Netflix DVD Rental Rises 60% in Price while What Customers will Say?
Beginning at this fall, existing Netflix customers will NO longer be able to stream movies from online catalog and get DVD in the mail for $7.99. Instead, customers will have to make a choice of either sticking to the unlimited stream-only $7.99 plan or unlimited DVDs in the mail for $7.99. Or if they still want both, they will now have to pay for both.
As Andy Rendich, chief service and operations office for Netflix said:
"Netflix members love watching instantly, but we've come to recognize there is still a very large continuing demand for DVDs by mail. By better reflecting the underlying costs and offering our lowest prices ever for unlimited DVD, we hope to provide a great value to our current and future DVD-by-mail members."
Paraphrase: "We're so in your kitchen now, we think we can charge you more, and make up for the lost of pissed off customers with the higher rates." It sounds pretty reasonable and we know it will take a huge budget for protecting broken and worn-down DVD. But let's listen to Netflix customers on their social media community:
Kizzy Maynard: What next after this crap...wrong move netflix, wrong move!!!!
Raymond Dunton: If you want to charge me as much for streaming as you do for the 1 DVD at a time service, you should be providing me the ability to get everything on streaming that I can get on DVD. Otherwise, I am paying more and getting less. This is not a good business plan.
Gus Mondragon: Cancel your netflix accounts asap in a show of solidarity, united we stand, divided we fall. lets show netflix why the customer is the KING.
Mustafa Az: unfair, i will cancel my plan, bye bye Netflix
There are more than sixty thousands complaining comments about this and you can also join this army through LotSoft community.
What is next if Netflix stick to this plan?
1. Major ISPs who also happen to be cable and satellite companies lowered the bandwidth caps on most of their packages.
2. More and more people will find other media gateway, like cancel Netflix membership and sign up at Pirate Bay.
3. Competitors of Netflix will boom like Hollywood and RedBox.
According to CNN Money, Netflix has been forced to hike prices because it needs to find some extra $2 billion in content costs for the studios next year. While we can also get that the overhead of postage and all the processing hubs that send/receive DVDs by mail are a huge cost factor for Netflix. Does this remind you take good care of your DVDs? Below bottom line is our suggestion about protecting your personal DVDs from scratches or loss.
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