Netflix Streaming Only Option Launch & Price Changes
Netflix recently announced that they were offering up a new pricing model. If you only streamed from Netflix before, you’re probably happy with the changes. If you never streamed, you’re probably not happy because you are simply paying more now. And if you did both, you might be thinking about switching to streaming only.
Netflix has become a key component of those who wish to consume media without the high price cable bills. As a result, they have over 17 million members, the stock price is at $187, and the company profited $38 million on $553 million in revenue in Q3 2010. They’ve grown into an industry leader in both the at-home rental space and now in the streaming video space – so much so that they are somewhat immune to adverse effects when increasing prices. Let’s dive into the price hikes…
Netflix Price Changes
Here are the price changes that Netflix just launched:
New pricing option:
Unlimited streaming only is now offered for $7.99/mo.
Netflix Unlimited DVD Plans:
- 1 at a time: $8.99/mo. to $9.99/mo.
- 2 at a time: $13.99/mo. to $14.99/mo.
- 3 at a time: $16.99/mo. to $19.99/mo.
- 4 at a time: $23.99/mo to $27.99/mo.
…. and so on. Here’s the full list of Netflix plan prices.
My Take on the Netflix Changes
From everything I’ve seen, Netflix still has a lot of gaps in what is available on their streaming-only option. Offering it up as a new option is great as I’m sure there are users out there who only use the streaming option who will be very happy. At the same time, I’m sure streaming is much more profitable for Netflix than delivering DVD’s, so it’s a smart move for them.
Check out Netflix for more on the changes.
My questions to you are:
- Are you downgrading your plan or eliminating it altogether with the price hike?
- Are you moving to the streaming-only option with the price hike? (take the poll below)