Photo Credit: _tar0_ on Flickr

Larry Kahaner of The McGowan Blog shares his thoughts about why Netflix lost their customers.

I can see the big picture in that Netflix wants to keep up with technology and how people are gravitating towards streaming movies, but the company broke one of my cardinal rules of customer service: Make it easy for customers to do business with you. Separating into two different departments (one providing DVD's and one providing movie streaming) creates confusion for customers. Now customers have two separate accounts and will have to deal with two different service departments.

I personally don't mind paying more for a service if the service is better, but having to deal with two different service departments does not make life easy for me.