I believe Netflix may have sealed their fate with the recent price hike. There is competition popping up daily. The latest is HBO streaming which will surely cause Netflix to fall farther in the list. A price hike at a time of growing competition was a huge mistake and thei stocks have begun to suffer because of it.
So here is what we are doing and why:
Many members love our DVD service, as I do, because nearly every movie
ever made is published on DVD, plus lots of TV series. We want to
advertise the breadth of our incredible DVD offering so that as many
people as possible know it still exists, and it is a great option for
those who want the huge and comprehensive selection on DVD. DVD by mail
may not last forever, but we want it to last as long as possible.
I also love our streaming service because it is integrated into my TV,
and I can watch anytime I want. The benefits of our streaming service
are really quite different from the benefits of DVD by mail. We feel we
need to focus on rapid improvement as streaming technology and the
market evolve, without having to maintain compatibility with our DVD by
Netflix prices are so low, it is no wonder they raised their prices. I don't see how anyone can complain about raising the price of membership for a service that allows you to see thousands of movies and TV shows for a paltry amount every month. It is so much cheaper than cable.
Netflix has decided to raise their rates. Some may say it is a mistake, I dont believe it is. They haven't raised their rates in the past, and they provide a great service. With all the content they deliver for such a small amount, the rate rise should simply be seen as business. It is a way for them to keep creating more original content and stick it to the big cable and satellite companies.
Netflix provides a great alternative to these companies, and in my mind is still a great value.