Netflix just raised their prices again... there goes my budget!

[Truelovernr1122]

Well said! I couldn't agree more.

Let me give you an example, say you frequent a cash only food stand outside your office. You know what you order costs $3. You don't like to carry cash so you only have $3 with you. One morning you take your $3 and find out that the guy raised his price and so the new price is $3.05. That morning, no food for you. It doesn't matter that it's only "5 cents more," you don't have enough money. You could have plenty of money in a bank account but at that moment, you don't have enough.

My budget works a bit like that, in that after accounting for Housing, food, retirement savings, vacation savings, FSA, and all the other things that are higher priority items that the "entertainment" wallet is only filled with what's left. If what I want costs more than what is there, either the money has to come from somewhere else or there isn't enough money to get it. It doesn't matter if the deficit is a penny, a dollar or $100, it's not enough. It doesn't mean there isn't adequate money in the total budget. But I'm not going to start taking money from a higher priority wallet to put in the entertainment wallet.

This, "It's only $____ more" mentality, is where I think a lot of people get into money troubles. The money has to come from somewhere, otherwise you go in a deficit situation. People find themselves spending $3 more on one thing, $5 on another, $10 on another, and have not made any decreases in other areas. And then wonder why at the end of the month they're $100 in the red. Just like water, we'd all notice the gusher in the front yard, but the slow unnoticeable leak can add up to a lot of gallons in the monthly bill. So as it is with money.

 

[littlered]

We will be dropping the DVD and using redbox and keeping streaming, probably till my little one goes to school next August and then hopefully goodbye

 

[DawnM]

Amazon Prime is $79 per year.

I just got an email offer for a year for half price, $39. Not sure if it is worth it as I have heard the content isn't that great and it is hard to navigate.

Dawn

We exclusively stream our Netflix with our Roku box. We will keep the service (we did not opt for the DVD option).

As a replacement for our DirecTV, it is a money saver.

We would go to Redbox if we can't find anything on streaming (but we always find something...)

We also have HuluPlus, but use it rarely. I am considering dropping it as we do not get our money worth out of the subscription.

For those of you thinking of Amazon Prime - I'm a member through Amazon Mom, but the free Prime does not include the streaming option. That's an additional $79 per month.

 

[ssawka]

Ours will jump from $12 per month to $18 per month. Sure, it is only $6, but a 50% increase seems ridiculous to me. We have had Netflix for a long time because it was a cheaper alternative than cable, but not as much now. I can actually lower my Internet speed and add cable for an extra $12 per month (plus the cost of an HomerunHD Prime when it becomes available).

I might also look into amazon VOD. This actually came at a very good time for me because I am debating on whether or not to renew my Amazon Prime. If I can figure out the VOD, I think I will go with Prime.

We will likely keep the DVD plan for now, since RedBox doesn't have Blu-Ray available.

 

[DawnM]

I know what you are saying, but for us, this is still a huge savings.

Our Directv has gone from $65 up to over $100 in just a few years for the same service.

We stopped going to movies and we cut our eating out budget.

So, for us, it isn't "just a $6 increase" it is quite a bit of decrease overall.

Now, if you only have $15 for TV service and it is now $6 more, then yes, that is a huge increase, but if you had $200/mo for entertainment and you have been cutting and cutting to get it down to $15 for Netflix and $8 for HuluPlus, I would say you are doing great.

$6/month may mean me cutting something else by $6 but it won't really affect me much overall.

Dawn

Let me give you an example, say you frequent a cash only food stand outside your office. You know what you order costs $3. You don't like to carry cash so you only have $3 with you. One morning you take your $3 and find out that the guy raised his price and so the new price is $3.05. That morning, no food for you. It doesn't matter that it's only "5 cents more," you don't have enough money. You could have plenty of money in a bank account but at that moment, you don't have enough.

My budget works a bit like that, in that after accounting for Housing, food, retirement savings, vacation savings, FSA, and all the other things that are higher priority items that the "entertainment" wallet is only filled with what's left. If what I want costs more than what is there, either the money has to come from somewhere else or there isn't enough money to get it. It doesn't matter if the deficit is a penny, a dollar or $100, it's not enough. It doesn't mean there isn't adequate money in the total budget. But I'm not going to start taking money from a higher priority wallet to put in the entertainment wallet.

This, "It's only $____ more" mentality, is where I think a lot of people get into money troubles. The money has to come from somewhere, otherwise you go in a deficit situation. People find themselves spending $3 more on one thing, $5 on another, $10 on another, and have not made any decreases in other areas. And then wonder why at the end of the month they're $100 in the red. Just like water, we'd all notice the gusher in the front yard, but the slow unnoticeable leak can add up to a lot of gallons in the monthly bill. So as it is with money.

