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Old July 13 2011, 02:51 PM   #76
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Re: Netflix shoots itself in the foot... aka no more free streaming

Captain Craig wrote: View Post
They still are going to have a "one disc at a time" plan right, for under $10?
$7.99
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Old July 13 2011, 02:54 PM   #77
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Re: Netflix shoots itself in the foot... aka no more free streaming

RoJoHen wrote: View Post
The customer is always right, so long as it is still convenient and profitable for the company.
Yup. Some people think "the customer is always right" means "I should be able to get whatever I want at whatever price I'm willing to pay, or even for free." Doesn't really work that way.
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Old July 13 2011, 03:28 PM   #78
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Re: Netflix shoots itself in the foot... aka no more free streaming

We all get why they are doing this, studios are greedy. However Netflix should see that if people drop the streaming then there are less eyes watching it and the studio shouldnt get as much. Netflix also should have made better deals to get more things on streaming before anouncing this. Something like "We are increasing our prices, but you can get both a DVD and streaming for $14 a month combo and we are also adding 10,000 new movies to instant streaming.
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Old July 13 2011, 03:58 PM   #79
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Re: Netflix shoots itself in the foot... aka no more free streaming

wtf... my plan jumped up 6 bucks... WITH NO CHANCE IN VALUE/SERVICE. If they had, say, vastly increased the amount of "Watch Instantly" titles, or even dropped the Blu-Ray fee with this jump in plan prices, I could swallow it a lot easier. But wow.

I would be REALLY interested in getting a good look at their profit numbers under the old pricing system.
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Old July 13 2011, 04:05 PM   #80
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Re: Netflix shoots itself in the foot... aka no more free streaming

Stone_Cold_Sisko wrote: View Post
wtf... my plan jumped up 6 bucks... WITH NO CHANCE IN VALUE/SERVICE. If they had, say, vastly increased the amount of "Watch Instantly" titles, or even dropped the Blu-Ray fee with this jump in plan prices, I could swallow it a lot easier. But wow.

I would be REALLY interested in getting a good look at their profit numbers under the old pricing system.
Netflix is a public company, such numbers are freely available if you bother to look.

Last year, they made profits of $320M on revenues of $1.2B--about a 15% margin, which is pretty respectable. By comparison, Comcast made $15B in profit on revenues of $40B, or about 38% margin.
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Old July 13 2011, 04:07 PM   #81
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Re: Netflix shoots itself in the foot... aka no more free streaming

^ Precisely. Netflix's profit-turnover ratio isn't exactly astronomical.
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Old July 13 2011, 04:13 PM   #82
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Re: Netflix shoots itself in the foot... aka no more free streaming

SPCTRE wrote: View Post
^ Precisely. Netflix's profit-turnover ratio isn't exactly astronomical.
In fact, they already announced that despite having a really good first quarter this year, they expect the rest of the year to not be as good. Not that they will be unprofitable, but it's always damaging to the stock price for profits to stay the same or go down, rather than grow at a good clip.
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Old July 13 2011, 04:37 PM   #83
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Re: Netflix shoots itself in the foot... aka no more free streaming

RoJoHen wrote: View Post
Captain Craig wrote: View Post
They still are going to have a "one disc at a time" plan right, for under $10?
$7.99
Excellent, that's what I thought I recalled reading.
That will work for me just fine.
Streaming, while it'll be missed, was a luxury time waster.
Although I was thinking of streaming ST:Voyager when that news broke just days ago, oh well.
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Old July 13 2011, 04:42 PM   #84
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Re: Netflix shoots itself in the foot... aka no more free streaming

bigdaddy wrote: View Post
What made Netflix great is you can watch things online, mainly older things, and still get newer movies in the mail. That's all gone now.
It's not "all gone" it's just going to cost more. It's just a price increase. It happens. Seen the price of gas lately?

Individuals will have to make the choice whether it's worth it or not, and many will cancel, that's how the market works. Netflix has calculated that the amount of people that leave will be offset by the increase in revenue from the price increase. Are they right? Time will tell.

I think more troubling is this news:
As this story on CNNMoney explains and even Netflix's own CEO Reed Hastings has revealed, Netflix will have to shell out millions and millions of dollars (if not billions) just to keep the content it currently offers in its Watch Instantly library. During June's D9 conference in California, Hastings readily admitted that it was going to cost money to deliver the kind of streaming experience customers demand: "Part of our goal is to make subscribers happy and part is to make our content partners really happy and part of that is writing really big checks," he said.

