Netflix changes pricing structure - Page 10

**Rabeet** · 09-19-2011, 06:22 AM

Quote:

Originally Posted by gixxerjasen

And that's where I have the problem. Charge more to begin with if it costs so much. If you want to charge more at a later date, you need to improve your product before you raise the prices, not after. And of course, we all know it's not going to improve anyway since they can't get a contract extension.

You are going to have to start your own company in order for that to ever happen.

gixxerjasen · 09-19-2011, 06:25 AM

Hrm...sounds like a plan. I'll start my own streaming company. I won't actually offer any streaming, but it'll be cheap. $1 a month with a promise that someday I'll try to actually offer a streaming service. Pay me up front so I can get a customer base and we'll see about maybe or maybe not improving the service. I'll be sure to cut you in on 10% from the bottom line.

**Rabeet** · 09-19-2011, 06:32 AM

FWIW I think the CEO is right in that changing their MO is very difficult in that reproducing their success with DVDs by mail is highly risky no matter how they go about it.

I experience "streaming" in the form of on-demand from Comcast for several years. I liked it a lot. But they had the infrastructure in place to provide it. Most of what we watched was on demand stuff.

Lickety Split · 09-19-2011, 06:38 AM

I'm keeping them for now because it's still better than:

1. Watching the absolute crap that's on every night on the networks.
2. Paying close to $200 monthly for cable.

I get the new movies in the mail and supplement them with streaming content. Best of all, I don't have to watch or skip over any commercials. BTW...Streaming has been 100% reliable for over 2 years where I live.

gixxerjasen · 09-19-2011, 07:00 AM

Yea, I've had pretty much zero problems with the technical side of the streaming service.

On the other hand, it seems someone at Netflix's marketing department didn't fully research the new company name....

Netflix’s @Qwikster Problem: Twitter Account Controlled by Weed-Smoking Elmo

-Dash- · 09-19-2011, 07:34 AM

Like PFG mentioned, the one thing that I dont like from a business standpoint is the new name Qwikster. Not only is it just a generally dumb name that makes it sound like "Napster", but losing the name Netflix is a bad move. Netflix is a brand that the whole world knows, you dont just toss that away. They could have gone with "Netflix-D" or something that keeps the brand in place.

On the positive note, one the reasons the financial world loves Netflix is the management team led by Reed Hastings. While this apology does nothing to reverse the new charges, the communication itself will be seen as a positive, as it is rare that a CEO apologizes or admits missteps.

A second positive is the addition of video games. I hate buying games and so I never do it. You spend $60-80, play it to its end, and then it collects dust. Id much prefer to rent for a week or so. Good move there.

Finally, Im going to disagree with Gixxerjason here. Tech businesses dont operate in a vacuum. To say that Netflix should honor its original pricing and never move it unless services are added is wholly unsustainable. Since Netflix began, the technology and indeed, the entire business, has changed (See the recent Starz Movies-for-Ransom business negotiations as proof). While I wish I didnt have to pay more money for anything, I simply cant stand on anger over that knowing how Netflix is a part of what can still be considered a newborn, and incredibly fluid, industry.

I cant even get out of the supermarket with 4 half loaded bags of food for less than $75 anymore...businesses change, models change, competition changes, costs change. The (nearly) free days are over.

gixxerjasen · 09-19-2011, 07:41 AM

I have nothing against a modest price increase. However, a 400% price increase feels very bait and switch to me.

Oh yea, and on video games. Used is where it's at. I buy my games used for around $20 and trade them back in towards another used game when I'm done. No way I can afford or justify new game prices these days unless it's a killer game with online play that I'll get a long play value out of.

fz'ing in nj · 09-19-2011, 07:43 AM

Quote:

Originally Posted by DashRiprock

Like PFG mentioned, the one thing that I dont like from a business standpoint is the new name Qwikster. Not only is it just a generally dumb name that makes it sound like "Napster", but losing the name Netflix is a bad move. Netflix is a brand that the whole world knows, you dont just toss that away. They could have gone with "Netflix-D" or something that keeps the brand in place.

Netflix on Demand would be a good name. By virtue of writing it here it is now my intellectual property and carries copyright protection.

Quote:

Originally Posted by DashRiprock

To say that Netflix should honor its original pricing and never move it unless services are added is wholly unsustainable.

You know what's unsustainable? Losing 600,000 customers cause you can't get your product/delivery/pricing right.

