message on the site, along with a video.

Hastings' message also let customers know for the first time that the separation of services also involved the split of the brand. Netflix subscribers will be able to stream content, but those who want DVDs by mail will have to subscribe to the new Qwikster service instead. While the same red envelopes will bring DVDs to subscribers' mailboxes, they will sport the new Qwikster logo. Andy Rendich will become CEO of Qwikster, and says that the services will also add options for video game rental.

(www.netflix.com, www.qwikster.com)