Hi, Jessie Becker here, VP of Marketing, with a message for our members who have added Blu-ray access to their accounts. This message does not apply to you if you have not added Blu-ray access to your account.
The number of titles available for us to purchase on Blu-ray has increased significantly. Our Blu-ray selection has grown more than 60% in just 6 months to over 1,300 titles, and is continuing to expand quickly. Blu-ray adoption among our members has also grown – it’s now close to 10%. As we buy more, you are able to choose from a rapidly expanding selection of Blu-ray titles. And as you’ve probably heard, Blu-ray discs are substantially more expensive than standard definition DVDs – often as much as 30% more.
We’re committed to providing a high quality Blu-ray experience for our members who choose to add Blu-ray access, and in order to do that we need to adjust Blu-ray pricing. As a result, the monthly charge for Blu-ray access is increasing for most plans and will now vary by plan.
If you have added Blu-ray access to your account, this change will take effect on your next billing date on or after April 27, 2009. You will also receive an email from us letting you know the monthly charge for your plan. (Members who do not have Blu-ray access today and add it to their account in the future will see the new prices as of today.)
To avoid any confusion, here are the charges for each of the plans.
1 DVD out at-a-time (2 DVDs a month)
Monthly plan cost: $4.99
Additional monthly charge for Blu-ray access on this plan: $1
Monthly plan cost with Blu-ray access: $5.99
1 DVD out at-a-time (Unlimited)
Monthly plan cost: $8.99
Additional monthly charge for Blu-ray access on this plan: $2
Monthly plan cost with Blu-ray access: $10.99
2 DVDs out at-a-time (Unlimited)
Monthly plan cost: $13.99
Additional monthly charge for Blu-ray access on this plan: $3
Monthly plan cost with Blu-ray access: $16.99
3 DVDs out at-a-time (Unlimited)
Monthly plan cost: $16.99
Additional monthly charge for Blu-ray access on this plan: $4
Monthly plan cost with Blu-ray access: $20.99
4 DVDs out at-a-time (Unlimited)
Monthly plan cost: $23.99
Additional monthly charge for Blu-ray access on this plan: $5
Monthly plan cost with Blu-ray access: $28.99
5 DVDs out at-a-time (Unlimited)
Monthly plan cost: $29.99
Additional monthly charge for Blu-ray access on this plan: $6
Monthly plan cost with Blu-ray access: $35.99
6 DVDs out at-a-time (Unlimited)
Monthly plan cost: $35.99
Additional monthly charge for Blu-ray access on this plan: $7
Monthly plan cost with Blu-ray access: $42.99
7 DVDs out at-a-time (Unlimited)
Monthly plan cost: $41.99
Additional monthly charge for Blu-ray access on this plan: $8
Monthly plan cost with Blu-ray access: $49.99
8 DVDs out at-a-time (Unlimited)
Monthly plan cost: $47.99
Additional monthly charge for Blu-ray access on this plan: $9
Monthly plan cost with Blu-ray access: $56.99
If you don’t want to pay the additional charge for monthly access to Blu-ray, simply remove Blu-ray access on your account before April 27, 2009. Thanks.
Jessie
Monday, March 30, 2009
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«Oldest ‹Older 201 – 400 of 512 Newer› Newest»I understand the need for higher prices, but going to $5/month for the 4 DVD's at a time was just to high. Of the 52 titles in my queue, only 14 had blu-ray available. that didn't seem enough to justify the higher price increase. I'd have gone as high as $3/month extra, but $5 is just too high. I'd also be willing to pay a monthly fee based on how many blu-ray titles I check out each month.
RECIPE FOR BANKRUPTCY?!
Raise prices on non-essential goods and services in the midst of the worst economic recession in recent history!
Thanks Netflix for finally giving me a reason to change my plan from the 5 at a time to 2 at a time.
Matt Prober (loyal customer since 2005)
I just cancelled my blu ray access. I am not paying $9/mo just to watch blu ray movies.
Maybe I'll check out Blockbuster.
It's the second price hike for Blu-Ray in less than 6 months. It's a price gouging switch and bait and shouldn't be tolerated.
I'm sick of these automatic price hikes for loyal customers and am subsequently dropping my service down to the bare minimum (that's $6 back in my pocket every month, thank you). Do it again and I walk.
Netflix I love you, but you're bringing me down.
From $1 to $3 in the blink of an eye. Please consider your long-term subscribers and the loyalty we've given your brand and services over the years. I'd like to know that Netflix is working towards an annual subscription policy (or something comparable) that lessens the burden on those who don't want to go away.
Be creative. Please.
I will be dropping out of the Blu Ray plan once this increase is implemented. I have had to wait quite a long time for many Blu Ray dics, they have sometimes not worked in my player (not Netflix's fault, but points to problems with the technology). I cannot see paying $4 more per month when I might see 1 Blu Ray movie during that period. If Neflix could ensure that I would get a workable Blu Ray disc every time it was at the top of my queue, I might consider it, but this has not been the case and is a situation the original upcharge was supposed to fix.
This is ridiculous. I've been a member for many years (probably since Netflix began), and will be immediately curbing my account back to the minimum, and strongly considering Blockbuster instead. Netflix, you have crossed the line. Instead of increasing your profits, this decision may put you out of business. I suggest you reconsider very quickly, as you're probably losing a landslide of customers per minute right now. How about you drop your useless low-quality-selection streaming video service instead (which must cost far more than Blu-rays for servers and bandwidth)?
If your spending $ 80 a month on coffee...splurge and take the kids to a theater.
c'mon....don't buy into this crap.
I just dropped my Blue-Ray and changed the plan to lowest plan.
I am extremely disappointed like others. As such the wait to get blu ray movies in my queue is horrific. I have been waiting on Changeling, Milk and other new releases for ages.
The price rise on top of this is disgusting. It will still be worth it if the wait time was much shorter.
Guess, Netflix is graudually becoming a blockbuster.
I immediately dropped down to 1 dvd out per month with blu ray access, I find $11.99 more palatable to play the "when will the blu ray version of the movie I want be available".
I almost dropped you guys altogether, but I'm weak.
I like the service, and I appreciate what it offers, but you're not fleecing me for $5 extra due to blu (1$ originally + $4 more) when I've never had 3 blu rays out at a time in the history of my plan.
Thats ridiculous, I'd like to know how many blu ray owners actually make up your user base, it'd be very telling, possibly damning for you guys if we found out the bottom 5% of us were footing that increase.
I'll be taking a look at blockbusters offerings as well, never wanted to before, never even cared, but this has sorta-kinda just pissed me off.
I'm sure the access price is going to go down when blu rays cost the same as dvd's, right?
Riiiiiiiiiight.
I will be dropping the Blu-Ray access completely. To pay more regardless of whether you are watching Blu-Ray movies is ridiculous. So instead of making more money off of me, Netflix will be making less. Seems like a really bad business decision.
Very disappointed in this latest price hike. Like other posters I'll be downgrading my subscription from 3 to 2 to compensate.
I'll have to start looking into blockbuster or other services if this trend continues.
i'll definitely be canceling my account because of this. it's absolutely ridiculous. i'll just go to blockbuster. what a rip off. i guarantee that if blu-ray discs become cheaper in the future, netflix will not lower prices. i've been with netflix since the beginning, i'm so disappointed in them. all hail the almighty dollar!
I agree that now is the worst possible time to raise prices on non-essential spending. I will be dropping from the 3 DVD plan to the 2 DVD Plan to avoid any increase in fees. If there are any more fees being thought about for the future, I will have to go to the 0 DVD plan with Netflix. Come on guys, entertainment is one of the few affrodable escapes that people have from the bad news they hear every night on the news. Please reconsider this increase!
So, how many people have to drop the Bluray option for you to get the idea that you can't keep raising our prices?!? The people getting Blurays are probably more likely to be in the more expensive plans anyway (Right?).
I've been a netflix user since it first came out, back in, what, about 1996-1998? And I've always been an ardent supporter, but this is larceny, and I'm seriously going to look at the Blockbuster plans.
This just plain stinks.
When this was first announced, the additional charge was going to be $1 per month. That I can live with. But as a four-movies at a time subscriber, I have a hard time accepting a 5x increase in surcharges. As a longtime subscriber, that means my Blu-Ray surcharge will equal more than 20% of my bill. Blu-Ray is better for certain kinds of movies, but the cost-benefit isn't there for the majority of them. I for one will be opting out.
I hope that Netflix takes a page out of the lesson book from Facebook and listens to its consumers. Drop this proposed fee increase or else loose customers!
Time to switch back to Blockbuster. As such Blu ray wait time for Netflix sucks big time. Can you believe this? The marketing guy instead of promoting blu ray access hints to drop out of blu ray access. Great customer service. You are indeed a blockbuster!!!
Screw You. Account Canceled.
