I've used it [netflix] on my brother's 360, it's fairly user-friendly. Basically, you have 'queue,' a list of preferred movies you would like to watch. Some are labelled as watch-instantly, meaning able to stream from your laptop. Others you order from the website and they send you, as previously posted, 3 at a time. If you subscribe to neflix, they will send you a free disc this coming March [speculative] which loads the netflix options once in the Wii.
It's a neat utility I guess if you watch a lot of movies, I use it frequently.
GETTIN' CHRONOCRUNK