Last week Netflix (NASDAQ: NFLX) replaced its five-star rating system with a thumbs-up and thumbs-down system which it calls simpler and more intuitive. According to the announcement, a thumbs-up rating indicates you liked a particular show and want to see similar suggestions. A thumbs-down says you didn’t like a show and you don’t want Netflix to suggest it to you again. The item is still searchable, but it won’t be served up on your home page.

“In either case, using thumbs helps us learn even more about your unique tastes, so we can do a better job suggesting stories we think you’ll love,” says Cameron Johnson, director of production innovation for Netflix.

Instead of seeing star ratings next to each title, subscribers will see a personalized percent Match score. The score represents a prediction of what Netflix thinks you will enjoy watching. The percentage is based on algorithms that have analyzed your viewing habits and behavior; it is not an indicator of the popularity of the show across other Netflix subscribers. For Netflix viewers who have rated shows using the star system in the past, Netflix will still use that information to suggest content.

Why change now? Netflix explains.

“Netflix has had star ratings for much of our history, but we’ve learned through over a year of testing that, while we’ve used stars to help you personalize your suggestions, many of our members are confused about what they do,” says Johnson.

They go onto explain that with so many star ratings on e-commerce and review apps like Yelp, a rating contributes to an overall average. The goal is to help potential customers decide whether they want to try a specific product or service based on that overall average and individual reviews. That’s quite a bit different than what Netflix is trying to accomplish – to personalize each subscriber’s experience based on their own viewing habits and tastes.

“In contrast, when people see thumbs, they know that they are used to teach the system about their tastes with the goal of finding more great content. That’s why when we tested replacing stars with thumbs we saw an astounding 200% increase in ratings activity,” Johnson added.

They explain the concept in this video:

Because of Facebook, many of us have become accustomed to the thumbs up or “like”option. It is also a popular feature in dating apps, so it is familiar and should be easy to adopt.

Insider Take:

When I first heard about the change, it seemed unnecessary and too simplified to be effective as a rating system. However, now that I understand the changes, I like it. As a subscriber and avid binge-watcher, I often scroll through Netflix thinking to myself, “I will never watch THAT show.” Now I can indicate it is a thumbs-down for me, and it will be removed from my feed, showing me more shows that interest me, and fewer ones that don’t. That’s a great way to personalize the experience. Thumbs-up on the rating system, Netflix.