The number of blu-ray titles is far too few to justify such a price increase. Of the fifty movies in my queue, blu-ray is offered for seven of them. To increase my monthly fee by 25% is unacceptable. I have already canceled my blu-ray service, and the website I visit after posting this comment will be blockbuster. I hear there is NO surcharge at all over there.
I joined a month ago because we got a blu-ray player and I figured this was the way to go. I soon noticed I was receiving practically NONE of the blu-ray titles or any New Releases. So I dropped from 3 out to 2 out and now the 1 out plan. Problem is I stilldon't get any New Releases although that is all that is there since that is all that interests me. I started going back to RedBox because I got tired of waiting 2-3 weeks to watch a New Release from Netflix. Well, this is the straw that broke the camel's back. Off I go to dis-join!
It is now a $1 cheaper to use Blockbuster than Netflix, since they somehow are able to not charge ANYTHING extra for Blu-ray.
It is amazing that they thing a 400% increase in Blu-ray fee's is acceptable! Even in good economic times that would be hard to swallow, but given the current tight budgets this is just insanity.
I just have to decide if I drop Blu-ray or drop Netflix completely.
You should fire whoever thought it a good idea to raise fee's this much.
With the 3 at a time unlimited plan, a $4 Blu-Ray charge amounts to a nearly 25% premium. That is entirely too much, especially given that requesting Blu-Ray leads to longer wait times, let alone the fact that Blu-Ray movie prices are falling as market adoption increases. I'll be either going to a more affordable plan or exploring other services before the new charges take effect.
I bailed when you started charging me a $1 more. It was just out of principal. The availability was poor and ofter long waits and then you want to charge extra! Blockbuster now gets my money since they don't charge extra. Greed in this economy is a poor move. Good luck when the hi-def folks leave you.
Chuckle... interesting experiment in the Law of Supply & Demand you're running here, Netflix. In my case, demand isn't strong enough to want to pay an additional $2/mon for the occasional Blu-Ray movie I've been watching -- but it's enough to make me consider looking at the alternatives.
I think it has all been said previously but I must add my displeasure with the upcoming price increases to the mix. I will not remain at my current sevice level and pay this unwarranted increase. Only question now is whether to drop Netflix entirely and moce to another source (BB) or drop to a lower tier service level. This is very very disappointing. Netflix, recommend you rethink this proposed action - it does not pass the sense test for all the reasons pointed out in this blog.
Dropping Blue Ray from my account, considering dropping Netflix all together. $1 a month was reasonable, as Blue Ray discs are slightly more expensive. But $4 for my 3 movie plan, when your blue ray selection is terrible? That's a 20% increase in the cost of my plan, when your selection of blue ray films is less than 3% of your total inventory, is a blatant rip off.
This is price gouging at its best. So, back in November when Netflix announced to their customers that they needed to add $1 to the cost of renting Blu Ray and now only 3 months later they add another $3, I would suggest they need help doing a bit better planning. As to the price, I think they are helping many of us make a decision between services and it would seem that streaming services, VOD from your favorite cable or sat service seems to give us choices that already exist. Why do we need to overpay for the 'priviledge' of using a service that the industry is pushing us towards. I say, no thanks and I'll now save $20.99 a month. Thanks Netflix for helping me with this decision!
I am extremely disappointed like others. As such the wait to get blu ray movies in my queue is horrific. I have been waiting on Changeling, Milk and other new releases for ages.
The price rise on top of this is disgusting. It will still be worth it if the wait time was much shorter.
Guess, Netflix is graudually becoming a blockbuster.
So here's a question for Netflix. Why can't I disable DVDs - and their associated costs - and only pay for Blu-Ray? It seems fair to me. After all you are attempting to charge me as a Blu-ray user for the price disparity between DVD and Blu-ray discs.
So why should I pay for the rest of Netflix users to watch DVDs, when I don't watch DVDs myself? You're not asking them to pay for the cost of the discs I watch are you?
I'll be downgrading my Blu Ray service to DVD only. I'm very disappointed and I promise you Netflix if you pull anything else...I'll cancel my account altogether! (Like anybody cares...)
It is very disappointing to see Netflix raise the rates on Blu Ray 400% ! While it is true that Blu Ray may cost more at this time, the cost will drop significantly since Blu Ray has been standardized and movies become more available. Netflix should also keep in mind that both Amazon and Apple are looking to do direct downloads of movies in the neat future! I have changed my account from 3 to 2 DVDs because of this change in rates.
Under today's economic conditions, allowing this profit grab isn't worth it. I'll gladly downgrade to save $4 a month that I might need for more important financial concerns than the number of pixels on an occasional Blu-Ray movie. I was happy before with Netflix, but I'll start looking at alternatives.
why hello Jessie Becker. who the f**k cares? you're still hiking up prices! but thank you for repeating exactly what we all read in the original post.... dumb a**.
Really pathetic. Just to reiterate: (1) 25% price increase for nothing in the many months I don't get anything in Blu Ray which is often since availability is just awful. And (2) you guys should be praying for BR since it will save your business, rather than pricing adherents like myself out of the market.
Forgot to mention: let's say you go ahead and raise the price for Blu-ray access, and then since I NEVER use the streaming videos service (I find it utterly useless), give me a $3-4 discount per month. As a server administrator I know as an absolute fact that the bandwidth I don't use easily saves you $3+ per month (even if you're getting rock-bottom bandwidth pricing). Therefore, give me the service I actually want at the price I'm already paying. Take away the service I don't want (streaming video), and call it even. Let those customers who want both services pay for both. Actionable task: put a prompt next time I login to Netflix, allowing me to choose to stay with all features for the new higher price, or remove access to streaming video and stay at my current price.
This is a rather obscene increase (+300%!) and it doesn't sit well with me that current blu-ray subscribers will automatically be opted in. I'm seriously considering just canceling my Netflix account altogether as I won't be a supporter of a company with these principles.
I am not happy with the hike at all. I'm a 100% Bluray renter. I paid the cost to upgrade and usually rent new movies only in Bluray.
I EXPECT to see a much higher number of Bluray dics available to justify this cost.
Personally as soon as it gets close to April 27th I'll be changing my Subscription from 3 at a time to 2 at a time to adjust the cost.
Blockbuster announce they are adding a streaming plan to Tivo and for new release content too. I've dropped my plan from 5 out to 4, and after additional thought removed Blu-Ray access as well. So now their email has caused them to lose money each month. Silly business people. If blockbuster's offering is even halfway decent I'll probably switch. It will be nice to get some real competition going.
I have been with netflix for a very long time. This 300% increase is ridiculous. When DVDs first came out they were no different then blurays and I havent seen a 300% decrease in the DVD plan.
This is the second time in less than a year that you are increasing the price for Blu-Ray discs and this time you are asking for quadruple(at least on my plan) the amount of the initial request! I have been a big supporter of NexFlix but this is ridiculous and out of touch with the financial realities that are currently going on with your customers.
If this increase is implemented in its current form I will be looking elsewhere for all of my media content not just Blu-Ray.
Do not forget there is still Blockbuster that provides similar services and they are not charging extra for HD content.
Well, as many others before me, I will also be cancelling my access to Blu-Ray discs, and am considering cancelling my account altogether. I agree with the many who have said that the $1.00 increase was tolerable, but this current increase ($3.00 total for my plan) is not. While Blu-Ray discs do cost more, they do not cost so much more as to warrant this increase, particularly in light of the fact that Blu-Ray discs are stronger, more scratch resistant, etc. thus requiring fewer and less frequent replacements when compared to their DVD counterparts. Plus, the statement about their catalog increasing so much seems a bit disingenuous to me. I just received The Express on Blu Ray (over two months after its release) and have many a Blu-Ray in my queue with "very long wait" next to them. Oh well, I guess soon they will say "DVD" and "Available Now". Bad move Netflix.
Very foolish, Netflix. While other companies are lowering their prices in this economy, the fact that you are choosing to raise yours is baffling. My cable company even lowered their prices recently. Who was the dynamo around the conference room table that thought this one up? Have fun dealing with the backlash while I reduce my plan and check out other alternatives.
Netflix marketing strategy:
"If you don’t want to pay the additional charge for monthly access to Blu-ray, simply remove Blu-ray access on your account before April 27, 2009."
Something very wrong with this statement. I would probably be fired to make a statement like this.
Following this thread, it is already clear that Mr. Parker is losing customers by the minute.
I can see the need for a blu-ray fee and even understand it going up from it's current rate. However, based on my service rate the fee increased 4 fold! Really....4 times it's original price. That's almost a 25% increase in my total monthly rate. You might really want to take this one back to the drawing boards before you start losing customers!
Did you see the recent story about NetFlix's growth?
"We can't say the economic crisis has been too kind to every industry, but it's been a best friend to Netflix. As consumers divert their out-on-the-town dollars to sit-on-my-arse-and-watch-Netflix dollars, the by-mail and streaming movie rental company is just breaking records left and right. After closing a stellar 2008 with 9.4 million customers, the company has today announced that the 10 million mark has been crossed."