CNN reports that many of the contracts Netflix signed with the studios had a user cap. As Netflix blows by those caps, the contracts implode and Netflix loses access to the content. Paying a lot more money is one way to get the movie and TV shows back, but the new deals Netflix signs will be far more expensive than those the partners drafted three or four years ago.
http://www.pcmag.com/article2/0,2817,2388343,00.asp
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Old July 13 2011, 05:00 PM   #85
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Re: Oh Netflix, I Knew It Wouldn't Last

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Has there streaming library really gotten smaller like you people are saying? Because I have noticed the complete opposite. Just these last few weeks I have gotten really excited by all the new stuff available.
From what I've observed they dropped a ton of TV shows I had in my streaming queue. I suspect many of those were Sony properties. All of those shows now have "unknown" status.
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Old July 13 2011, 05:09 PM   #86
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Re: Netflix shoots itself in the foot... aka no more free streaming

If I find them gutting the instant streaming to the point where there's nothing left I want to watch, I will cancel. Pretty simple decision, there!
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Old July 13 2011, 05:20 PM   #87
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Re: Oh Netflix, I Knew It Wouldn't Last

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RoJoHen wrote: View Post
Has there streaming library really gotten smaller like you people are saying? Because I have noticed the complete opposite. Just these last few weeks I have gotten really excited by all the new stuff available.
From what I've observed they dropped a ton of TV shows I had in my streaming queue. I suspect many of those were Sony properties. All of those shows now have "unknown" status.
If they've having contract problem with the studios, this may become a non-issue as people will simply drop the streaming options as there won't be anything of value to stream. (I'm sure that would make a lot of ISP's happy.)

I noticed oddly enough that my rate will not drastically change if I stay with the plan I have right now, which is unlimited streaming plus 4 DVDs at a time. It's only going to increase $2 a month. So it would seem this price increase is somewhat "regressive" in nature. And if I dropped streaming, I could actually save $6 from my current price. And if they lose their catalog, I may very well do that.
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Old July 13 2011, 05:40 PM   #88
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Re: Netflix shoots itself in the foot... aka no more free streaming

Robert Maxwell wrote: View Post
If I find them gutting the instant streaming to the point where there's nothing left I want to watch, I will cancel. Pretty simple decision, there!
Same here. Right now I have a ton of stuff that I watch on Instant, but if that changes, I'd be willing to drop it.

The good thing about Netflix is that they make it really easy to halt your service if you don't want to use it.
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Old July 13 2011, 06:37 PM   #89
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Re: Netflix shoots itself in the foot... aka no more free streaming

I've always taken "The customer is always right" to mean that you don't actively confront and correct a customer even when they're wrong, because that's likely to upset them and maybe cost you a sale. It's not meant to be literally true. It just means that when the customer is wrong, you either skirt the issue or find a diplomatic way of handling it without actually saying they're wrong.
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Old July 13 2011, 06:55 PM   #90
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Re: Netflix shoots itself in the foot... aka no more free streaming

Thought in one of the other threads, there was a running tally of things dropping off vs things being added? Know they've been having trouble with studios as well, and dropping things that way.

For example, i heard good things about Dexter, and wanted to start watching it. Got through the first 4 episodes, and now Dexter is no longer available for streaming. No problem (annoyance, really) if you have the DVD plan also (they supplement each other nicely, as you stream older stuff, get the dvds for newer releases), but since they are separating them, and they aren't equal in ability, it's a tougher choice.

Streaming has the convenience, but no newer titles, and plenty of stuff available as a DVD just isn't on streaming, even older stuff you would have expected. Star Trek JUST showed up there, you'd have thought that was a no-brainer, right?

DVD limits you with the turnaround time, so you can really only get 1-2 discs a week, max. Also puts you 'on the clock' to watch something and get it back, doesn't always work with the schedule. Might be busy during the week, and then want to plow through 5-6 episodes of something, which you can't really do with one disc.

Since Dexter fell out of the streaming queue for me, only thing on there for me at the moment is Stargate SG-1, which I've been slowly working my way through. Not really worth the $8 a month to keep watching that, especially if I can buy the whole series for $75 or so, and own it forever without having to keep paying to watch them.

I was pretty happy with the service, and $15 a month for dvd and streaming was working for me. Couple movies a week, and SG1 episodes here and there when i felt like it. That plan's now going to $20 for me, and not feeling like it's worth it as much. It's a buck a movie for Redbox, including Blu-Ray (netflix wants another $2 a month for that, even Blockbuster had that for free as part of the fee), and those come out a month before Netflix gets them. Plenty of other options for watching TV shows or buying them, so less excited by Netflix's offering. And since even the defenders in this thread are all talking about a huge looming bill that Netflix is going to get from the studios, there's basically no way that prices don't go up again soon. I joined around Thanksgiving, and this is already my 2nd price increase, up about $7. Cost has gone up 60% for me so far, and if Netflix is about to pay a bunch more to the studios, that'll pretty quickly go up again. Since keeping my plan is basically signing up for 2 different ones (why no bundling, again?), when they raise plans a buck, you can bet it'll be for EACH plan...
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