Outrage over Netflix rate hike continues

Thursday, July 14, 2011

Outrage over Netflix rate hike continues

Thursday, July 14, 2011 ANSOR No comments

Netflixa

Netflix's red envelopes containing DVDs. Will there be fewer customers receiving them now?a

By Athima Chansanchai

Netflix continues to take a pummeling from subscribers who are so enraged by the company's unilateral decision to separate its DVD and streaming plans − and increase prices as a result − that they're threatening not only to cancel the service, but also showing up by the tens of thousands to blast it on Facebook.a

Yesterday, we reported on the initial reaction to the changes, and by last night we'd seen more than 9,000 comments on the Netflix Facebook page, which has 1.5 million fans. (There are 23 million Netflix members in the U.S. and Canada.) By this morning, nearly 30,000 had registered the summer of their discontent with the rental service that used to ride high on the loyalty of customers who loved not having to pay late fees and receiving their discs in their mailbox. The red envelope was something of a little treat at the end of a long day.a

But now, customers are seeing a different kind of red.a

Live PollWill you cancel your Netflix subscription?a

YES. This goes too far. Redbox, here I come!YES. I've been thinking about it for awhile now, but this puts me over the fence. No plans to go anywhere else to sub in for DVDs. Streaming is the way to go.NO. I've cooled down and figured it's not that much more. I'll eat the cost and keep my plan.NO. This wasn't a big deal to me at all. I don't know what all the hubbub is about.NEVER had a Netflix subscription.VoteView Results153557YES. This goes too far. Redbox, here I come!59%153558YES. I've been thinking about it for awhile now, but this puts me over the fence. No plans to go anywhere else to sub in for DVDs. Streaming is the way to go.23%153559NO. I've cooled down and figured it's not that much more. I'll eat the cost and keep my plan.4%153560NO. This wasn't a big deal to me at all. I don't know what all the hubbub is about.7%153561NEVER had a Netflix subscription.7%VoteTotal Votes: 808a

For many, Netflix's streaming selection, while growing and improving since it became a perk about four years ago, still can't get anywhere near its vast volume of DVDs. And because of that, folks supplemented their streaming plans with at least the one DVD out at any given time option, for about $10.a

But with the announcement that the same service would cost almost $16 — about 60 percent more than what they're paying now — people snapped. In these tough economic times, this little bit of entertainment counted for a lot. And now, subscribers are demanding to be heard. We want to hear from you, too. Take our poll and let us know if you're going to follow through with threats to leave Netflix, or if you've decided against it.a

We're wondering if people have followed through on cancelling, if Netflix will increase its instant selection to make up for those who will cut DVDs from their plans and if Netflix will cave to the torrent of negative reaction and restore its merged plans. We also want to know if Netflix deleted comments from its Facebook page, as some have indicated on the site. Some complained that they didn't even get the courtesy of an email and only found out through sites like ours, or on their Facebook.a

We asked these questions and more, but we still haven't heard back from Netflix. We tried again this morning to contact them. We'll update when and if we hear from them. a

Check out this video that reports on how subscribers took to social media to express their anger:a

Netflix users are taking to social media after the company announced plans to raise its prices by as much as 60 percent. CNBC's Nicole Lapin joins Jansing and Co.a

Some of the most recent G-rated comments on the Facebook page:a

Having the streaming only plan would not be so bad if ALL the movies were available but they are not! So your forced to get the DVD...This was my only luxuary I COULD afford being on unemployment...no cable, just reg TV and wireless where Icould find it. So I would watch movies at McDonalds or something or at the library. I cant afford $16 a month not on unemployment...Thank YOu netflix for taking the one little piece of entertainment I had! If I were Netflix, I wouldn't have posted this on Facebook. 30,000 negative comments on your social media platform isn't exactly helping with brand image. I was hoping it was a prank. I never received an email...I read it on MSN....guess I wasn't important enough. advertisement advertisement advertisement

Over on its official blog, Netflix isn't faring much better, with more than 6,700 comments reacting to the news. (Yesterday, it was about 4,300.)a

Right now, Amazon's video folks are probably feeling pretty smug, having folded its instant video service into its existing Prime memberships, so that it appeared as a pleasant perk, no extra charge.a