Netflix Offers $7.99 Streaming-Only Plan, Raises Prices On Existing Plans

Since Netflix began offering its streaming video library, many customers have been asking for an option to go disc-free. Today, they got what they wished for as the company announced a $7.99/month plan for streaming-only. On the down side, they are also raising rates on those with existing unlimited disc-and-streaming plans.

From the Netflix blog:

Why the changes? Our selection of TV episodes and movies available to stream has grown dramatically, and as a result most members want us to deliver unlimited TV episodes and movies two ways: streaming instantly over the internet plus DVDs by mail. The price increase will allow us to continue to offer the popular plan choice of unlimited TV episodes and movies streaming instantly along with unlimited DVDs. The new plan, which does not include DVDs, is a great option for the increasing number of members who only want to watch instantly. The $7.99 a month price reflects no DVD shipping costs on this plan.

As for an option of DVD-only, Netflix says that’s just not in the cards.

Below is a chart with all the price increases. Will you be switching over to streaming-only?

pricegrid.jpg

A new plan for watching instantly, plus price changes to existing unlimited plans [Netflix]

Comments

  1. UltimateOutsider says:

    Fewer than 1/3 of the titles in my queue are available for streaming, so streaming-only is simply not an option for me. I agree with others who feel that the wording of both the official announcement and the Netflix account settings page seem to imply that people who keep their existing plans will get grandfathered pricing (they have done this before, by the way). I’m holding onto my 4-disc plan until I hear otherwise. Will cut down to three discs (or maybe even 2) if the existing prices are indeed going up.

    • UltimateOutsider says:

      And I just confirmed that existing prices are NOT being grandfathered.

      You can confirm this for yourself by going to the Netflix site, then clicking “Your account & Help” and then click “See membership terms & details.” There should be a message notifying you of the price bump at the top of the screen.

      I have not received any emails from Netflix about the rate hike yet, but the site definitely tells me the price is going up. Do they assume ALL of their customers obsessively follow the Netflix Blog?

      • stanner says:

        Interesting. I see no such message.

        However, under “Change Plans” they do tell me:

        “You are currently on the 3 DVDs out at-a-time (Unlimited) for $16.99 plan which is no longer offered. If you select a new plan, you will no longer be able to return to this plan.”

  2. quirkyrachel says:

    Two problems with Netflix streaming only:
    1) I’ve happily ploughed through a tv series online through Netflix streaming, only to find that some episodes are only available on disc.
    2)The hearing impaired have difficult with streaming because there are no captions.

  3. ckspores says:

    I have had the same 3 DVDs for months now. Even though I would love for their to be more on streaming I obviously find enough to watch in order to completely ignore my DVDs.

    I think I’ll be switching to streaming only. If at one point I decided I’m going to start watching DVDs again I’d probably go to one-at-a-time.

  4. Draw2much says:

    Ah, I’m glad you posted this. I was wondering why the price had gone up and why I was being forced to re-agree with their terms and services. Ah well!

    I’ll still pay for my 3 DVDs, even though it makes me said I’m basically paying $20 now. Boo. :(

  5. HotAirConsumer says:

    So when does the “DEAF” discount kick in? I am deaf so I must have captions/subtitles for any video I watch. I recall they started captions but only the LOST series and it was computer watching only. I love Netflix but hate the streaming. I cancelled my account a while ago and waiting for them to get their captions in order for all their streaming and then I will go back. I am sure I am not alone.

  6. Bladerunner says:

    Anybody know if they’re going to do multiple streaming options? Little known fact: with each “DVD” you can take out at a time, you can also have one more device hooked up simultaneously. For example, my GF and I use my account, so because I have the 3 disc plan (every once in a blue moon my brother uses it through his wii), she can stream on her Xbox while I’m at work streaming on mine. I wouldn’t mind going to streaming only, but I would want to be able to do multiple simultaneous…

  7. moonunitrappa says:

    I’m using 5 discs right now for a research project but before the month is up, I’ll be downgrading back to 1 disc. It’s a one dollar difference which isn’t enough to upset me. But I’m not exactly happy about the price raises. Their online selection is still not juicy enough to consider dropping the 1 disc out plan and streaming video only. They’re raising prices too soon imho. When streaming only looks just as appealing as one disc out, THEN prices should go up.

  8. Megladon says:

    This is old news, i’ve had this now for almost 2 months.

  9. Thyme for an edit button says:

    I’ll keep my 1-DVD at a time plan.

  10. VashTS says:

    Netflix is trying to max profits by trying to slowly eliminate physical media. Smart and disgusting. You would think all those deals….backdoor and front door deals that were made such as delaying new releases would be passed on to the consumers…. but this is America after all.

    I thought the Consumers made the marketplace but in reality the corporations can manipulate the weaker minded to their ways…I read all hundred posts above, so yeah…weaker minded.

  11. Rockfish says:

    Oh great . . . Netflix does the famous money-grab-for-no-reason price increase just like Comcast does twice a year now.

