Netflix raises prices, splitting DVD & instant viewing into different plans

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#1

Netflix raises prices, splitting DVD & instant viewing into different plans.

[newsimage]http://static.rankone.nl/images_posts/2011/07/hwKkxy.jpg[/newsimage]Netflix announced on Tuesday a major change to its subscription-based services. Starting in September for current members, the singular unlimited DVD and streaming deal will be split into two different services: one focused solely on DVD rentals, and the other offering the online streaming service which helped the company expand over the past few years. 


Read the full article here: [http://www.myce.com/news/netflix-raises-prices-splitting-dvd-instant-viewing-into-different-plans-48308/](http://www.myce.com/news/netflix-raises-prices-splitting-dvd-instant-viewing-into-different-plans-48308/)


Please note that the reactions from the complete site will be synched below.
#2

Here is my email from netflix

We are separating unlimited DVDs by mail and unlimited streaming into two separate plans to better reflect the costs of each. Now our members have a choice: a streaming only plan, a DVD only plan, or both.

Your current $41.99 a month membership for unlimited streaming and unlimited DVDs will be split into 2 distinct plans:

Plan 1: Unlimited Streaming (no DVDs) for $7.99 a month
Plan 2: Unlimited DVDs, 6 out at-a-time (no streaming) for $32.99 a month

Your price for getting both of these plans will be $40.98 a month ($7.99 + $32.99). You don’t need to do anything to continue your memberships for both unlimited streaming and unlimited DVDs.

These prices will start for charges on or after September 1, 2011.

You can easily change or cancel your unlimited streaming plan, unlimited DVD plan, or both, by going to the Plan Change page in Your Account.

Others may have gone up, but mine went down.

#3

Mine went up from $14.99 to $19.98 . . .

#4

Netflix or should I call it Nutflix is trying the Blockbuster business approach of lets just
go right ahead and squeeze every penny out of our subscriber base until they all say
the hell with it and leave us and we have to file bankruptcy at least it seems that way
to me. :confused:

I do not use the streaming video service all that much anyway so I will drop it like a hot
potato next month before my next payment comes due no use paying for something that
I might use once or twice or less every month or two. :disagree:

#5

We actually use the streaming option more than DVDs. I’ve got two discs at home right now. I’ve had one of them since the first part of May. I just haven’t taken the time to watch it or send it back (127 Hours).

#6

I myself will drop the streaming as they don’t have enough of my selection to stream and also I like the choice of when I like to stream and/or watch DVD.

So here some scope of why they jacked the prices and change the subscription on users:

What’s not mentioned is the reason behind this change. According to CNN Money, Netflix has been forced to hike prices because it needs to find some extra $2 billion in content costs for the studios next year. That’s not walking around money, and it seems that Netflix is asking customers to turn out their pockets to foot this bill. ZDNet editor-in-chief Larry Dignan agrees - “Netflix’s price changes are all about the dollars.”
This is one reason pirates exist and torrent and p2p continues to grow and grow. It just looks like NF forgot what made it great and popular with it’s subscriber base.

#7

I myself will drop the streaming as they don’t have enough of my selection to stream and also I like the choice of when I like to stream and/or watch DVD.

So here some scope of why they jacked the prices and change the subscription on users:

What’s not mentioned is the reason behind this change. According to CNN Money, Netflix has been forced to hike prices because it needs to find some extra $2 billion in content costs for the studios next year. That’s not walking around money, and it seems that Netflix is asking customers to turn out their pockets to foot this bill. ZDNet editor-in-chief Larry Dignan agrees - “Netflix’s price changes are all about the dollars.”
This is one reason pirates exist and torrent and p2p continues to grow and grow. It just looks like NF forgot what made it great and popular with it’s subscriber base. As a result of this I myself will be dropping the combination and just go with having more DVD and loose the streaming option. For my money DVD is far better value to watch. And what else I miss I can get them at my local library for free of which I am a member at. This is what is going to happen to NF. Users will go to their local library and RedBox or BB and forgo what used to make it convenient to go NF to begin with. That is what is going to happen to NF they will most certainly loose profit over doing this rather then making profit. Twitter and Facebook haven’t had good response to what they did either so you can guess what the rest will say.

#8

Is this the beginning of the end for Netflix? Blockbuster also abused its customers with significant price increases and reduced service that drove them from being number one in the business and into bankruptcy.
If Netflix wants to get out of the dvd business then just do it. Most new dvd releases are not even available from Netflix for 30 days after release…and Netflix does not offer new releases in its streaming.
How long will people stay with Netflix streaming just watching old movies/tv shows remains to be seen. But if they ever tamper with the streaming price, my guess is that a mass exodus will occur.
All Netflix has accomplished with it’s significant dvd price increase is left a bad taste in the mouths of it’s present customers. Once you piss off people, they are likely to cancel the service and go somewhere else even if it does cost them more.
Hey Netflix-take a hint-people do not like to be abused with price increases without an increase in service especially in this economy. Your competition is watching. Remember, you are NOT to big to fail…just ask Blockbuster!!

#11

As long as they keep relatively new TV series available as part of the streaming service I can see folks sticking with them.