I have been paying my $17.99 per month (plus tax) for 3 DVD's and Blu-ray, only to get a "Dear Customer, F-You, we're raising the price by $3 per month - i.e. 16.7% so we can buy more Blu-ray discs".
By the way, the email notice came with a phone number directing customers to an invalid number! Great way to avoid upset customers!
My comment/question is -- what are you using the monthly fee for then? Wasn't that the whole idea.
The country is in recession. My salary has been cut by 40% if I want to keep my job. Nobody is increasing payroll costs.
Netflix management you need to wake up. This is an insult and an irritation.
What's next? Will you increase the base subscription price because of global warming? I have a Roku box that I purchased. Will you ambush us loyal customers with a surprise fee to use that too?
There is a RECESSION going on. Why do you want to screw the common man? There isn't a lot left that families can spend money on. You've just made it much more difficult to justify this expense.
I am going to find an alternative service or maybe nothing and just save the $17.99 -- I won't be paying you $20.99.
I was glad to previously support you...but no longer.
You are no different than the thieves at AIG and Merrill Lynch etc.
Can not express how disappointed I am. I have removed blu-ray from my account and am tempted to quit Netflix altogether. I hope Netflix changes their business plan quickly before they don't have any business at all.
Unconscionable. Highway robbery. Poor business decision. Instead of charging those subscribers who rent Blu-Ray you should have passed along the expense to all customers and grew your business. A company does not grow and succeed at the expense of new business and technologies. As far as that being unfair, current subscribers to services are always paying for future enhancements that they themselves may not enjoy. It's just business. If you did it that way then every plan may have increase, what, 50 cents a dollar. Much more palatable. Bonehead move.
Well I don't have much to add to the comments already posted except to say "me too".
The price increase to add blu-ray initially was still fresh in my mind as a 'recent increase'. This today is too much, too soon, with too little justification. I am afraid you prompted me to adjust my subscription down, and even with BRD still on my account, the net revenue to you is now lower.
Sorry NF - you lost the pulse of your early adopters on this. You should have put your energy into driving down that supposedly higher BRD cost (I don't buy that either) from the studios / suppliers, and not into gouging your customers.
Netflix stealing money from us - second increase within 6 months - if this were really to cover cost of Blu-Ray why would Netflix stock price go up 6% today - Netflix is price gouging Blu-Ray customers
Netflix thinks it can just continue to increase fees for Blu-Ray subscribers but it spends $100+ million for its streaming services and gives this away for free - WTF!!
All Blu-Ray subs should seriously protest these unfair practices - drop down a plan now and show Netflix we will not be unfairly treated - this time we have to really do something or they will keep rising prices on us to offset costs for streaming
Wow... just poor.
My wife and I will be canceling our account tonight. The Blueray titles are rarely available, Netflix should have at least fixed this before the price increase, I have no reason to think they will do so post. We will look at Blockbuster as an option, or just use the PS3 and 360 to stream.
Too bad really, I just got my folks to agree to try Netflix as well right after we bought them a Blueray player. I will have to let them know to not bother signing up.
So you can chalk another 2 subscriptions (2 DVD at at time with Blueray access) up to this poor decision.
Now if I could get Netflix to stop sending me junk mail...
Now that blu-rays have increased in popularity, you bloodsuckers have the gall to increase the rental price. You figured the time is now right, and decide to up the fee. Redbox charges $1 for DVD AND BLU-RAY rentals.
This is very bad, I have been a member for many years and am pretty disgusted. For now I have reduced my membership from 3 DVD/Blu-Rays to 2 DVD's while I consider a move to Blockbuster whom are a dollar cheaper at the moment if you want Blu-Rays.
I like NetFlix, now just a little less, especially in this hard financial time.
If you really want to show your anger to Netflix drop Blu-ray from your plan. Everyone. Even if only for a month it would send a clear message to them.
Just switched over to Blockbuster. Starting April 30 I'll be paying $2 less for Blu ray and in-store access. Sorry Netflix. There's been too many price increases with you. And honestly, two Blu-ray price increases in almost as many months... I'm done.
I am disappointed and I have already lowered my plan and your revenue. I am looking at blockbuster right now.
I don't buy it. When BD prices normalize to DVD levels, will Netflix remove BOTH price increases instituted for BD so far? I don't see any commitment to that in this announcement...
I canceled my Netflix account today. This was the last straw for me. I will not be held over the barrel and raped time and time again by Netflix.
When the increased the fee for Blu-ray the first time, they said it was because the media was so much more expensive to buy than regular DVD's. Now that the price of DVD and Blu-ray are really not that far apart they need another excuse to rape their customer-base. What will it be this time - oh we have to buy more Blu-ray titles to keep up with demand.
Oh please. I'll go back to buying Blu-ray movies I want to watch...there's no value in Netflix service any longer.
Nice knowing you Netflix. You lost an long time member.
Looks like I'll be reconsidering my netflix plan. 2 rate increases in 6 months? C'mon.
I do have a blu ray player, but the vast majority of my rentals are DVD. I like having the option to go blu ray on select movies. Not worth the $4/month.
Sorry Netflix.
Bye bye Netflix.
I would love to be a fly on the wall during the Netflix Marketing Department meeting in a few months when the geniuses in marketing present how many Netflix customers either left Netflix or downgraded their Netflix plan due to the new Netflix Blue-Ray price increase.
Three months ago we decided to either drop Netflix altogether due to the number of damaged DVDs in their inventory or switch to Blue-Ray disks knowing we would not encounter as many scratched Blue-Ray disks because Netflix’s inventory was newer.
A one dollar charge a month for Blue-Ray did not make us happy, but we could live with it. This latest plan will either make our household decrease the number of Netflix disks we rent per month or drop Netflix altogether.
No, this is COMPLETE b.s. Something fishy is going on if you ask me! A month ago they put out a survey for Wii owners to see if they'd like getting Netflix instant streams, like 360 owners do; a few months before that there was ANOTHER survey to see how users would respond IF they decided to switch from physical mediums to instant streaming. Instant streaming looks like it's the future of Netflix, and that's GREAT! But for videophiles like myself, Blue Ray is awesome. Either Netflix is TRYING to oust Blue Ray, or Sony is being retarded; certainly wouldn't be the FIRST time on their account!
What a stroke of genius!
Just when prices of blu-ray disks are the same of dvds NOW is when we decide to inclease fees by 300%.
Stanford MBA's all round?
As a customer since 2004...I took the $1 surcharge in Nov on the chin, but now we will downgrade our account to fewer rentals.
2 dvds/BD per month here we come. Though I am now prompted to rethink our Netflix account in general.
Raising prices without announcing a vast improvement in BD inventory is definitely not the way to keep your customers happy.
I am very disappointed with this charge increase, and I may cancel my account. The $1 surcharge seemed reasonable to me, but $4 seems like a back-end way to raise the price overall. Eventually, price of Blu-Ray will come down, but I'm sure this surcharge will stay exactly the same.
This is outrageous.
I have a 2@a time plan. How in the hell can they justify upping the rate from $1 to $3 - 300% is beyond me.
Blu Rays are not that more expensive than DVDs, certainly not 300% more.
WOW - downgrading my service today.
The whole reason I signed up for Netflix was the good balance between price and access to their BluRay library.
I like Netflix and want to keep their service, but I don't feel that this second price increase maintains the balance, especially at a time when people are cutting back on spending :(
I'd rather deal with the waits than have my rate go up.
I am a long time member and I will be reducing my subscription AND exploring other service offerings.
This is modern day price gouging at its best.
You are increasing prices at a time when Blu-ray is just starting to hit broad acceptance and adoption. This alone would have made up for the losses AND decreased your cost by increasing your volume/demand and bargaining power with studios. Within 18-24 months, Blu-ray will be "DVD" and DVD will be "VHS". Blu-ray titles will be approaching retail prices of DVD. I won’t bother mentioning that your cost differential is MUCH lower than retail prices.
Globally, Blu-ray sales account for 20% of the market (80% DVD). Sony is predicting (maybe hoping) that Blu-ray market share increases to 50% (50% BR / 50% DVD) this year.
Blu-ray players (set top) are now nearing the same price range that DVD's were in their prime and more available to the general consumer rather than the movie/AV hobbyist willing to drop $300-$600 on a unit.
Also, Blu-ray is being adopted at TWICE the rate that standard DVD's were. In the 4th quarter of '08 alone, U.S. consumers bought up 28.6 million Blu-ray titles.
On top of all that, throw in the current state of the US (or global) economy and you may be looking at a BIG mistake.
Decreasing my subscription to the same price point I am currently at is not really going to hurt you because you will still be getting the same subscription fee from me ans I will be using less service. That only makes life easier for you.
I guess it’s time to start exploring what alternatives I have to make life easier (cheaper) for ME.
I'll be moving from 3 movies a month down to 1. Thanks Netflix. Raise it again and I'm going to Blockbuster.
