Netflix's new ludicrous pricing plan

You do realize they have "explained" this as a way to better address the cost of each aspect of the business individually? Why should people be happy that their money is going to subsidize the cost of a service they do not even use for others? We are talking about almost a 100% increase in price for the DVD by mail service (the way you do the math) within this year for a company that has no noticeable significant increases in cost for this aspect of their business.

Because their mail service was subsidized for years by their streaming service? Because their mailing service was much more expensive than streaming, and yet they were paying just as much (if not more, if you look at the $8 streaming only plan) for streaming as mail?


As I pointed out earlier, with postage and costs of business, $8 is a reasonable fee for a mail DVD service, in which you can get as many DVDs as you can watch and they can ship. We already put the Redbox argument in its place, so what's the problem? $8 a month for, let's say 10 DVDs, is unreasonable when they are literally being brought within feet or yards of your front door?

I don't see mail users subsidizing streaming, I see both sides pulling their weight. But at the end of the day, it's the same company responsible for both, and the value for streaming vs. DVDs is probably the same. With streaming you get instant gratification, but with DVDs you get a much larger selection.

I fail to see how this is a "ludicrous pricing plan".
And if it were three dollars people would still be upset. Nobody likes paying more money.

And yet, they all want that raise at work...
 
Yea, but dude. Its 6$

Last year after they raised it like $2 I was upset, then after about a week you forget about it, I was initially upset about this $6 increase now I'm looking to switch to a plan that cost $10 more a month instead of $6, people will bitch at first then they'll get over it, in fact I'm willing to bet most of the people who were initially upset at the start of this thread really don't care anymore... well unless they're Shattered who just shut up and move on even though Sly keeps killing him
 
Because their mail service was subsidized for years by their streaming service?

There was no just streaming service until fairly recently (less than a year). The licensing stuff became an issue, you guessed it, fairly recently.

Because their mailing service was much more expensive than streaming, and yet they were paying just as much (if not more, if you look at the $8 streaming only plan) for streaming as mail?

You argued extensively earlier that they were an even split. Why? I have no idea but you did. Now that you read a new article if you want to change your argument to the appropriate price point was around 8 dollars for DVD by mail all along and now they have a need to increase the cost of streaming 300% (even if necessary something that probably fair to be miffed about) then it is at least possible. Although that would involve admitting you were wrong about a few things and we all know how you feel about that.

Is ludicrous an overstatement, yes. If you think the average renter gets 10 DVDs by mail a month you are crazy. We already were able to establish it seemed close to 4 a month and that is for any plan.
 
Jessie Becker Netflix VP Marketing when they introduced the streaming only plans last fall said:
You might also wonder why we haven’t introduced a new plan that includes only DVDs by mail. The fact is that Netflix members are already watching more TV episodes and movies streamed instantly over the Internet than on DVDs, and we expect that trend to continue. Creating the best user experience that we can around watching instantly is how we’re spending the vast majority of our time and resources. Because of this, we are not creating any plans that are focused solely on DVDs by mail.

Resources is vague but often correlates to, or directly references, money. Assuming that trend continued it would seem I am justified in wondering where the increase came from in the price of the DVD by mail options, or more accurately why the two services are priced equally at this point.

Before someone says it, no this isn't subsidizing because the services were intertwined, not separate.
 
I really should go undo my DVD service half of the dealie though. Ive never and likely will never, order the DVDs thru the mail, I do all streaming through my Xbox.


If only I had the disposition to get my panties all in a wad over 8$, I would.
 
I do the DVDs for the new movies, since it takes forever for them to throw up new movies for streaming, never get old movies via DVD though, they're scratched or dirty about 90% of the time
 
There was no just streaming service until fairly recently (less than a year). The licensing stuff became an issue, you guessed it, fairly recently.
Which doesn't change the fact the streaming was less expensive than the mailing. :shrug:

You argued extensively earlier that they were an even split. Why? I have no idea but you did. Now that you read a new article if you want to change your argument to the appropriate price point was around 8 dollars for DVD by mail all along and now they have a need to increase the cost of streaming 300% (even if necessary something that probably fair to be miffed about) then it is at least possible. Although that would involve admitting you were wrong about a few things and we all know how you feel about that.
Okay, I'm not sure if you have just misunderstood me all along, or if you're just making things up to suit your point.

I never argued the costs of streaming were equal to the costs of DVDs. In fact, in my very first post, I said this:

First of all, mailing DVDs, at this point, is probably much more expensive than streaming (envelopes, postage rates, people to handle product, etc.), now that they have their streaming service setup.

As you can clearly see, I never once said the Netflix costs were equal. What I said was, as a consumer, you can assume that for the $10 you paid each month, the consumer cost was split for $5 for streaming and $5 for mail. That is not to say Netflix spends your $10 in half, just that, as a consumer, you're paying $10 for two services.

With that in mind, the mailing option WAS woefully underpriced, as we have already established with postage rates, physical media prices, etc. So, the price of the DVD by mail should go up, to help pay for the cost Netflix incurs from mailing DVDs to your door.


I'm not really sure where you got confused, but you definitely seem confused. It's okay to admit you were mistaken, just let me know where you got confused, so we can clear this all up.

Is ludicrous an overstatement, yes. If you think the average renter gets 10 DVDs by mail a month you are crazy. We already were able to establish it seemed close to 4 a month and that is for any plan.
My mother/sister get more than 4 DVDs a month. Easy.

Resources is vague but often correlates to, or directly references, money. Assuming that trend continued it would seem I am justified in wondering where the increase came from in the price of the DVD by mail options, or more accurately why the two services are priced equally at this point.
Because the DVD by mail was always more expensive than the streaming. I've said this a couple previous occasions.

Since DVD by mail is more expensive, it makes sense for Netflix to work to make their entire library available for streaming. Not only do you no longer have postage costs, you also don't have to replace physical media, you need less workers, less storage facilities, etc.

Thus, the DVD by mail price is increased to pay for the DVD by mail, without having to divert streaming money (which is going to improve streaming) to the mail business. And yes, I realize it's all the same business, I'm speaking theoretically.

I really don't understand why you're having such a hard time understanding this.
 

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