Netflix hikes prices, announces DVD-only plan

By Andrew Couts July 12, 2011

netflix — Image used with permission by copyright holder

Netflix announced today that it will do away with any plan that offers both DVD rentals and unlimited streaming, starting in September. To get both services, customers will have to pay $7.99 for an unlimited streaming plan, and at least another $7.99 for the least expensive DVD rental plan. That means both services will now cost subscribers $15.98 per month, a significant increase from the $9.99 they have been paying for the same service.

Customers will now be able to subscribe to DVD-only plans, which will start at $7.99 per month for the one DVD at-a-time option, or $11.99 per month for two DVDs at-a-time plan, Netflix announced. “These plans offer our lowest prices ever for unlimited DVDs,” writes Jessie Becker on the Netflix blog. He adds: “By offering our lowest prices ever, we hope to provide great value to our current and future DVDs by mail members.”

Unlimited streaming plans, which also cost $7.99 per month, will remain the same.

Netflix is trying desperately hard to sell this change as a win for its customers. According to Becker, the company did not anticipate that many users would want to keep receiving physical DVDs after they announced the $7.99 unlimited streaming plan last November. So, rather than have DVD-only plans, they simply made the DVD option a $2 add-on to the unlimited streaming service.

Now, however, they believe that DVDs by mail has a “long life” ahead of it, so “treating DVDs as a $2 add on to our unlimited streaming plan neither makes great financial sense nor satisfies people who just want DVDs.” This, says Becker, is why they made the changes. They’ve even started a whole new “separate and distinct management team” that will be “solely focused on DVDs by mail,” Becker says.

Needless to say, Netflix users aren’t happy — or, at least, the frothy hoard that is commenting on the Netflix blog announcement isn’t.

“This is a horrible deal for current customers,” says commenter Todd Hayward. “You’re going to be losing a lot of business with this decision.”

What do you think of the change? Does this affect whether you’ll keep your Netflix subscription? Let us know in the comments.

Editors' Recommendations

Topics

Former Digital Trends Contributor

Features Editor for Digital Trends, Andrew Couts covers a wide swath of consumer technology topics, with particular focus on…

Audio / Video

ESPN+ Free Trial: Can you sign up for free in 2024?

If you love watching sports and gaining access to some of the best shows, documentaries, in-demand content, and even films related to sports, then ESPN+ is the perfect service for you. Unfortunately, there aren't currently any free trials for ESPN+ for 2024, but there are some other options, such as the Disney+ bundles and carrier options. Keep reading and we'll go through all the options you have to grab yourself an ESPN+ subscription for cheap or potentially for free.
Is there an ESPN+ free trial?

The short answer is there is no ESPN+ free trial as of now. ESPN offered a free trial back in 2018 when it launched its premium streaming platform, but that was sadly short-lived. If you're looking for a way to try ESPN+ for free (or at least save some money on your subscription), though, then don't give up just yet -- you have some options.

Audio / Video

Netflix to hide its subscriber numbers starting in 2025

Netflix on a TV screen showing on the Roku home screen.

Netflix today announced that it no longer will report quarterly subscriber numbers and how much money it makes per membership, starting with its earnings report for the first quarter of 2025 (which will come this time next year). The news, which really is only of use to the financial community and those of us who pay attention to this sort of thing for a living, came in the company's Q1 2024 earnings report.

"We’re focused on revenue and operating margin as our primary financial metrics -- and engagement (i.e. time spent) as our best proxy for customer satisfaction," Netflix wrote in its quarterly letter to shareholders. "In our early days, when we had little revenue or profit, membership growth was a strong indicator of our future potential. But now we’re generating very substantial profit and free cash flow (FCF). We are also developing new revenue streams like advertising and our extra member feature, so memberships are just one component of our growth."

Audio / Video

Hulu with Live TV: plans, price, channels, bundles and more

Hulu with Live TV.

If you’re looking to cut the cord with your cable provider, but want to hang onto linear programming, one of the best cable TV alternatives is Hulu With Live TV. Billed as a Multichannel Video Programming Distributor (MVPD), Hulu With Live TV provides many of the same features you’d find in a premium cable package, like DVR recording. You’ll also be able to access movies and shows that are available through the standard Hulu streaming service. Plus, you'll get Disney+ and ESPN+ on the house.

There’s plenty to learn about Hulu With Live TV, and we’ve compiled all the most salient information into this helpful explainer. And do be sure to check back often: as Hulu With Live TV pricing and capabilities have been known to change in the blink of an eye.