I have to agree with other's posts and chime in with my own disappointment. Netflix has been a been a tremendous value as an entertainment provider for the last several years I have used the service. For those of us with upconverting hardware it doesn't really make sense at this juncture to keep Bluray service that will increase my plan cost around 20% a month, particularly when I order a Bluray disc only 5% of the time. The difference in quality between BD and DVD is not worth the extra expense for me and as a result, I will be canceling my Bluray service. Bad move Netflix, this will bite you in the rear.
This is bogus. The price of Blu-Ray discs is dropping significantly. Now they are starting to ship with a blu-ray and DVD disc in the case. In the next 6 months they will drop even more. The price netflix pays for the discs is much cheaper then the store price as well. They still rent the movie so many times that they pay for it multiple times. I removed blu-ray discs from my account, next thing they will be chargine extra for downloadable movies and XBOX access. The economy sucks and all these corporations are still just trying to rape the middle class to get the money to pay for there bonuses.
OK People....lets do the math.
According to netflix they were looking for 500,000 subscribers for blue ray at end of 2008.
At an average of $ 4.00 increase, thats a cash flow of $500,000 to
$ 2 million dollars per month.
Of the 500,000 customers.....all we need to do is have 12,000 of the average $17.00 subscribers completely cancel their subscription.
NOT just downgrade...CANCEL YOUR SUBSCRIPTION.
Any additional loss of subscribers
that cancel above 12,000 clients reduces revenue against the additional $2,000,000 they were hoping to steal...I mean raise.
12,000 subscribers....is not very many.
CANCEL TODAY!
...and then make them PAY to get us back.
The prices of regular dvd's has gone down over the last 6 months, but we didn't see a decrease in our monthly rates. The offset of increased Blu-ray discs, with decreased DVD discs should be a push! I'm definitely going to see if there are any better options out there, as I look down my queue and see my next 21 movies are dvd's, with only 2 blu ray's among them.
I think netflix has chosen a bad excuse for the price hike. With the current economic times, they have increased membership numbers due to more people staying home and not going out and spending money. There stock prices have gone up in recent weeks....They don't need to increase prices based on the cost of Blu-rays, there's some other reason...They have increased demand, and need to buy more movies, but want to charge us directly for it. Multiply # of Members x $4 a month, that is a s**t pot of money. ($48 a year for me)
The price increase you are passing along to your customers as others have pointed out just doesn't add up when you do the math.
I would have considered paying the fee IF you were able to add additional titles in BluRay and to the NetFlix Live on demand service, rolled out additional capacity for your NetFlix Live servers to handle the load, or even simply decreased the queue time we have to endure for popular titles and new releases - but you haven't done any of that - and its a pity.
The good thing is I have the following great alternatives:
1. Rentals and purchases through Apple iTunes
2. Rentals through XBOX 360 Live Marketplace
3. Rentals through Sony PS3 store
4. Rentals through Blockbuster both online and the brick and mortar 2 blocks from me.
I have placed my account on hold for the maximum time value and plan on leveraging all my other options above going forward, as well as encouraging everyone I know, and everyone reading here to do the same. I would have outright cancelled my account, but am holding out for the slight hope that you will get enough similar feedback, holds and cancellations that you will reconsider the price hike.
Regards,
Rob
I cancelled Blu-Ray access because of this price increase. In my queue of nearly 60 titles only one movie was in Blu-Ray. This is not worth it to me and I am disappointed that this came after I had upgraded just last week. I only got two Blu-Ray movies before they announced the price hike. Feels like bait and switch, but I know I was a late comer to Blu-Ray.
I found when I go shopping that Blu-Ray titles are cheaper or the same price as their DVD counterparts - especially on their release date. I don't understand the nearly %20 extra charge.
I just wanted to state that while I understand that NetFlix is a business, I dislike this choice.
I just got a Blu-Ray player and was looking forward to adding Blu-Ray's to my rentals. I was literally about to subscribe the the extra charge when I heard this news.
I will NOT be paying the extra 4 dollars.
I have not canceled completely (yet) but I just downgraded my account to 1 DVD out at-a-time.
They just lost half of my subscription.
Wow! How about a grandfather in clause for your repeat customers that have been with you for a long time. I just joined the blu ray plan not even 2 months ago and already upping the cost by 300%? Sorry, somehow I don't think Netflix has been paying attention to the news or realizing the growing number of choices we have for movie watching!
I hope all you whiners are true to your word and quit; shorter waits for me. ;)
Seriously, folks, if you can't afford the extra $3/month, maybe you should sell your BluRay player?
I'm waiting for blu-ray to come down in price beforing buying. I'm glad Netflix is not requiring me to "upgrade" to blu-ray. Those that choose blu-ray should pay the price. Some have said blockbuster does not charge for blu-ray. They do charge, they just charge everyone. They spread the cost. So for me I'll stick with Netflix who have you pay for what you want.
This is BS. I was paying a $1 a month ever since Blu-ray supposedly became available and got 3, count 'em, 3 Blu-ray disks. Netflix told me repeatedly that I had to wait until Blu-ray movies were returned because 'they didn't have enough copies of Blu-ray disks'. Netflix is a bunch of lying, cheating thieves who don't actually have Blu-ray available 99% of the time. I'm not going to pay them more money for nothing. I'm switching. F*ck Netflix.
More and more Blu-Ray titles are being released and in fact in most retail settings, the BR discs far outnumber the regular DVD titles. It's not a wonder NetFlix is also increasing their Blu-Ray library.
Even given the extra costs, NetFlix does NOT pay retail prices, and in fact given the volume purchased this is just another way of gouging users and justifying a price increase.
A few months ago we all received an email indicating that on 11/05/08— they were adding $1.00 for BR discs. Sure, what is another dollar a month.
Now today I receive another email and you intend on increasing my monthly billing $4.00 to continue receiving Blu-Ray titles! With Blu-Ray becomming the norm in the DVD arena, this rate increase is ridiculous, and I have a difficult time justifying the added expense and huge jump in price.
In this economy, I am afraid they'll loose a lot of BR subscribers to this huge price increase. I know for me, it's just not worth the extra $50.00 per year and I will drop the Blu-Ray access to keep costs down.
Like a lot of us, I'll be dropping my service and moving to BlockBuster where there aren't extra charges for Blu-Ray discs. I would advise us all to do so to send the NetFlix the message it's not okay to "bite the hand that feeds" them.
Does Netflix think they're really that untouchable? That their customers will just go along with this? I don't think they can even justify the $1 month addition they currently have. I wait for months for many blu-ray titles as it is. How about you improve your service BEFORE you charge for "improved service and selection?" I will definitely be downgrading, and if it keeps up, going back to Blockbuster.
This is, quite simply, the kind of highly annoying nickel and diming horse crap that everyone hates. I'll be downgrading my plan to pay less in response.
I'm reminded of airlines who, after having fuel costs decrease, did not remove fuel surcharges for every tiny little thing.
I have had contentious Netflix service since December of 1999. This is the largest price increase you have ever pulled since I have been with you. Needless to say I am disappointed.
I think it would have been much better to have a way to choose how many of our discs out can be Blu-Ray, and pay accordingly.
Netflix, I enjoy your service, but my family wants the immediacy of the store down the street. I have kept your service because of the exceptional value it offers.
Just read in pc world, it is cheaper at blockbuster if you have a 3 movies with Blu ray plan.
3 DVDs at a time, unlimited per month, with Blu-ray
Netflix: $20.99 (unlimited streaming)
BBV: $19.99 (guess, you can exchange at stores. Tivo partnership?)
I'll be cancelling Netflix once the new price gouging goes into effect.
This is very disappointing. I do not see why we should have to pay that much more for Blu-Ray rentals. Blu-Ray purchase prices are starting to come down. All the change did for me is reduce my plan so I don't have to pay more each month. I can live with 1 less DVD out at a time. If they could guarantee availability, then maybe it would be worth the cost.
Ouch! Have been a continuous subscriber since October 1999. Had hoped with the 10 year anniversary of the company coming up, those of us who have been loyal since the beginning might get some sort of "thank you" perk for that, given the immense increase in profits and revenue and run up in stock price.
This wasn't the "perk" I was expecting. :(
Need to start exploring alternatives. The streaming service is not good enough quality for really large screens. May have to look at DirecTV's HD PPV or a couple of HD movie channels coupled with my HD DVR as a more cost effective alternative.
Well, I just dropped Blu-ray access from my account, a price increase that large is too much.
I understand that the Blu-ray movies cost more, but in this economy, to maintain good customer relations, Netflix should be willing to absorb some of that cost. The increase is just too much.
DVDs are just fine, thankyouverymuch.
User TOM who stated:
"I hope all you whiners are true to your word and quit; shorter waits for me. ;)"
You moronic fool, you missed the point here, but then again maybe you are someone who enjoys getting "screwed with your pants on!"
I may drop Blu-Ray, or I may drop down from 3 DVD to 2 DVD. As far as I can see, this is Netflix' way of "raising prices without raising prices."
