I agree you can't compare Gamefly with Netflix but for different reasons. Netflix is servicing customers that usually keep a movie for only 1 to 2 days. Gamefly is dealing with gamers that could keep a game for weeks. Netflix could easily buy half the amount of movies to cover the same amount of customers within a given time. Which brings us to price. Movies: $10-$15, Videogames: $60. Gamefly is paying about 4 times more for each game than Netflix is for movies. Netflix didn't start off with all its shipping centers and Gamefly has added several since it started and I'm sure they will open more.
Have had GF for a while and for the most part shipping times have been very good. Average about a 3-4 day turn around, even better when the post office scans for fast return. I only keep games in my queue that I really want to play and only have had to wait a few times for lower availability games to ship. New releases are pretty easy to get by just making sure you have an open slot before release day and I usually remove the other games so that's the only game they can ship.
I pay about $250 a year for the 2-game/plan and easily play 25-30 games a year. I could only buy 4 new games for the same price. Used game prices are great deals if I decide I want to buy a game and I get bigger savings with my extra % off and Gamefly dollars for be a member for a while. The games are always in great shape and no shipping costs. Gamefly is not perfect but they are doing an excellent job in a business that others have quit or just won't get into because of the difficultly of game rentals.