
However, critics of the practice refer to it as throttling and say that it puts Netflix's best customers at a disadvantage. According to Netflix, this is to give the best possible service to all customers. If you watch lots of DVDs from Netflix every month, it may also take longer for you to get to the top of the waiting list for extremely popular movies. In some cases, new releases have wait times of days or weeks. For newly-released films, Netflix may have fewer copies of the film than there are people who want to see it. Another is the popularity of the movies you want to watch. If there aren't copies in the system, Netflix may have to ship one from a center that is far from where you live. However, a number of factors can affect which DVDs you get and when you get them. It allows Netflix to deliver 1.5 million DVDs through the USPS every day Netflix delivered its billionth DVD on February 25, 2007. An employee then inspects the DVD to make sure it isn't broken or too damaged to play and returns it to the shipping center's inventory.įor the most part, this process, with its one-day delivery and same-day processing, is fairly efficient. The Netflix inventory system automatically updates the subscriber's queue and sense an e-mail message reporting that the DVD has arrived. Employees open the envelopes and scan a UPC barcode on the sleeve contained the DVD. Each weekday, the United States Postal Service (USPS) delivers thousands of DVDs to each Netflix shipping center. Netflix also processes nearly all of the DVDs it receives on the day they arrive. The return trip takes the same amount of time.

This allows 90 percent of subscribers to get their DVDs the day after Netflix ships them.

Today, Netflix has distribution centers strategically located throughout the United States and Canada. This cut down on the amount of time that customers' DVDs spent in transit.

While other companies had one central distribution center, Netflix had several scattered around the United States. In the early days of Netflix, the company had one major advantage over its rent-by-mail competitors.
