New Netflix Plans/Pricing Announced
July 12, 2011 7:21 PM
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Netflix is making two big changes to its plans and prices that will either prove to be successful, or rub subscribers the wrong way
On-demand video streaming and video rental-by-mail company Netflix has enjoyed bundles of success recently, reporting 23.6 million subscribers worldwide this year. But now, Netflix is making
two big changes
to its plans and prices that will either prove to be successful, or
rub subscribers the wrong way
The first new change is the introduction of DVD-only plans. Customers have the option of paying $7.99 for one DVD out at a time, or $11.99 for two DVD's out at a time, but the plan does not allow video streaming to be included.
The second new change is the separation of
and DVD plans. While current plans bundle the two together for $9.99 per month, the new plans will be either DVD only or video streaming only. A DVD-only plan with one out at a time costs $7.99 per month, and a video streaming-only plan costs $7.99 per month. No longer can they be bundled together.
If a subscriber wants both plans, the monthly cost is $15.98 per month.
According to Netflix, the reason for these changes is to
for DVD by mail, and the current $9.99 plan (which is $7.99 for streaming and an extra $2 for DVDs by mail) does not make sense financially. Netflix believes DVDs should not just be a $2 add-on cost, but a broader, individual plan of its own. Also, Netflix wants to ensure the long life of DVD by mail options.
These changes are effective immediately for new members, but for existing members, these changes are effective September 1, 2011.
This article is over a month old, voting and posting comments is disabled
7/13/2011 4:32:11 PM
yeah, just a clever way of hiding a price increase again. It seems like every six months they're doing it and now they've got to be more creative.
Unfortunately for them, I'm going to start downgrading my service because of this. Maybe convert to completely streaming.
I think this new scheme is going to backfire on them.
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