Dave Zatz tipped me off to a pretty good article in the Wall Street Journal about Netflix customers being paralyzed by the sheer amount of choices that they offer. While on one level, this is a nice problem to have, on another level, it can be frustrating for a consumer to spend $20 per month and not actually watch any movies that month. In the article, Matt Phillips interviews Mike K from Hacking Netflix about the time that he was stuck with Mel Gibson’s Passion of Christ and just couldn’t bring himself to watch it even after renting it twice.

Personally, I’ve always been the fat guy at the buffet table when it’s come to Netflix’s all you can eat model. Pretty much every weekend I watch at least 3 movies and my average rental cost is about $1.75 over the life of my membership. I did once get stuck on The Godfather and after keeping the movie for a month sent it back unwatched, but afterwards, I felt like I was cheating myself out of a movie just because it was long and I rented all three movies in one weekend and watched the whole dynasty in one fell swoop.

In thinking about my rental tendancies, I would be willing to bet that on average, Netflix sees a longer hold time for movies that are over 2 hours long then shorter films. I don’t think it’s so much a component of not having more time to watch a film, but rather the psychological barrier to pressing play on the DVD. Earlier on, Netflix noticed that a lot of customers had the tendacy to slow down on the volume of rentals and introduced lower priced plans as a way that someone could stay a Netflix customer, but also not pay through the nose because they weren’t making use of the program. I think that this program has likely saved a lot of customers who may have cancelled anyway and that it’s helped to improve their customer service. By understanding that not everyone wants to be the fat guy at the all you can eat buffet, Netflix has created ways to reach consumers who might not be as quick in returning their rentals.