-Dash- · 09-19-2011, 07:53 AM

Actually, losing 600k subscribers over what amounts to a mostly emotional decision (How dare they raise prices for an amazing service that I was getting for a bird and a song!!), will be seen as a blip on the radar in a few years.

Again, Im not saying its nice to pay more, and they damn sure could have phased this in a WHOLE lot better, but in the end if the company doesnt change, theyll be left behind.

They lost 600k people because just as Hastings said, they got arrogant, thinking people wouldnt dump them. Its a great business lesson in how not to get too big for your britches. Bottom line is, the value is still there, and Netflix will both survive and do well.

fz'ing in nj · 09-19-2011, 08:35 AM

Here's the essence of the mailer that I got last week. Blockbuster's alternative:

https://www.blockbuster.com/signup/howItWorks

CrazyJoe · 09-19-2011, 08:39 AM

Well, I think Reed Hastings is an idiot and should be fired unless he owns the company. This will give other streaming folks an opportunity to expand and improve their streaming services because Netflix stock is going down the tubes. You don't screw customers and then say you're sorry. Stupid.

I am streaming from Netflix now and dropped their mail service. After I get back from this ride I will re-evaluate my decision and try to find someone else.

You can stream all the DVD's from Netflix anyway so what is the purpose of the mailing anyway?

The TV shows and other content on streaming is why I'm there for now.

VA_rider · 09-19-2011, 08:41 AM

Quote:

Originally Posted by CrazyJoe

You can stream all the DVD's from Netflix anyway so what is the purpose of the mailing anyway?

What?

Exactly what have you been smoking?

-Dash- · 09-19-2011, 08:48 AM

As VA pointed out so eloquently, streaming content and DvD content are quite different, although there is some overlap.

You generally cant get anything that is fairly new on streaming.

Wlfman · 09-19-2011, 08:49 AM

Looks like they are being sued as well. Not related to pricing...

http://sanfrancisco.cbslocal.com/201...pment-project/

Wlfman · 09-19-2011, 08:53 AM

Quote:

Originally Posted by CrazyJoe

You can stream all the DVD's from Netflix anyway so what is the purpose of the mailing anyway?

No, you can't. No where NEAR all DVD's. They have a limited library of Streaming and it's about to get SMALLER as STARZ wont be renewing its contract with them.

gixxerjasen · 09-19-2011, 09:09 AM

Quote:

Originally Posted by Wlfman

Looks like they are being sued as well. Not related to pricing...

http://sanfrancisco.cbslocal.com/201...pment-project/

Hahahah....in the comment section.

Quote:

Dear Los Gatos,
We’ll trade you the 49ers for Netflix…
Love,
Santa Clara

Lickety Split · 09-19-2011, 09:10 AM

Quote:

Originally Posted by Wlfman

Looks like they are being sued as well. Not related to pricing...

http://sanfrancisco.cbslocal.com/201...pment-project/

I like this part:

But others see the move as a boon for the small town as it would bring in $1 million in tax revenues

A million is nothing in Los Gatos....

**Rabeet** · 09-19-2011, 09:52 AM

Quote:

Originally Posted by DashRiprock

As VA pointed out so eloquently, streaming content and DvD content are quite different, although there is some overlap.

You generally cant get anything that is fairly new on streaming.

Netflix, maybe, but I download new movies the day they are available on DVD, etc.

In effect the same as streaming.

**Desmo** · 09-19-2011, 09:55 AM

Quote:

I download new movies the day they are available on DVD, etc.

?????????

From where?

VA_rider · 09-19-2011, 09:59 AM

Cmon Des.... You know the answer to that... Ed downloads them from iTunes.

09-19-2011, 06:25 AM	#182
gixxerjasen Registered User Join Date: Jul 2007 Location: DFW Posts: 6,367	Hrm...sounds like a plan. I'll start my own streaming company. I won't actually offer any streaming, but it'll be cheap. $1 a month with a promise that someday I'll try to actually offer a streaming service. Pay me up front so I can get a customer base and we'll see about maybe or maybe not improving the service. I'll be sure to cut you in on 10% from the bottom line. __________________ www.leanangle.com Current Bikes:2007 Yamaha FJR 1300AE \| 1998 KTM 250 EXC \| 1992 Suzuki Bandit 400 Past Bikes: 1997 Katana 600-wrecked \| 2000 CBR600F4-Stolen \| 2001 GSX-R600-Stolen \| 1989 Honda CB1-Sold \| 2001 Suzuki TL1000R-Traded \| 1992 Suzuki Bandit 400-Sold \| 2004 Suzuki GSX-R600-Sold \| 2007 DR-Z400SM-Traded \| 2003 Yamaha FZ1 I-Wrecked \| 2003 Yamaha FZ1 II-Sold \|

