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Its initial model of sharing products by mail has attracted a wave of startups and big retailers hoping to be the Netflix of toys Spark Box Toys , books Booksfree , fashion CoutureSqd , Le Tote , Rent the Runway , designer jewelry RocksBox and more. Some of these companies charge a membership fee, just like Netflix, while others offer pay-per-use online rentals.


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All are part of the sharing economy: The sharing economy also includes Airbnb , which rents private rooms, apartments and homes; and Zipcar , which charges a monthly fee to members who share cars instead of owning them. But as the Netflix model gains popularity, how sustainable is it — and has anyone besides Netflix actually been able to make a profit?

The company, founded in , charges members a fee for a box of toys designed for children under the age of four.

Matchmaking service alert netflix. Hollywood Reporter | Entertainment News

A box arrives every four, six or eight weeks, and parents can opt to buy the toys. But a toy that teaches scales will serve very little purpose after that [skill] has been acquired. But good data crunching often shows results that upend what may seem obvious. The higher carbon impact comes from the intensive energy use — caused by inefficient equipment — of data centers that store movies and pipe them into homes. The study focused only on Netflix, however, which ships thin, lightweight DVDs or sends content electronically. But some entrepreneurs attracted to the Netflix model are often offering larger products, some of which come in odd, harder-to-ship shapes and sizes.


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Shipping goods over longer distances would certainly seem to require more energy, and a bigger carbon footprint, than driving to a local video store. According to a study in the Journal of Industrial Ecology , a two-mile drive to a video store uses a few hundred times more energy than shipping DVDs miles away. One reason is that Netflix uses a mail service that would operate regardless of whether its DVDs are among the deliveries. The same argument could be true for larger or heavier products, said Lindsay Clinton, senior manager at SustainAbility, a London-based consulting firm.

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Other types of ecommerce use more energy than one would expect, however. But they sometimes have economic incentives to weed out inefficiencies. Online retailers may want to find more efficient way to pack and ship their products given that those costs make up a big chunk of their total operational costs.

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