 

[vicki_c]

For those of you thinking of Amazon Prime - I'm a member through Amazon Mom, but the free Prime does not include the streaming option. That's an additional $79 per month.

Amazon Prime is $79 per YEAR, not per month. We have that as well - more for the shipping reasons, but I have only used the streaming video a few times. Everything I wanted to watch was still pay, so I didn't pay much attention to it. Might have to go back and see about that now.

Oops - sorry - I seen someone already said that!

 

[LuLuO]

I bet with the popularity of streaming, they are trying to phase out DVDs. Lots of people will drop the DVD portion and in a year or so they will say it's not as popular and drop them altogether. Just my guess.

This was my thought too. If they have less DVDs to deal with they will save a lot in shipping, distribution, wages for workers, money for facilities, etc.

 

[karinbelle]

Amazon Prime is $79 per YEAR, not per month. We have that as well - more for the shipping reasons, but I have only used the streaming video a few times. Everything I wanted to watch was still pay, so I didn't pay much attention to it. Might have to go back and see about that now.

Oops - sorry - I seen someone already said that!

Sorry -- It is per YEAR, not per month. Now, that price would be ridiculous.

 

[fakereadhed]

This was my thought too. If they have less DVDs to deal with they will save a lot in shipping, distribution, wages for workers, money for facilities, etc.

Exactly! If it was only about price increase they wouldn't have split the services.

 

[lost*in*cyberspace]

I bet with the popularity of streaming, they are trying to phase out DVDs. Lots of people will drop the DVD portion and in a year or so they will say it's not as popular and drop them altogether. Just my guess.

That would be great. Then they would have better choices for streaming.

 

[NotUrsula]

The reason why the new release selection has gotten bad is because the streaming load was so popular that the number of downloads voided their contract with Starz (aka Sony Pictures distribution). Now Sony wants to increase the cost of that contract by 1000%, so the only way that NFlx can improve the streaming catalogue is by paying up.

BTW, re libraries. MANY public library districts long ago made it a policy decision not to directly try to compete with commercial video outlets in the entertainment arena. Usually the policy dictates concentrating on classics, childrens materials, documentaries and educational films, the sort of stuff Blockbuster did not do. That is shifting now with media services such as Overdrive, which has a huge catalog, but only charges the library by use tier. More libraries are offering newer films that way, rather than on disc, but it is still seldom mass-market type stuff.

The hottest trend in libraries right now is called PDA (no, not that pda. It stands for Patron-Driven Aquisitions). These are digital delivery contracts wherein the library deposits a certain amount with the distributor, which entitles their user population to so many title downloads. Users can choose from anything in the distributor's catalog.. These are essentially rental downloads paid for you by the library, except that the contract usually stipulates that if a particular title is requested more than three times the Library will buy full unlimited download rights to that title (instead of the much cheaper single-use download fee.) Adoption of such systems will redirect library collection priorities toward what is popular, as opposed to what is well-reviewed, which is the more traditional model for libraries.

 

[GatorMama]

We just put our account on hold the day before this was released. We are doing a trial run to see how we get on without Netflix in our life (and to save a few dollars for Disney). What *I* am most disappointed in is that it doesn't seem they are considering loyal customers that have have been with them and happy with the dual plans. I think if they want to offer the plans separately, that's fine, but I also think there should be a disount (even minimal- $1 or 2) for accounts that are subscribed to both services. WHen our trial is over, we might also be done with Netflix. This increase on top of a lot of issues streaming lately... and the proximity to SEVERAL RedBoxes... just seems like it might not make sense for us anymore.

 

[punkin]

Currently we have 3 DVDs per month, but more and more of our watching is done via streaming. I think we will go to 1 DVD + streaming, or bite the bullet and just stream. I can't imagine giving up streaming at this point.

 

[eliza61]

Let me give you an example, say you frequent a cash only food stand outside your office. You know what you order costs $3. You don't like to carry cash so you only have $3 with you. One morning you take your $3 and find out that the guy raised his price and so the new price is $3.05. That morning, no food for you. It doesn't matter that it's only "5 cents more," you don't have enough money. You could have plenty of money in a bank account but at that moment, you don't have enough.My budget works a bit like that, in that after accounting for Housing, food, retirement savings, vacation savings, FSA, and all the other things that are higher priority items that the "entertainment" wallet is only filled with what's left. If what I want costs more than what is there, either the money has to come from somewhere else or there isn't enough money to get it. It doesn't matter if the deficit is a penny, a dollar or $100, it's not enough. It doesn't mean there isn't adequate money in the total budget. But I'm not going to start taking money from a higher priority wallet to put in the entertainment wallet.