And as we all know, the future is streaming. These days, I watch more streaming, and let the DVDs lie unused for longer. If there was an option where I paid $20/month, and I got to stream the entire catalog, but got no physical media, I would be all over that like white on rice!
Why should I pay for Blu-Ray during a month in which I receive none?
I use Netflix disc rentals mainly as a way to see TV series, which 99% of the time are plain DVDs.
If I want a new release Blu-Ray from time to time, I should be able to get that without having to pay the extra fee (now $4 a month with my current plan).
I'll probably cancel the Blu-Ray portion of my service over this.
This is crappy customer relations/service. Accountants running your Customer Service/Product group? Why should Bluray cost more? $1 and now $4. Just great. Time to start shopping around
I can't see the justification of raising MY costs 500% for Blu-Ray access. $1 a month was one thing....$5 is downright unacceptable. My first thought was to end my Blu-Ray access at the end of the month, but now seeing that Blockbuster doesn't charge for it, they will be gaining me as a new customer.
And to add insult to injury, the customer service rep I spoke to was more than happy to cancel my subscription. No loyalty to long-standing customers AT ALL. You're circling the drain Netflix.
Very disappointing and I have been a Netflixer since 2000--Since I am at 8-at-a-time plan I immediately canceled blu-ray access and will consider canceling my membership altogether and switching to Green Cine full time and perhaps make an old trip to Blockbuster for Blu Ray until there is no more blu-ray in a few months and we are all downloading movies. Blu-ray will go down as the killer of home video as we have mostly known it. Digital downloads are the way and Apple by far has the edge. Netflix streaming quality is very bad on most movies and Apple has the infrasture to take a huge leap forward with more advanced video codecs. HUGE mistake Netflix. You should take a second look at the genius who thought this price increase was a 'brilliant' idea to impress the boss.
I have been a loyal customer for several years, and have never looked towards competition. I am disappointed by the change and have lowered my plan. I, for the first time, am considering Blockbuster online, and for now, have stopped recommending Netflix to friends.
Please reconsider!
I just switched to Blockbuster today. Thanks!
Your reasons for the increased charge are completely unjustified, given the facts surrounding blu-ray. The discs are scratch resistant, meaning you will have to replace less over time. Second, while blu-ray discs cost up to 30% more, this cost will be absorbed over time just like when you made the initial investment in your DVD stock. Does this mean that when the prices of Blu Ray discs come more in line with DVD's, you will drop the surcharge, or will you continue with it. It seem like this is just a ploy to offset the fact that your overall business is down, due to the suffering economy. So, to summarize, you will be charging more for something that will eventually pay for itself, and you will have to replace less over time. Rather than riding out the economy and taking a hit, you are trying to boost your bottom line at a time when you should be promoting economic growth spending through incentives, rather than price increases.
If I was able to get my movie choices in Blu-ray this might be okay. But in 3 months, I've only had 2 or 3 discs.
Called (the number was wrong in the e-mail!) and canceled my Blue-ray up charge.
I'm now looking for alternatives to NetFlix. Any ideas for the Washington DC area>? I wish Fios would get the queue function for their on demand service.
I feel like I have been the victim of a bait and switch. One of the reasons I added the Blu-ray option was that was reasonable. Three dollars more a month is not reasonable for what I'm getting. The quality of the Blu-ray discs has been pretty poor. It has been a long time since I belonged to Blockbuster but I guess it is time to look at them again. I will be removing my Blu-ray service.
Very disappointed. Not long ago it was $1, and now another. Can we expect a dollar raise every few months? I understand the cost of Blu-ray, but I also understand that as you trying to gain more market share, and raising the price every couple of months is probably not the answer. You've got me for this hike, but after this I'm out. Can we also expect a price hike for the ability to stream content? I imagine so in the near future.
100% increase is ridiculous and insulting, but I suppose you have to regulate demand with price. I just did you a solid and discontinued the Blu-Ray service. It was fun while it lasted.
I'm not posting to argue about this change, but rather to note that yet another customer has decided to remove Blu-Ray access from his account because of this change. Most of the movies in my queue aren't even available in Blu-Ray, and although I was willing to go from $0 surcharge to $1 surcharge, I'm not willing to pay $4/month extra for very limited Blu-Ray access. Instead of getting 20% per month more from me, you'll now get about 6% less. I just removed Blu-Ray access from my account and I suspect that many other subscribers have and will do the same in the near future.
I was paying more for Blu-ray from August 2008. I never got new release in BR format within 3 weeks of release date. Infact, I waited for 7 weeks to get Wall-E from the date of
release though this movie was number 1 in my Q. And no visibility of how many days you
have to wait other than “Very long wait” or “long wait”. So what do I do? I have been
putting my membership on hold till the #1 movie from Q is available.
Boo Netflix.
As a relatively new (3 months) subscriber who bit on the free trial, I'm lowering my service level and thinking of dropping off.
Sweet and simple...bye bye Blu-Ray. It is just this kind of corporate greed that has us in the mess we are in right now.
I will be shopping around other services now. I do not want to pay $5 more per month for the blu-ray option, especially when I may go weeks without selecting a movie that is available on blu-ray.
This is really disappointing. You may have lost my business.
I have been a 2-disc-out subscriber for more than two years now, and if you increase my Blu-ray cost above the current $1 surcharge you currently charge, you can bet my subscription fee that I will switch to Blockbuster !!!
I just cancelled blu-ray access from my 8-plan ($9 is a big much), and will be dropping down to a 2-plan and picking up blockbuster. Lucky for netflix I have two roku's and a 360 that I stream too.
The cost on my plan went from $1.00 a month to $5.00 thats a 400% increase. I'm a business owner that has had to discount my products to keep business in these recessionary times and find Netflix greed offensive.
I canceled the Blue-ray option and as a relitively new suscriber will re-evalute the rest of my plan.
How many others are willing to do this?
I guess I'll put my two cents in too... I basically switched to Netflix just about 6 months ago from Blockbuster for lower prices and the novel-but-unreliable streaming service on my Xbox 360. I was more than a happy customer of Blockbuster because of their in-store movie exchange (you can pick blu-rays too at NO ADDITIONAL COST). With Netflix,I have maybe watched 4 movies on streaming service 'cause the picture/audio quality is not even at par with DVD quality, let alone HD, most of the time. Then there're the problems of not wide enough Blu-ray selection, long queue times for blu-ray movies, and now to make it even worse, hike in fees just for having blu-ray option??
Another buck increase would have been fine by me but this change will increase my bill by $4+ ~$1tax.... totally unacceptable. I think it's time to go back to trusty Blockbuster again unless of course, Blockbuster is not planning the same move.
I refuse to believe that the cost differential between DVD and Blu-ray at the wholesale level would be that much, especially for a company like Netflix. If there is a huge differential, maybe it's their 'Purchasing' guys that need to be fired instead of alienating their customers with a price increase, essentially making blu-ray even more expensive option for the ones who hang around.
I hope the suits at Netflix come to their senses soon and reverse their decision. This hike needs to be rolled back.
I have a 3 at a time account w/ blu-ray. Mailing back everything and canceling my account. Too much of a price increase.
Step 1: Sign up with Blockbuster
Step 2: Copy queue over
Step 3: Cancel Netflix
Step 4: Enjoy more bluray movies per month with BB in store exchanges
I've been a subscriber for a few years now and I didn't mind the $1 price increase for blu rays, but now $3 more? No thanks, a 20% increase is not worth the one blu ray I may get a month. With well over 100 DVDS in my queue and only a few that have a blu ray option $4 is way too much money.
Dropped Blu Ray access today, hopefully many more will do so.
Netflix has already levied a $1 surcharge for Blu-ray users which was fair, acceptable, and happily paid to help bolster the BD library. We are told that the increase is to supplement the cost of increasing the library which might have been believeable but my experience with 100% BD breakage of almost 20 Blu-ray discs in the past 4 weeks casts serious doubt on what appears more like an excuse than a reason. Also know that regular DVD are received unbroken.
Given that I have had 100% BD breakage I contacted USPS Consumer Affairs and found the breakage to be caused by Netflix permitting USPS to sort deliveries on the BDS (barcode delivery system) which it previously had not allowed, I find that an increase in BD surcharge to be unfair especially since the increase of breakage is the direct result of a decision made by Netflix. I emphasize that this discovery was made by my own communication with USPS consumer affairs department with no effort by Netflix whatsoever despite my providing contact info for the consumer affairs investigator I had been dealing with.
When calling Netflix to voice my displeasure over this rate increase I was told that Netflix is doing everything they can to address the breakage (not true) and if I am displeased I have the choice to discontinue BD service and return to regular DVD only. Netflix has said in essence, "accept the 300+% rate increase or get lost." If this is the customer service being provided to BD users who are mostly tech aficionados perhaps we should take our service elsewhere and see if Netflix tech stock stays as high as it has been. This kind of attitude should not be tolerated!
VOICE YOUR COMPLAINTS TO NETFLIX AND USPS.
