Netflix increases prices, changes DVD and streaming plans

“Say goodbye to that free, unlimited Netflix streaming with your DVD rental plan,” Chloe Albanesius reports for PC Magazine. “The company on Tuesday announced new pricing plans that separate options for DVD rentals and Watch Instantly streaming.”

“Going forward, access to unlimited Netflix streaming will cost $7.99 per month, as will its unlimited, one DVD at a time plan,” Albanesius reports. “Together, one DVD and unlimited streaming will cost $15.98 per month.”

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Albanesius reports, “For new members, these prices are effective immediately. Existing customers will see the price changes starting September 1.
The plans also apply to other DVD rental options. Unlimited streaming plus two DVDs at a time will cost $19.98 per month, three DVDs plus streaming will be $23.98, and four DVDs plus streaming will be $29.98 per month. With no streaming, two DVDs out at a time will be $11.99 per month. Currently, the unlimited streaming plus one DVD at a time plan costs $9.99 per month.”

Read more in the full article here.

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63 Comments

  1. So I cancelled my service. I like it, I use it and there’s a good chance in a month or two I’ll renew my subscription (they don’t need to know that)… but I cancelled and let them know it was because fo the pricing changes. I figure I can sacrifice a month or two of Netflix use and would hope that if people are upset about it they can quasi-protest it as well.

      1. Yeah, I get it. I’m not one to cancel services over price increases or service changes… this is actually the first time I’ve done that with anything. I had (and still have) really high hopes for Netflix as a company. I like what they do, I like what their CEO says and I’m, for the most part, happy with their service. From what I’ve read (several articles arguing for and against), it just seems like an oddly high increase. As I mentioned, my quasi-protest is unlikely to amount to anything – mostly because I’ll probably end up getting the service again in the future. Just thought it was A way of ‘sending a message’ that I’m unhappy with the increase… not angry, just unhappy.

        1. agreed.
          this isn’t the first time Netflix has increased rates Sucker.

          I DO LIKE the streaming part.. I never would have watched the ENTIRE Stargate series (all 3) OR Battlestar Galactica (new one) if it were not for Netflix.

          Oh hell…. ALMOST forgot.. Lost!
          I never watched Lost on air.. I quit after the first episode when it aired. I saw it was on Netflix one day (Mom has been bugging me every season to watch it..) And decided to watch the first season… Watched ALL seasons on netflix. Watched the last season live on TV.

          Wouldn’t/Couldn’t do that if i did not have Netflix.

          Combining the two services, and doubling the price.. Sorry, dropping the DVD part.
          If they just raised my package $1-$2 again.. i’d probably say “whatever” like i did the last two times… Except I did drop the Blu Ray part after they raised it. (after 3 months)

        2. Observer, Sucker is right. Buzzy you are clueless. But your momma pays for your NFLX on the tv in the basement. Buzzy, get out and get a job. Pay for your own stuff. Dope.

        3. Observer is right.

          That is a hefty rate increase. I don’t have Netflix but an increase that high justifies a prompt termination of any service.

          GM, are you a dope or perhaps you like wasting money? Don’t be bashing people’s comments like some immature child.

        4. I’m gay. I use Netflix to watch gay porn. I’ll pay any price to keep my Netflix so it doesn’t really matter to me. I’m not a dope though. You are Mees.

  2. They are doing this cause their studio contracts are expiring soon. instead of paying them in the low millions, they’re going to get slammed for billions.

    I’m glad I canceled. Sell your stock now!

  3. They are getting Mirimax, that deal happened some time ago, they must be adding a better selection. We just don’t see it yet. I’ll bet it will still be pretty cool when all said and done 😉

  4. Cancelled my subscription last night.
    My original plan was $7.99, recently it increased to $9.99, now they want $15.98
    I don’t use it enough to make it worth while, maybe 3 movies a month.
    I’ll get my movies via iTunes on my AppleTV

  5. This is actually great news for Apple. It will shift a lot of Netflix users over to the iTunes Store for renting films.

    Personally, I dumped my DVD rental as a result of this customer gouging move, keeping the streaming, which is mainly what I use in any case. If I want to rent any recent big films, off to the iTunes Store I go. Bite me Netflix.