This, "It's only $____ more" mentality, is where I think a lot of people get into money troubles. The money has to come from somewhere, otherwise you go in a deficit situation. People find themselves spending $3 more on one thing, $5 on another, $10 on another, and have not made any decreases in other areas. And then wonder why at the end of the month they're $100 in the red. Just like water, we'd all notice the gusher in the front yard, but the slow unnoticeable leak can add up to a lot of gallons in the monthly bill. So as it is with money.

IMO, Thats not an realistic view though hopemax. Budgets done correctly take into account market variability. They are not static but are supposed to be some what fluid with room for "expansion" lol. The person who goes to a food cart expecting the price of food to never ever change is excuse my phrase, niaive. Does anyone, anywhere really think food, utilities and housing prices stay flat? So the person who goes to the food court and realizes he's 5 cent short hopefully is just in a situation where he does not have the cash on him. If the 5 cent or 5 dollars is going to BLOW his budget he's got a totally different problem.

When you budget for a trip to disneyworld in 2012, do you not factor in the very good probability that prices are going to be higher than what they are now?

Now you are right, the money has to come from some where but that is where the budgeter has to make choices as to the value of some thing especially when it comes to discretionary spending.
Is the increase in ticket prices worth going to disney? So it is a "just $78 dollars more", Op has to figure out if that increase in $78 dollars is worth her finding the money in her budget. That's a personal decision, for many the 6 bucks a month more still beats the cost of going to the movies.

Now from her original post it sounds like the increase in 6 dollars a month will be really tight for her, op if I read it wrong than I apologize. If that is the case then the answer may be really simple, drop down to another plan. The economic times are hard for netflix also as others have pointed out, they are raising the cost because their cost are going up, so in reality netflix has to rebudget. Why does she think blockbuster went under? They did not adjust to a changing market.

 

[sk!mom]

Well, unless I am reading it wrong, my bill will go from $15 to $20, meaning a 25% increase.

Meanwhile, my Directv bill was $65 three years ago and has gone up and up and up, until it is now over $100.

I am canceling DTV.

Dawn

We've been paying $9.99 for one DVD at a time and Unlimited streaming. That plan will now cost 15.98. A 60% increase.

Dropping to one or the other will be $7.99. Only a 20% savings to recieve 50% of what I had been getting.

We just don't use it enough to pay such a large increase. For $10, it was a good value for occasional entertainment. Plus such a large increase ticks me off.

I've already changed my plan to streaming only and will reserve on Redbox next time we want a DVD. I'm going to check out some other streaming services and will cancel that too if we find something else.

 

[Smells like brown]

I was disappointed when I received the email doubling the price of the same Netflix services that I currently have.

I will be dropping Netflix altogether. I understand needing more money to expand streaming but I need to see the improvements first-then I might pay for it. Right now there is not enough streaming content for us to make any price increase worth it.

We have no problem checking out other options-Amazon sounds interesting.

 

[DawnM]

I see.

Our problem is that we aren't big movie watchers, so Redbox really isn't a good solution.

I am finding that the DVDs I get are TV series' that I haven't yet watched. I recently watched all 3 seasons of Madmen. This is only available on DVD. I am now watching The Good Wife, only available on DVD.

But as I said, it is already a good savings for us over DTV. If I need to cut $5 from somewhere else, I can. Heck, we spend almost $30 for the 5 of us at McDonald's these days. We don't need that for sure!

Dawn

We've been paying $9.99 for one DVD at a time and Unlimited streaming. That plan will now cost 15.98. A 60% increase.

Dropping to one or the other will be $7.99. Only a 20% savings to recieve 50% of what I had been getting.

We just don't use it enough to pay such a large increase. For $10, it was a good value for occasional entertainment. Plus such a large increase ticks me off.

I've already changed my plan to streaming only and will reserve on Redbox next time we want a DVD. I'm going to check out some other streaming services and will cancel that too if we find something else.

 

[JamesMom]

Our family has the 5 at a time plan - hubby watches obscure videos and I generally watch TV shows as I can't be bothered with DVR management of all my shows and the kids stream DAILY. Our plan will go up $1 in September to $39.
Now I have been eyeing Hulu+ so I catch up on current TV seasons without waiting for DVD release on Netlix, but still need to do more research.

 

[puffkin]

Add me to the list of those cancelling when the new prices go into effect. We prefer the streaming, but I mainly watch TV shows and it is frustrating when the first season or two are streaming and then the rest are disc. Therefore we aren't heavy users of either plan.

We will just use Redbox/Blockbuster Express going forward. I get so many Groupons and special offer codes for them that it is super cheap.

 

[Muushka]

My knee-jerk reaction was to dump Netflix because of the increase. But I told my husband about it and he wants to keep it, and I agree.
I feel that the past few years overall Netflix was a fantastic deal. Now it is an OK deal.
We will stay with them, unless they have another large increase, then it is double-secret-probation.