DO NOT ACCEPT PASSING REPLACEMENT COSTS ONTO THE USER!!!
Netflix Customer Service (any number, all go to the same place)
1-866-716-0414
1-866-658-3609
1-888-638-3549
USPS Consumer Affairs Office Locator
http://www.usps.com/ncsc/locators/find-cam.html
Looks like you've lost another customer here. Good job!
First you hit me with a $1 a month charge for BlueRay. So I drop down to the 2 discs at a time plan to save money. Now you are hitting me back with the difference because, wait for it, BLUERAY IS RAPIDLY BECOMING THE PREFERRED AND ADOPTED FORMAT!!!! So this is not an issue about the select few paying more for access, it is about raising your price points just as a product becomes popular.
Well Netflix, it has been a good run. I will not be charged 25% more for something. My account is CANCELLED!!!!
Tiers make some sense, but what a steep tier! Yikes!
A better solution is to add a simple surcharge per BD. I still get a lot of plain old DVDs.
I find the "BD is more expensive argument" rather disappoiwasnting. DVDs are at an all-time low. In fact, competitive pressures from Blu-ray are causing DVDs to get ever cheaper. Blu-ray is where DVD was a few years back, and somehow Netflix managed to survive when DVDs were so much more expensive than they are now. Given how much less our money is worth now tjrthan just 5 years ago, you could argue in some ways BDs are cheaper than DVDs were when Netflix was slinging through the mail DVDs as a young company. Sorry, I don't buy it.
This undercuts the value I get from Netflix, just as the first BD increase did. In this economy, bad move.h
Netflix is getting greedy, simple as that. I am now looking at the competition. I was angry at the $1 increase for Blu-Ray and I'm fuming at this $3 increase. The only reason they are doing it is because BlockBusters monthly rates are slightly higher and they don't charge extra for BlueRay. These Blu-Ray price increases now make their prices equal to BlockBuster. Even so I'll switch to BlockBuster just for the principal of the thing.
That was the final push I needed to cancel my subscription altogether. I'll hopefully be back when the economy gets better and I have a greater cash flow.
well, thanks netflix for making the budgeting decisions for me. Looks like I can put another $20.99 back in savings.
I agree with the commenters who said this is a bait-and-switch move. I've removed Blu-Ray access from my account.
I find the increase in Blu-Ray cost to be totally unacceptable. The problems I have with scratched DVD's and Blu-ray disks and this increase from $1 to $4 just adds to the frustrations of your service. Although you have rectified all my concerns, this price increase is ridiculous and I will be moving on.
We have been loyal customers of Netflix for 3 years, even though Blockbuster is right across the street and in alot of ways would be more useful to us. With the dramatic price increase (we will end up paying 5x's more for blueray access)free access and instant exchanges are starting to look more appealing. Are we going to get 5x's the service?? 1$ increase, sure. $5 or $6 increase? Completely wrong.
Well just cancelled my account.
Hope this sends a clear message of what I think of you greed/price increase.
Great job Netflix!!
This is Crazy!!! I am dropping my plan to 2 DVDs and will think about switching to Blockbuster.
I think this is crap. I have a 3 disc Plan. $1 extra was ok, an increase of $.50 or $1 would be ok, but a 400% is not worth it. I dropped my blu-ray option and I am considering dropping my entire subscription.
As usual some fun comments. What most people talking here don't realize is that an insanely small proportion of their customer base uses DVDs. Most people still have a 19inch analog CRT TV and could care less about HD. And as very little back catalog in is even available in BR, just about the only films that are are new releases which never work well on netflix because of the business model. So, if all you want to do is watch recent releases in BR then Netflix will never be a good plan for you. Duh. Enjoy your redbox with 14 selections or blockbuster STORE with 100 selections.
Jesse, your huge price increase in the depths of an economic recession or depression is most unwelcome and most unwise. Netflix already hit me with a $1 charge for Blu-Ray discs in the last 6 months or so. An additional $3 per month for the 3 DVD plan is a huge percentage price increase, especially given the previous recent increase.
Here's what's going to happen: I'm going to offer to pay an additional $1 per month for Blu-Ray discs on my current 3 DVD plan. If your company won't accept my offer, I will either downgrade my service to a cheaper tier, or leave Netflix altogether for one of your competitors, such as Blockbuster, Redbox, or DVD Express.
We're in an economic recession/depression, where restaurants, airlines, and most other businesses are LOWERING their prices. If you try to push through this large price increase on me and others, the result will be LESS revenue for your company, as others besides me will downgrade or leave.
What an abysmally bad business plan, not to mention a horrible customer relations fiasco.
Well I just canceled my 4 at a time account with Netflix. I've been with them since they first came along but this is too much. Every time I've had an upcoming blu-ray release at the top of my queue I have to wait weeks for it to become available even if I've had it at the top of the queue for months. I get the feeling the corporate tools at Netflix are seeing how much they can get away with without having to improve their service. Shame on you all.
I will be downgrading like most people this is absolutely not worth the extra money.
Also I can't wait until Netflix starts charging for streaming movies on top of standard fees. You guys build the best service, put your competitors on the ropes and then raise prices?
I hear it up and down how good of a value Netflix is compared to other services. It was until you guys started getting greedy.
You should be big enough to control the distribution costs of BluRay at this point.
I can't imagine any other company on the globe who would buy more bluray media. Do yourselves a favor and help drive the cost of bluray down for you and your customers by renegotiating costs, licensing of this format.
Price Gouge: Noted, service plan decreased as a result. Bad timing fellas, my family was already considering cancelling the service as money's tight. Your business has grown around 150% last year but unforunately your customer service hasn't. That's great for your shareholders, but without your customers...
Thanks Netflix, you turned mild annoyance into outrage.
One dollar more a month? Yeah, I didn't like it, but it was a dollar. And now, less than half a year later, you want a whole $3 more every month for the same scratched discs, same long waits? Another disgusting move from you money-grubbing hogs. Here's a tip: try improving the Blu-ray service first and THEN pass the costs on to the consumer. Anyone who pays you $4 extra a month for what we're getting right now is a fool. Those free on demand movies from the cable company are looking pretty damn good right about now. Goodbye and good riddance.
See ya Netflix! It was fun while it lasted. You are no longer a good value for me.
As a current netflix blu-ray customer, I will soon be a former blu-ray customer thanks to this change.
I had been considering a Netflix subscription but after reading this -- no way.
I'm done with Netflix. Blu-ray discs cost no more than 30% more than regular DVD's and yet you are attempting to justify a 300% increase in fees? The one thing Netflix had on Blockbuster was a slightly better availability rate, but Blu-ray has always been in short supply. Looks like its back to Blockbuster for me, with their FREE blu-ray format.
I don't buy the cost difference between standard def and BluRay. I think someone thought, hey we can screw our best customers for an extra few buck a year. They'll piss and moan and then stick around. You guys suck.
I just removed Blu-Ray access from my account. The change in price is too steep. It isn't worth the new charge especially because not every movie I rent is Blu-Ray. I see another comment stating that Blockbuster doesn't charge more for Blu-Ray. It's worth looking into.
On second thought, I put my account on hold, I'm checking into blockbuster
I just downgraded and will cancel netflix on 27th and switch back to blockbuster.
Thank you for nothing, Mr. Jesse Becker or whoever you are. You should be fired for your marketing skills and statement.
You're asking too much for the addition of Blu-Ray discs, Netflix.
Mr Becker, you are a genius. Congratulations on alienating 10% of your subscribers.
It's not so much the $4 charge (for me) but the QUADRUPLING of the service cost during a RECESSION since it was initially imposed MERE WEEKS AGO.
Know your audience, know their limits, don't overstep them.
I predict that this new pricing policy will be vastly changed within a couple days once the flood of Blu-Ray UN-subscribers grows.
I've dropped my account down to 2-at-a-time to offset the new blu-ray fee. I hope you're happy.
Just dropped my account from 2 at a time to 1 at a time to offset this lunacy. I'll do the Blockbuster free trial and see if their availability of blu-ray is at all comparable. If so, its FREE blu-ray through blockbuster for me. Greedy pricks.
This must be the dumbest business decision any executive could have made in this economy. The $1 charge peeved me in the first place and the increase to $4 is absolutely ridiculous.
I just cancelled my membership because of this. Here I come blockbuster.
I swear, I've never seen such torch-waving & pitchfork-toting over a measly $2-3/month. We're talking about the cost of a venti latte here.
I knew when I purchased a BluRay player it was a luxury item that carried with it a concomitant luxury tax: movies cost more.
The previous $1/mo. BD upgrade was a steal; the current prices are now in line with what they should have originally been.
If you don't want to pay more, cancel it and go rent a BluRay movie from Blockbuster for $5. Or better yet, buy a new one for $30. Or pay $150 for a Vudu player and stream HD movies with them for $4 a pop.
Or maybe you can get a slightly better deal with Blockbusters online rental service, I'm not sure. All I know is that right now Netflix is the most cost-effective way for me to watch BDs, even with with the whopping $3 increase I'll now be paying.