09-19-2011, 06:32 AM	#183
Rabeet Administrator Join Date: May 2001 Posts: 31,790	FWIW I think the CEO is right in that changing their MO is very difficult in that reproducing their success with DVDs by mail is highly risky no matter how they go about it. I experience "streaming" in the form of on-demand from Comcast for several years. I liked it a lot. But they had the infrastructure in place to provide it. Most of what we watched was on demand stuff. __________________ Believe those who are seeking the truth; doubt those who find it. - Andre Gide If the rule you followed brought you to this, of what use was the rule? - Anton Chigurh If it ain't it'll do til the mess gets here. - Ed Tom Bell He wants to know the names of all those he's better than - Little Hitlers Elvis Costello

09-19-2011, 06:38 AM	#184
Lickety Split 50 watts per channel babycakes Join Date: Apr 2010 Location: Austin Posts: 2,179	I'm keeping them for now because it's still better than: 1. Watching the absolute crap that's on every night on the networks. 2. Paying close to $200 monthly for cable. I get the new movies in the mail and supplement them with streaming content. Best of all, I don't have to watch or skip over any commercials. BTW...Streaming has been 100% reliable for over 2 years where I live. __________________ 2007 FZ1 2001 FZ1 2000 CB750 Nighthawk

09-19-2011, 07:00 AM	#185
gixxerjasen Registered User Join Date: Jul 2007 Location: DFW Posts: 6,367	Yea, I've had pretty much zero problems with the technical side of the streaming service. On the other hand, it seems someone at Netflix's marketing department didn't fully research the new company name.... Netflix’s @Qwikster Problem: Twitter Account Controlled by Weed-Smoking Elmo __________________ www.leanangle.com Current Bikes:2007 Yamaha FJR 1300AE \| 1998 KTM 250 EXC \| 1992 Suzuki Bandit 400 Past Bikes: 1997 Katana 600-wrecked \| 2000 CBR600F4-Stolen \| 2001 GSX-R600-Stolen \| 1989 Honda CB1-Sold \| 2001 Suzuki TL1000R-Traded \| 1992 Suzuki Bandit 400-Sold \| 2004 Suzuki GSX-R600-Sold \| 2007 DR-Z400SM-Traded \| 2003 Yamaha FZ1 I-Wrecked \| 2003 Yamaha FZ1 II-Sold \|

09-19-2011, 07:41 AM	#187
gixxerjasen Registered User Join Date: Jul 2007 Location: DFW Posts: 6,367	I have nothing against a modest price increase. However, a 400% price increase feels very bait and switch to me. Oh yea, and on video games. Used is where it's at. I buy my games used for around $20 and trade them back in towards another used game when I'm done. No way I can afford or justify new game prices these days unless it's a killer game with online play that I'll get a long play value out of. __________________ www.leanangle.com Current Bikes:2007 Yamaha FJR 1300AE \| 1998 KTM 250 EXC \| 1992 Suzuki Bandit 400 Past Bikes: 1997 Katana 600-wrecked \| 2000 CBR600F4-Stolen \| 2001 GSX-R600-Stolen \| 1989 Honda CB1-Sold \| 2001 Suzuki TL1000R-Traded \| 1992 Suzuki Bandit 400-Sold \| 2004 Suzuki GSX-R600-Sold \| 2007 DR-Z400SM-Traded \| 2003 Yamaha FZ1 I-Wrecked \| 2003 Yamaha FZ1 II-Sold \|

