Well just when you thought you were getting a fantastic deal through Netflix for one movie out at a time and streaming it through you XBOX 360, PlayStation 3, Wii, or other Blu-Ray/DVD Player, think again. According to the Netflix Blog on their website, you will now have your choice, pay $7.99 a month to stream movies (No-DVD), get your DVD by mail for the same price (No-Streaming), or pay about 60% more to do both over the old price of $9.99 a month, and now pay $15.98 a month. This really is rough for those that currently customers accustom to doing both, and are about to pay a bunch more just to see the newer movies on DVD.
Netflix explains why they are doing it, as much as they try to make it sound like they are doing for us, the consumer, it just feels like were getting the shaft.
Why the changes?
Last November when we launched our $7.99 unlimited streaming plan, DVDs by mail was treated as a $2 add on to our unlimited streaming plan. At the time, we didn’t anticipate offering DVD only plans. Since then we have realized that there is still a very large continuing demand for DVDs both from our existing members as well as non-members. Given the long life we think DVDs by mail will have, treating DVDs as a $2 add on to our unlimited streaming plan neither makes great financial sense nor satisfies people who just want DVDs. Creating an unlimited DVDs by mail plan (no streaming) at our lowest price ever, $7.99, does make sense and will ensure a long life for our DVDs by mail offering. Reflecting our confidence that DVDs by mail is a long-term business for us, we are also establishing a separate and distinct management team solely focused on DVDs by mail, led by Andy Rendich, our Chief Service and Operations Officer and an 11 year veteran of Netflix.
So those that don’t care about streaming movies get to save a couple bucks and those that want to watch movies only they receive in the mail save a couple too; however those that loved the current value of $9.99 for both; however you stream, game system or not, you’re now getting hosed.