Removed Blu-Ray and reduced the number of discs.... I have not had a bd disc in over 2 months. Thats an extra 8 dollars for one film?
I will say that I have never received a bd disc that would not play and this means they've not had to replace the disc or send a new one out. Seems that if you're not replacing discs that you can keep the disc circulating longer hence decreasing the cost per rental of the disc.
Seems the supposed 20% price increase (this is total and not a percentage of the bd access price and is very misleading) only impacted the share price by 5% I wonder if the increased share price is going to be enough considering the number of people reducing either the number of discs they get or removing blu-ray access although.
Acts like this (itunes increasing price for the same content) is one reason you will see an increase in piracy. The idea is to make you look more enticing to customers not less enticing.
DISAPOINTED - Netflix needs to realize ther are not the only mail order service. Blockbuster does not charge extra for Blue-Ray & they have a free trial. I suggest trying them.
I am not a rich person but just an average guy struggling during this bad time. But, I am "WILLING" to pay more to Blockbuster rather than Netflix during this time for this faux pax on Netflix's part.
Disgusting is the word which sums it all.
Really? You have increased your number of Blu-ray titles? That's suprising, since I can't find any of them - including new releases. I'm going to "downgrade" my account immediately to DVD only. It's not like I'll be missing out on much.
BLOCKBUSTER, BLOCKBUSTER, BLOCKBUSTER!!!
This act makes http://www.redbox.com/ads/bluray.aspx at $1 per night for Blu-ray discs look very tempting
Well I cancelled blu-ray access and am now looking into Blockbuster's plans, much nicer to have a store to take them to.
You lost my business netflix, a 300% price hike is outrageous, and blu-ray does not cost anymore than dvds when they first came out.
Ridiculous, F-YOU netflix.
This is absurd. Congratulations. Now we will be dropping the blu ray from our 6 a month service. We usually only rent one or two discs that are blu ray a month and this is excesive punishment. Not cool. In this economy you should be rewarding customers, not punishing them
I can certainly understand your need to make money, but you seem intent on pushing everyone towards non-HD content - first with the move towards streaming video that is so poorly encoded it's painful to watch even on a non-HD set, and now with ever increasing surcharges for Blu-Ray. If this is the best your business model can profitably support, then no thanks. I'll be canceling my 5 at-a-time account before my next rebill and switching to Blockbuster TotalAccess. It turns out that I can save about $35 a month versus my current Netflix account plus a few local rentals a month.
Incidentally, your policy of having account cancellations take effect immediately no matter when you were last billed is pretty shady. It’s probably enough to ensure that I'll never renew with you regardless of my experience with Blockbuster. It's an obvious attempt to either force the user to abandon time they've paid for, or wait and possibly forget to cancel before the next billing. You’re in a competitive business – how much money do you really stand to make from that versus future marketing trying to get an angry customer to return?
Maybe this is the REAL reason for the price "update".....
NETFLIX COULD BE HIT BY POSTAL COST HIKE
http://seekingalpha.com/article/56402-netflix-could-be-hit-by-postal-cost-hike
Citigroup is out with a negative call on Netflix (NASDAQ:NFLX), saying an audit prepared by the Postal Service Office of the Inspector General [OIG] has concluded that the soft leading edge on 70% of NFLX's return mailers (NFLX is not specifically mentioned but is implied) get stuck during sorting and require manual processing and added about $21 million in annual labor costs.
To combat labor costs that are forecast to soar to $61.5 million over the next two years, the OIG has recommended imposing a 17 cent surcharge on each mailer. If NFLX has to bear the full brunt of this increase (without other cost offsets), monthly operating income per paying subscriber would fall 67% from $1.05 to $0.35. NFLX questions whether the USPS will accept the OIG's suggestions, and if no hikes occur, the impact would be limited.
Based on the magnitude of this risk, the firm believes NFLX will most likely redesign its mailers to better accommodate automatic processing. However, they are somewhat concerned that the USPS has singled out the rental by mail industry, which could allude to price increases despite any compliance with the mailers. Reiterates Sell and $18.50 target on NFLX.
They have also confirmed that Blockbuster's (BBI) mailers are not prone to the same issues. Reiterates Buy on BBI.
Notablecalls: Rising postal expenses have always been among my top concerns when it comes to Netflix. If indeed USPS has singled out the rental by mail industry, NFLX will need to pass on the expenses to subscribers. That will put it in a tougher place vs. BBI.
I suspect NFLX will trade down on these comments in the near term.
Hey Netflix , please come up with a reasonable price plan that doesn't alienate your loyal subscribers , bumping subscription fees by ~25% is certainly something that forces the subscribers to look for alternatives.
Will this fix the demand problem? If i could get bluerays without waiting weeks i wouldnt be so against a little more $$. But no change in is service is lame. Communicate please, tell us how you are going to enhance the blue experience.
I'm dropping my service a level to cover the extra cost.
Perhaps another alternative would be a BLUE only plan.
This price hike is ridiculous. For the 3 disc plan, it's incread $4 that's over a 20% increase! The excuse of the higher costs of Bluray is ridiculous. You are still unable to meet the demands of Bluray customers. I can't tell you how many Bluray movies in my queue are skipped for weeks and weeks because you don't have enough in stock. So, I'm supposed to pay more for this? The cost of normal DVD's are coming down and Bluray's prices are getting closer to what normal DVD's USED to cost because it is becoming the new technology. I also don't understand why each plan goes up a dollar extra, per disc. This is disproportionate to the cost of the monthly plan. It should be handled like pizza toppings which are the same price no matter what size pizza you get. We're accessing a finite library and the bluray access should be a FLAT RATE. This is just a ploy to force people to go to 2 discs a month so you can meet the Bluray demand rather than effectively stock up your library. The closer you get to real rental costs in brick and mortar stores, and if availability of Bluray stays low, then people are going to go elsewhere for business. I've responded to your surveys and have called customer service with a solution that would save yourself a TON of money and you would have to buy LESS Bluray discs. Just make a feature that works like this: As a default the movies in my queue are set to Bluray, but I have the option to have the DVD version of that same movie sent as opposed to skipping all the Bluray movies you DON'T have available, and giving me something 7th in my queue for 2 weeks in a row. So basically it means if "Twilight," Bluray version is in my queue, and Bolt Bluray is second....with this setting, you would send me Twilight in standard def instead of skipping to Bolt. In other words, the movie itself wins out in my queue as opposed to format. If you do that you will have happier people, need less Bluray discs and not need to mess with price. Seriously if you don't fix this, or worse yet, continue to jack with the price, I'll drop Netflix in a heartbeat. This is not the time or the economy to be quadrupling the price of a feature to loyal customers.
this new charge is ridiculous. when blu-ray came out you didn't charge anything extra...and they were just as expensive if not more. then you add a dollar which really made me mad, especially since there are some months that i don't receive any blu-ray. now you increase the price again???? i think you are taking advantage of the situation. you make plenty of profit doing what you do, now you are just getting greedy.
NETFLIX sucks and everyone should leave them. Charging that much more for Blu-Ray movies is an absolute crime. NETFLIX already sucks because they never send your movies because they never have enough copies. And Netflix told me that people who spend less get first crack at the movies over myself who spends twice as much as they do. It's crap. REDBOX is better than NetFlix anyway you look at it anymore. Netflix level of service SUCKS!!!!!
Great news! Netflix can drop the fee because there is no longer a demand for Blu-Ray and therefore they don't need to buy as many.
This move shows nothing but greed on Netflix's part. The fact is I already wait weeks for Blu-Rays to become available and now I have to pay to wait?
I've already canceled my Blu-Ray. Netflix, please take this back to the board and explain why you now have an excess of Blu-Ray movies that no one is renting.
I'll be dropping from 3 to 2. Real bad time to be raising prices, but the biggest problem with this price hike is that blu-ray titles are coming very, very slowly. I've been a customer from the very start and the wait for blu-rays is the biggest problem (throttling a close 2nd) I've had with Netflix.
Just dropped Blu-Ray from my account. Instead of a $48 per year increase, Netflix just lost $12 a year. I am certain this is not what they wanted, but Blu-Ray doesn't mean that much, and BR Discs certainly doesn't cost 25% more than a DVD...
Bad management will (has) doomed this company. A shame as I have been a customer since the opened.
Bait and switch.
It is wrong to charge people currently on this plan. It should only apply to newcomers.
The fee is outrageous. You all must be friends with some AIG execs up there!
Looks like I'll be joining the growing number of people who are looking at Blockbuster online as an alternative.
