NEW YORK ( TheStreet) -- Investors in Netflix ( NFLX) have a real problem on their hands. Management currently doesn't believe it's important to fully monetize its subscriber base. The mentality of Netflix management is akin to Nike producing one style of shoe. Instead of only selling one swoosh to each customer, Nike knows what Netflix's management hasn't figure out yet. Offering many kinds of styles and colors is a key to maximizing revenue and profits.
Apple ( AAPL), Amazon ( AMZN) and Google ( GOOG) are already doing much or all of what Netflix needs to start doing, and they were doing it a long time ago. With Apple, you can buy a movie or song, you can rent a movie and the process is made simple and easy. Full-movie streaming on demand -- neither an envelope in the mail is needed nor waiting for it to arrive. Within five minutes a viewer can transverse from searching a huge library of movies to watching the opening credits. With some differences, Amazon and Google offer the same thing. With a click of a mouse button you have Amazon Prime and with the click of another mouse button you're looking at YouTube or Google Play and full movies. How can Netflix possibly expect to compete with any one of these three gorillas, much less all at once, while only offering one low-end streaming service? The answer is it can't, and every day that passes without Netflix expanding the offering, makes the challenge that much harder.