  6. I will either cancel my DVD delivery and keep the streaming, or cancel the whole thing. I can see upping the total proce from $9.99 to $11.99, but $15.98 is way out of line for what you’re getting.

  7. Hi don’t think it’s that big a deal for me. I’d never do the receive a DVD in the mail and then have to go to the trouble of mailing the damn thing back. Just give me all-I-can-watch streaming and get more movies on it and I’ll be happy. I’d even pay $10-$15 a month on it. It beats HBO or the other movie channels hands down. No set top box to pay for, no being saddle with and having to pay for other channels I’ll never watch.

    1. I’m keeping the streaming.
      but it does NOT beat HBO etc..

      Netflix has to WAIT till the show is out on DVD, THEN wait till the deal is made to have the show, then wait again if it’s not able to stream right away..

      Or i just open up the HBO GO app and watch current and old shows right there. BEFORE they are on DVD even..

      HBO movies, not in house ones, are newer releases and Netflix rarely gets NEW movies on the streaming part.

        1. My package I pay like 6-7 for HBO.
          I need to go through what I watch every month and see if it’s cheaper to drop them and just get it through iTunes.. IF it’s on iTunes.

          But I still need to get some of the channels through my satellite. Some channels/programs I can’t get in iTunes at all.
          NFL network.. Can’t. And I watch it a lot.
          Some of their programming can’t be watched anywhere else.
          I have a local semi pro team I watch, it’s in HD and can only be seen on a Han el in my package… Not on iTunes.

    2. I merely meant it was better on price. I wish they’d get more selection but that’s really up to the studios. I wish the networks and studio would just give people what they want when they want it. On demand.

  8. This will be the driver to make me cancel service. While the service is nice, they get DVD’s 30-days later than other places and most content for streaming is older and not updated frequently. For what they offer, the price point was on-track in my opinion. Unless they are going to be streaming brand new movies, current episodes of shows right after they air, and get DVD movies right when they come out and not wait for 30-days, then the price increase may be justified. If not…. I’m gone! 🙂

    1. the 30 days wait on some movies, is not Netflix’s choice.
      Some studios were complaining that the pay per view revenue died with netflix able to send out the movie on day one.. so netflix got screwed on that.

      The streaming for me is worth it still. but the DVD part… NOT worth it anymore.

  9. $7.99 per month for 1 DVD out at a time is pretty high. Think of the best case scenario:

    1- I get a movie on Monday and watch it the same night
    2 – I put it in the mail on Tuesday
    3 – Netflix gets it and sends out my next movie on Wednesday
    4 – I get it and watch it on Thursday
    5 – I send it back on Friday
    6 – Netflix gets it and sends me my next movie on Saturday
    7 – Go back to #1

    So at the very best I can get 2 movies per week and 8 movies per month. Most of the time I don’t watch movies the same night I get them and usually it’s the next night or sometimes 2 nights later. I would say I get around 5 DVD’s per month.

    This is just their beginning push to go full streaming. I think they want out of the mailing movies business and just want full streaming for every customer.

  10. My Netflix plan is going from $16 a month to $20. BFD. That’s fine with me. The service is well worth that in my house. Netflix delivers the goods. Are there other options? Sure. Better options? Maybe. Better value? Definitely not.

    J

  11. I’ll keep the streaming for now.
    Lots of old tv shows/movies I still want to watch.

    but the DVD part? Gone.
    I only used that for the.. Uh.. “Personal library” anymore.

    As others said in various other posts, heard this yesterday about the change, redbox is down the street. Cheaper for me to grab a redbox movie instead of the $8 to Netflix. 1 DVD out at a time turns out to be like 8 movies a month on average, takes a day to ship each way and a day to watch. Unless you watch it and send it back same day..

    Will I stay with netflix beyond the next few months? Not sure.
    They raised the price of my package to $16 and expect me to stay? Sorry it just cost you $2 from me, and maybe another $8 in the future.

  12. Because of their great customer service I’ll stick with NetFlix for now. Although I will opt for the streaming option only. For me, this is mostly what I used.

    Otherwise it doubles the subscription for the same service. It’s not that I can’t afford it. I know I spent way more at Blockbuster at times… but not every month.

    I suppose I can use iTunes/AppleTV for the must have rentals that aren’t on NetFlix.

