Netflix hikes prices for DVDs + streaming

[Pete1210]

Re: Netflix hikes prices for DVDs + streaming

Edit: Seems like it is changed to two: http://stopthecap.com/2011/09/07/net...-per-customer/

I always thought it was one at a time since that's was the rule when I signed up.
So 2 streams is good news in my house.

[Fresh Tendrils]

Re: Netflix hikes prices for DVDs + streaming

1M Fewer Subscribers

[CMH]

Re: Netflix hikes prices for DVDs + streaming

Slightly less than they expected which probably means they really lost about as many or a bit more.

[DaImmaculateONe]

Re: Netflix hikes prices for DVDs + streaming

wow there share price has really plummeted since the annoucement. wow down 30 down bux today

[fishepa]

Re: Netflix hikes prices for DVDs + streaming

Poor Netflix. They made their bed.

[myghty]

Re: Netflix hikes prices for DVDs + streaming

http://finance.yahoo.com/news/Price-Hike-Sends-Netflixs-nytimes-985924951.html?x=0&.v=1

[CMH]

Re: Netflix hikes prices for DVDs + streaming

They really are just the first of many that will eventually face this problem.

How long until Redbox raises prices? They've already been experimenting in certain markets with higher prices.

How long until internet costs more?

Convenience was offered to customers and the prices were low to break in. Eventually, that convenience will be more expensive than it was originally.

Until someone offers that same options Netflix offers, they have no real major threats. Once another competitor truly enters the market (say Amazon's service) then they may face some real struggles.

Netflix was either going to lose these customers or lose money. It's an easy trade off for a company.

[truffleshuffle]

Re: Netflix hikes prices for DVDs + streaming

I dropped my dvd section and went with just streaming but With the problems I read about that there having with stars they may have to up the price on the streaming or they may actualy loose the stars portion of streaming if they do lose that it will defently hurt streaming. I thought they worked a deal out with stars resently but last I read there was still a problem. The price I pay now for just streaming is fine but NOt if they hike up the price because what streaming offers right now is not that great for moves and stuff alot of old stuff and weired moves.

[gez20]

Re: Netflix hikes prices for DVDs + streaming

Just saw my bill and once I'm done with The Wire I'm going back down to streaming only. I'm so glad they aren't enforcing the streaming only one movie at a time thing. That would have been the nail in the coffin for my membership.

[Jukeman]

When does the prices go up? My bill for Aug was still $12 for unlimited instants + 1 blu ray...

Edit- looks like I'll get billed for about $20 my next bill...

Downgrading to instants only lol

[Jukeman]

I just got this email after canceling DVD's

I messed up. I owe you an explanation.

It is clear from the feedback over the past two months that many members felt we lacked respect and humility in the way we announced the separation of DVD and streaming and the price changes. That was certainly not our intent, and I offer my sincere apology. Let me explain what we are doing.

For the past five years, my greatest fear at Netflix has been that we wouldn't make the leap from success in DVDs to success in streaming. Most companies that are great at something – like AOL dialup or Borders bookstores – do not become great at new things people want (streaming for us). So we moved quickly into streaming, but I should have personally given you a full explanation of why we are splitting the services and thereby increasing prices. It wouldn’t have changed the price increase, but it would have been the right thing to do.

So here is what we are doing and why.

Many members love our DVD service, as I do, because nearly every movie ever made is published on DVD. DVD is a great option for those who want the huge and comprehensive selection of movies.

I also love our streaming service because it is integrated into my TV, and I can watch anytime I want. The benefits of our streaming service are really quite different from the benefits of DVD by mail. We need to focus on rapid improvement as streaming technology and the market evolves, without maintaining compatibility with our DVD by mail service.

So we realized that streaming and DVD by mail are really becoming two different businesses, with very different cost structures, that need to be marketed differently, and we need to let each grow and operate independently.

It’s hard to write this after over 10 years of mailing DVDs with pride, but we think it is necessary: In a few weeks, we will rename our DVD by mail service to “Qwikster”. We chose the name Qwikster because it refers to quick delivery. We will keep the name “Netflix” for streaming.

Qwikster will be the same website and DVD service that everyone is used to. It is just a new name, and DVD members will go to qwikster.com to access their DVD queues and choose movies. One improvement we will make at launch is to add a video games upgrade option, similar to our upgrade option for Blu-ray, for those who want to rent Wii, PS3 and Xbox 360 games. Members have been asking for video games for many years, but now that DVD by mail has its own team, we are finally getting it done. Other improvements will follow. A negative of the renaming and separation is that the Qwikster.com and Netflix.com websites will not be integrated.

There are no pricing changes (we’re done with that!). If you subscribe to both services you will have two entries on your credit card statement, one for Qwikster and one for Netflix. The total will be the same as your current charges. We will let you know in a few weeks when the Qwikster.com website is up and ready.

For me the Netflix red envelope has always been a source of joy. The new envelope is still that lovely red, but now it will have a Qwikster logo. I know that logo will grow on me over time, but still, it is hard. I imagine it will be similar for many of you.

I want to acknowledge and thank you for sticking with us, and to apologize again to those members, both current and former, who felt we treated them thoughtlessly.

Both the Qwikster and Netflix teams will work hard to regain your trust. We know it will not be overnight. Actions speak louder than words. But words help people to understand actions.

Respectfully yours,

-Reed Hastings, Co-Founder and CEO, Netflix

p.s. I have a slightly longer explanation along with a video posted on our blog, where you can also post comments.

Sent from my HumancentiPad using Tapatalk

[Fresh Tendrils]

Re: Netflix hikes prices for DVDs + streaming

I got the same e-mail this morning. I'm not really sure how to take it. If this was the plan, which seems like it is case, then why even go through the trouble of the whole streaming up-charge and just wait until Qwistker was ready?

I won't quit the service because honestly I could care less what it is called so long as the service continues being just as good and timely as it is currently. Plus, adding video game rentals? Nice. But, it just seems like a reactionary move rather than something that was probably (see: hopefully) planned all along. It is really odd.

[OSUFan_88]

Re: Netflix hikes prices for DVDs + streaming

Exactly why does this need to be two different companies again?

What a giant botch fest. I'll stick with Netflix only because, when it comes to getting DVD by mail, I don't care that much to go through this hassle.

[aukevin]

Re: Netflix hikes prices for DVDs + streaming

What a stupid "apology." If he is sorry about angering customers by hiking the prices, then lower them, don't just re-brand and think we won't notice.

[Chef Matt]

Re: Netflix hikes prices for DVDs + streaming

I'm on the fence right now with the whole DVD thing.

I was thinking about going red box but if netflix is going to gaming they might have a better selection of PS3 games than red box does.

Read: Cars 2, Call of Juarez, Transformers selection sucks.

But at the same time the red box movies are far newer. So I'm stuck right now.