09-19-2011, 07:34 AM	#186
-Dash- Internet Thug Join Date: Nov 2007 Location: Long Beach, CA Posts: 102,826	Like PFG mentioned, the one thing that I dont like from a business standpoint is the new name Qwikster. Not only is it just a generally dumb name that makes it sound like "Napster", but losing the name Netflix is a bad move. Netflix is a brand that the whole world knows, you dont just toss that away. They could have gone with "Netflix-D" or something that keeps the brand in place. On the positive note, one the reasons the financial world loves Netflix is the management team led by Reed Hastings. While this apology does nothing to reverse the new charges, the communication itself will be seen as a positive, as it is rare that a CEO apologizes or admits missteps. A second positive is the addition of video games. I hate buying games and so I never do it. You spend $60-80, play it to its end, and then it collects dust. Id much prefer to rent for a week or so. Good move there. Finally, Im going to disagree with Gixxerjason here. Tech businesses dont operate in a vacuum. To say that Netflix should honor its original pricing and never move it unless services are added is wholly unsustainable. Since Netflix began, the technology and indeed, the entire business, has changed (See the recent Starz Movies-for-Ransom business negotiations as proof). While I wish I didnt have to pay more money for anything, I simply cant stand on anger over that knowing how Netflix is a part of what can still be considered a newborn, and incredibly fluid, industry. I cant even get out of the supermarket with 4 half loaded bags of food for less than $75 anymore...businesses change, models change, competition changes, costs change. The (nearly) free days are over.

09-19-2011, 07:53 AM	#189
-Dash- Internet Thug Join Date: Nov 2007 Location: Long Beach, CA Posts: 102,826	Actually, losing 600k subscribers over what amounts to a mostly emotional decision (How dare they raise prices for an amazing service that I was getting for a bird and a song!!), will be seen as a blip on the radar in a few years. Again, Im not saying its nice to pay more, and they damn sure could have phased this in a WHOLE lot better, but in the end if the company doesnt change, theyll be left behind. They lost 600k people because just as Hastings said, they got arrogant, thinking people wouldnt dump them. Its a great business lesson in how not to get too big for your britches. Bottom line is, the value is still there, and Netflix will both survive and do well.

09-19-2011, 08:35 AM	#190
fz'ing in nj Registered User Join Date: Oct 2004 Location: Northern New Jersey Posts: 4,581	Here's the essence of the mailer that I got last week. Blockbuster's alternative: https://www.blockbuster.com/signup/howItWorks __________________ 2002 Liquid Silver FZ1, Holeshot Stage 1 Jet Kit w/ Timing Advancer, Holeshot High-mount Slip-on, Holeshot Air Induction Removal, Carburetor 4-way Crossover Equalization Manifold, Speed-o-Healer, Pro Gel Grips, 46T Rebel Gear, BikeMaster Pillion Highway Pegs, Metzeler M1 rear tire, Pirelli Diablo Front tire, FZ1Rules Sliders, Huge Industries Undertail Kit, Low-Profile Cat-Eye blinkers, Rear Signal Integrator, RavenRider's forks/spacers/dogbones suspension kit, Mag-Knight Tank Protector, R-1 Shift Arm, Motopak GT-17 Tank Bag

09-19-2011, 08:39 AM	#191
CrazyJoe Older than Dirt Join Date: Nov 2004 Location: SAVANNAH, GA, Posts: 7,057	Well, I think Reed Hastings is an idiot and should be fired unless he owns the company. This will give other streaming folks an opportunity to expand and improve their streaming services because Netflix stock is going down the tubes. You don't screw customers and then say you're sorry. Stupid. I am streaming from Netflix now and dropped their mail service. After I get back from this ride I will re-evaluate my decision and try to find someone else. You can stream all the DVD's from Netflix anyway so what is the purpose of the mailing anyway? The TV shows and other content on streaming is why I'm there for now.

09-19-2011, 08:48 AM	#193
-Dash- Internet Thug Join Date: Nov 2007 Location: Long Beach, CA Posts: 102,826	As VA pointed out so eloquently, streaming content and DvD content are quite different, although there is some overlap. You generally cant get anything that is fairly new on streaming.

09-19-2011, 08:49 AM	#194
Wlfman Just another Slow Poke Join Date: May 2005 Location: Souf Kakalacky Posts: 8,981	Looks like they are being sued as well. Not related to pricing... http://sanfrancisco.cbslocal.com/201...pment-project/ __________________ Dovie'andi se tovya sagain "Those who say it cannot be done should not interrupt the people who are doing it." "Now and then it's good to pause in our pursuit of happiness and JUST BE HAPPY."

09-19-2011, 09:59 AM	#200
VA_rider Registered User Join Date: Mar 2007 Location: Staunton, VA Posts: 7,274	Cmon Des.... You know the answer to that... Ed downloads them from iTunes. __________________ Where else on your body can you get poop, wipe it with a piece of paper, and call it good?

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