    1. nah With mail volume dropping Netflix is one of the USPS’s biggest shippers.. This will HURT the post office.

      I know, I have family that works at the USPS.. Netflix gets special treatment that others do not get.

  13. I’m a long-time NetFlix customer and investor. Got pissed like everyone else, but simmered down. The difference in price is really inconsequential despite the whining on the NetFlix blog.

    It’s just a few cups of coffee?

    The real culprit is the studios, of course. Molesting greed.

    1. I HATE Coffee…. you couldn’t PAY me to drink Coffee.

      I agree the studios wanted more money. Netflix should have raised rates $1-$2 and dealt with it. a $6 increase… and want to take bets on if this is round 1 of increases?

      just thought about this.. Netflix introduces restrictions on streaming, price includes 2 devices… 3rd+ costs $1 a month.. iPad, iPhone free. DVD player… AppleTV.. extra.

  14. I’m happy to pay more and here’s why:

    What we’ll do is reduce our DVD limit to two at a time from three. The sad fact is that we only watch about six per month! We enjoy the convenience and selection, though.

    But there’s no way we’ll stop streaming.

    Right now in my instant queue I’ve got the entire series of Star Trek TNG, Monty Python’s Flying Circus, The Kids in the Hall, the X Files. My kids each have a couple of series. My wife has one. Is that worth 7.99 per month? Absolutely. I started purchasing Star Trek TNG last year. One season cost about 40.00. Now I can watch the entire series at my leisure whether I’m lying in bed, at my computer, or on my t.v. No disks to dink around with, either.

    Totally worth it to me. In fact, for some time I’ve been thinking, “How in the hell can Netflix afford to offer all this stuff so cheaply?” Turns out they can’t. I’m willing to pay for what I use.

    1. I agree, the streaming feature has been the most frequently used part of Netflix. As a result I had reduced the DVD # to 1 from 4. I bet a lot of users have been doing that and in consequence the revenue has been dropping.
      This will increase my current bill but it still a good deal compared to Apple’s renting service. Hopefully Netflix’s streaming selection will improve.

  15. I’ve been a member since ’98 when I got 4 movies for $10. My plan will now go up to $35 if I keep everything the same. Ouch. I’m going to choose the streaming only for $8. I just hate that most streaming content isn’t in the most current sound offerings, for surround etc..

  16. If it’s still worth it to you, keep the service or adjust to streaming only. If not, dump it. Pretty simple. Companies make decisions on what they want to do. And the consumer decides what they want to do.

  17. The free an open web has created a whole generation of entitlement babies.

    The comments on Netflix’s blog/facebook are all basically the same: “HOW DARE YOU TAKE AWAY MY RIGHT TO CHEAP NETFLIX!!”

    Look, if it seems like it costs too much, don’t re-up. But don’t get outraged that you are somehow ENTITLED to it being the price it’s always been.

    Netflix is not a social services agency.

    Cheap Netflix is not a God-given right.

    1. Uh, no offense, but you really need to review your definition of “entitlement”. Entitlement arguments usually revolve around people expecting to get something for nothing, or for unreasonably cheap.

      People complaining about a price raise has nothing to do with entitlements. People have been complaining about prices since prices were invented. And I think the way many are choosing to deal with the price raise, dropping the service, is the correct way to do it. Why pay for something if you don’t feel you’re getting sufficient value?

      ——RM

      1. @RM, I totally agree with you, and I’m NOT seeing the entitlement attitude here. It’s other places in the blogosphere where people are going nuts, NOT simply saying, “This is too much money, I’m gone,” but saying “HOW DARE YOU RAISE TEH PRICES!!”, as if the cheap price is a RIGHT.

        And thank you for your civil tone in disagreeing with me. Seriously, it’s nice to see that on the ‘net…

  18. Yeah, I wasn’t thrilled with the price increase either, but I am surprised they were making much money at the old price points between postage, paying Hollywood for the content, maintaining all of their servers and bandwidth charges, yikes! Before we signed up for Netflix 2 years ago, all we had in our little town was Blockbuster, $4 for a crappy old movie and almost $6 for a new release, and I had to drive 10 miles to return it. Is Netflix still a deal in comparison? YES!

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