    I’ll be lowering my subscription plan to get my $1.00 back Netflix.

  12. bifyu says:

    *sigh* I’d be on board w/ streaming if:

    1) the selection was better. most of the stuff in my queue is not available via streaming.

    - 88 of 493 titles in my dvd queue are streamable
    - 6 of 165 titles in my instant queue will expire in 2 weeks
    - 68 of 165 titles in my instant queue are no longer streamable

    2) streaming wasn’t such a crap shoot in general when it is purportedly available.
    - foreign language films often have subtitles that are cropped
    - buffering problems where the movie refuses to start or rebuffers too often.

    (*streaming to a tivo s3 over a 3 Mbps dsl line)

  13. Copper says:

    I just switched to streaming only. Thank you, Netflix. Now I just need to find the disc I have…

  14. mikec041 says:

    PAX they sent out an Email today says all current plan prices are going up as of 01/2011 so the “grandfather” theory isn’t true.

  15. mikec041 says:

    Does anyone else have issues with Netflix streaming? Mine constantly buffers or out right freezes until i restart the show. Netflix blames Sony and/or the phone company’s DSL and they blame Netflix.

  16. nybiker says:

    Earlier in the day people (well, me at least) were wondering how come we had to hear about the jack-up of the prices via consumerist or other news outlets and not by Netflix directly. Well, it’s 6:44PM here in NYC and I just received the email from NF. It has a time-stamp of 6:40pm and a subject line of “Important Netflix Account Information: Price Change and New Plan Available”. It confirms my plan is going up 20% (well they don’t do the math, I do my own math at home) starting with the Jan 2011 bill. As I mentioned in a previous post, my plan is currently 15.99 and it’s going to be 19.99 as of next year.

    • catastrophegirl chooses not to fly says:

      when i saw this article i checked the netflix blog and there it was. still no email for me though. then again, i also didn’t get the last ‘we screwed up your streaming, here’s a credit email’ even though the normal ‘we got your disc and mailed the next one’ emails are coming through fine.

  17. catastrophegirl chooses not to fly says:

    i thought about downgrading to the one at a time plan from the two at a time plan but the rules say the number of devices that can be used for simultaneous viewing is related to the number of disks you can have out. since it often happens that my household is streaming a computer and the roku at the same time, it looks like i’ll be paying $1 more next year.

  18. baquwards says:

    My question is. How many devices can stream from the $7.99 streaming only plan? We are on the 3 at a time and can stream simultaneously on up to 3 devices. We currently have 3 devices and soon will have 4. We need to be able to stream at minimum 2 devices at a time, since we will be dumping cable soon.

    My guess is that it will be one device at a time. I cannot seem to find anything on the website about this.

    • catastrophegirl chooses not to fly says:

      someone on the netflix blog called customer service and reports that they got this answer
      https://www.blogger.com/comment.g?postID=5957161207302652967&blogID=2765056849626104020&isPopup=false&page=2

      “Anonymous Anonymous said…

      Customer service told me with the “Streaming only” service you can stream a total of 4 devices at one time. With the older traditional packages you will continue to only be able to stream the same number of devices as DvD’s you can have out at one time. Just like in the past.

      November 22, 2010 1:01 PM”

    • IDMike08@gmail.com says:

      We started out at 1 DVD & Streaming. We could authorize 5 devices and stream 2 things concurrently. We recently upped it to 3 DVD’s & Streaming. We still have 5 devices but can stream 3 things at the same time.

  19. alulim says:

    With my current 1 dvd plan a disc sits on average two to three days before i find the time to watch it. If I’m going to be charged more unilaterally, i guess i’ll just copy the disc to my hd, watch it at my leisure, and get a new dvd sooner. Let’s call it a service maintenance action…

  20. Not Given says:

    Does the 4.99 limited plan include streaming?

    • halfawakedad says:

      Yes, the $4.99 plan includes 2 hours of streaming a month. (Not enough for us, but if that’s all you need…)

  21. Justsaying says:

    What about us who can’t get high speed internet due to their location? I have to depend on satellite which isn’t very fast and with downloading and uploading limits? Now we have to pay more for something we can’t use.

  22. halfawakedad says:

    Switched! NOW I can afford to rent one Redbox DVD with the money I’m saving with Streaming Only!

  23. Red Cat Linux says:

    But… because of Netflix’ busted ideas about TV series, they will not stream every disc in a TV program. They randomly withhold one episode for reasons not immediately clear to someone who just wants to watch the damn show.

    If you want the missing epi, you have to rent the disc. WTF?

  24. NotEd says:

    Like the idea of all streaming accounts. Cannot fathom raising prices on plans with Discs.
    We still have a plan with physical discs for things like HBO shows or episodes of the West Wing, which we have just started watchings. I know the price increase is only a buck, but it seems silly when they are aleviated their own overhead for physically mailing product by offering streaming only. .

  25. DanGarion says:

    And yet they continue to charge a Blue-Ray upgrade fee…