I've been a netflix customer for a few years now. I was excited when you added blu-ray, Great, I had a use for my player. when you added the $1 charge, I was O.K. with that. But now you want to charge more for something us customers rarly ever get because of(Short Wait, Long Wait ,or my personal fave VERY LONG WAIT). Now, if you can get me a blu-ray disc everytime I put one on my queue without all the waiting, and if there's a lot bigger selection than 1,300 WOW out of 60,000 titles, come on guys let's get real. All this says to me is that Netflix is trying to take advantage of their customer's during a U.S. recession, when you should be showing your appreciation to the customer's you have and the many who are joining. I personally am very, very DISAPOINTED. Since you are one of the only companies actually making a profit!!!!!!!!!!!!
Lame, will now consider switching to blockbuster...dangit
Blu-Ray was the whole reason for me having my netflix account. I don't feal this large price hike is justified so I terminated my netflix account.
In the exit survey they ask why your terminating your account. There was not even an option to say "Canceled because of price increase". I hope you have some way to figure out why your losing a lot of people today...
A buck more was stretch for me. Not because I cannot afford it, but because I wasn't sure I saw the real value. Especially when considering you do not always receive the BluRay format. Three bucks is even more of a stretch and I'd be unlikely to continue at that rate. Here's to hoping competition heats up.
I must agree with some of these posts on the price/availability concern. More price to watch more expensive movies should equate to better service as well. If not, well then I foresee an unhappy fan base in the near future.
Additionally, it has been the desire of the movie industry and electronics industry to get people to switch over to Blu-Ray and abandon the DVD. Why not make Blu-Ray an automatic feature of our accounts (or FREE to clear up confusion) allowing those that don't want it to opt out and those that do to opt in. Talk about a great way to bury your competition (implying Blockbuster here of course).
Final thought--if your selection were 50% Blu-Ray and my queue consisted of 50%+ Blu-Ray movies I could see the added burden of having to pay an extra cost (again to cover your current cost increase to improve the library). But that is not currently the case in most people's inventories (based off quick review of previous posts). Obviously your marketing team decided this was a good idea and you went with it, but I imagine that your subscribers may actually have more to say about it than by simply posting here on the blogg (lowering subscription plans, canceling plans and/or removing Blu-Ray, which is the opposite of what you want to happen--more subscribers is better than less).
Sincerely,
A concerned Netflix user
maybe the price increase isnt to what they say in the email, seems whoever is typing numbers over there didn't get the phone number right in the email, 1-888-923-0898?, so maybe the $2 figure is wrong too.
Bad Idea! I cancelled my BR service. If I see that Netflix is raising prices again for no reason and no noticeable improvement to services rendered, I will cancel my subscription outright.
I love Netflix, and always have. I've been a long-time member, since July 2000, when all DVD's were distributed from San Jose. I love that Netflix continues to grandfather us dedicated members on pricing. That said, I'm disappointed that Netflix has decided to make a few of us pay for the benefit that everyone will eventually receive. Please change your Blu-ray policy and have raise everyone's membership by $2.
I have canceled my membership due to this increase. The only reason i was subscribing was the Online streaming (which is limited) and unlimited Blu Ray rentals. Now that its going up triple fold for me with no real added service, I just canceled instead. This was a bad time to try and increase prices. Don't know if they heard, but there is a recession going on, and even people who shelled out for Blu Ray players are trying to save all they can.
I agree with everyone. I HATE not being able to get new releases in blu-ray for several months. In fact, many are already being shown on HBO by the time I get my copy. I can DVR a HD new release for only $4.99 the day it comes out. This is such a waste. I've already adjusted my account and no longer get blu-ray.... and to be sure, I'll be looking for another provider.
I'll too be moving from 3 to the 2 disc plan after the next billing period. Bad move Netflix.
I suppose I'll be downgrading from 5 discs to 4 then. Sorry netflix, you just lost money from another user! Make the fee $2 or even $3, and we'd be cool. But $6? That's a 500% increase for me, and don't tell me it's because blu-ray is more expensive because it's certainly not 500% more expensive than SD DVDs!
HAHA. switching to blockbuster. Same rate for 2/month, and I can rent a game. Oh, I can also rent movies on Sundays.
Way to screw this up. Bravo.
Disappointed at the increase but I thought $1 was to cheap to last, but increasing it 300% is a bit much. My disappointment by the BlueRay rate increase is tempered by the fact that we can still stream movies to our PC. Hopefully, you won't begin charging for on-demand movies.... or will you?
it should be based on how many movies netflix actually ships in blu-ray format. some months i dont get any.
I can understand paying more for Blu-ray, but $4 is ridiculous, especially with the wait times to get a new movie on BR. I have been a Netflix enthusiast for nearly 8 years and haven't set foot in a Blockbuster the entire time. As BB's plan will now be less expensive than Netflix and has more "perks", I guess I will be joining them.
I thnk the price increase for Bluray titles is absurd. I agree with ShapeCSX, what if I don't receive any Bluray titles during a 30 day period? Will we be reimbursed for the Bluray access fee? I am seriously dropping my 4 dvd title plan down to 3 if they still decide on the price increase. Come on Netflix, I have been a satisfied customer for over a year, don't force me to tell my friends & family to AVOID Netflix if they contemplate on joining.
If Netflix could send me blu-ray disks that aren't always cracked, then maybe I might pay the increase but I cannot. Just canceled my Netflix subscription. I'll give Blockbuster a try.
So I have a 3 disc plan... which means an increase in price from $1 to $4. You say you've increased your blu-ray selection 60%. So.... 60% more movies, 400% higher price? Good call Netflix.
1300 titles in a library of 250,000titles represents 0.052% of Netflix titles in Blu-Ray. How this translated into a 11-20% rate hike that they charge every month regardless of availability or actual receipt of Blu-Ray discs is ludicrous. To do so in a time of economic difficulty is financial suicide. Please hire some more competent financial and marketing analysts. I'm taking my money elsewhere.
Let's see. I was an early adopter. And then...
There were price increases.
There was throttling.
There were price increases.
There were plan "improvements".
There were price increases.
And so on.
Sounds more like the cable company to me... Pay more. Deliver less. Much less. Did NetFlix hire an ex-cable tv exec like XM Radio did?
I dropped their service a year ago, when I dropped NetFlix. Show me you are above your competition, not sinking to their level or below. I'd like to be a customer again.
And with this, my relationship with Netflix is coming to an end. It was great while it lasted...but I'm not sure I get $4 worth of enjoyment out of the added benefits of Blu-Ray. Over to Blockbuster I go.
I encouraged everyone to email thise douche bag Jessie Becker. His email is jbecker@netflix.com
Netflix is still a better deal compared to Blockbuster especialy if you value streaming movies:
• 1 DVD at a time, limited to two per month, with Blu-ray
Netflix: $5.99
Blockbuster: $9.99
• 1 DVD at a time, unlimited per month, with Blu-ray
Netflix: $10.99
Blockbuster: $11.99
• 2 DVDs at a time, unlimited per month, with Blu-ray
Netflix: $16.99
BBV: $16.99
• 3 DVDs at a time, unlimited per month, with Blu-ray
Netflix: $20.99
BBV: $19.99
You're lying about a 20% increase. I was paying $1 for Blu-ray and now it's $5.00! That's a 500% increase! I'm reducing my membership. You NEED to pressure the Blu-ray makers to reduce your costs, and not pass on all the costs to your customers.
At least clean your discs!
I have been a member of Netflix since 2000 and have always been a very vocal advocate of the service and I even own stock. This new price increase will put a stop to that.
The first $1 increase was acceptable but this new one just makes no sense. I could see it if every movie I rented was available on Blu-ray. Out of the 390 movies I have in my queue, 100 are available on Blu-ray. Assuming I see 4 movies a month and it takes 8 years to go through my queue, I'm paying $3 extra per month to watch an average of 1 Blu-ray movie per month or 1 out of 4. It's not worth the extra cost.
The VP of Marketing whining about the cost of Blu-ray discs just sounds like a lie. I understand that there are other costs involved in running this business but the actual cost of any disc, be it DVD or Blu-ray is paid for after a handful of rentals. It could be a way to show revenue growth to help the stock price.
I hate Blockbuster from the old brick-and-mortar only days but if they don’t charge extra for Blu-ray discs, maybe they’re worth another look. I will be looking for an alternative to Netflix.
Fuck this! I'm canceling my subscription.
I have been with netflix for over 2 years. I have 90 plus items in my list and the majority of them are dvd. I havent received a dvd title in about 2 months maybe more. When i heard they wanted to increase the cost by a dollar i said ok and i accepted it. but 3 bucks more no way in hell, i am a light user and i can get movies in other ways. I canceled my service so now netflix gets 0 from me every month. i guess now they have that extra money they need for buying more blu rays.
I'll be canceling my account after almost 10 years with Netflix and moving to Blockbuster, who DOESN'T charge anything extra for BD.
The initial $1 charge made me start looking at alternatives, and the new $5 has pushed me over the edge.
Given that I usually have to wait longer for BD movies that are in my queue this increase is a big slap in the face.
Wow, what a lame move. My answer to you comes in the form of dropping my subscription down to the lowest available, and removing Blu-ray. Time to head back to marketing class. Here I thought Netflix had things figured out.
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