July 14, 2011

• This Just In: Netflix Screws Customer Base

  

  Et Tu, Netflix? I’ve loved you. I’ve been loyal to you. It’s been a great relationship. Up to now. What the hell happened? Was it me? Last week I changed my subscription plan from $17.99 a month for two DVDs (including Blu-ray) + streaming to $11.99 a month for one DVD (including Blu-ray + streaming. For many years I maintained the 3 DVD plan, as you know. But then you started charging more for Blu-ray. Then I scaled down to 2. I never seem to get around to watching the DVDs that quickly anymore.  Usually you’re prompt with your email replies. I didn’t get a confirmation email. Then you sent me that zinger on Monday telling me you were about to charge me almost DOUBLE for pretty much the same rental plan. One DVD a month and the streaming was going to be $11.99 a month. Your emails states:  “We are separating unlimited DVDs by mail and unlimited streaming into two separate plans to better reflect the costs of each.” I’m a charter subscriber! Instead of $11.99, the plan would be increased to $17.98!

  Ouch.

  I feel like you’ve raped me. I’ve been a continuous subscriber since November of 2002. Although I never claimed any “credit” for introducing new subscribers or referrals, I’m pretty sure I’ve instigated a few new subscriptions over the years to add to your nearly 24 million subscribers. I can remember when it seemed like we were alone together, you, me, and our daily exchange of the red envelopes.

  Then you started getting popular. And quite a bit cocky. I live near Torrance in the Los Angeles area of California, and there used to lots of video stores in town. Blockbuster disappeared a few years ago. Both locations. When Hollywood Video went out of business, our relationship got a bit more exclusive, since I really couldn’t rent newer movies anywhere else. You had me. And, when I looked around, it seemed you had everyone else too!

  The red envelopes used to arrive almost as quickly as I would send one out. Then they started to become delayed. Newer releases started to get a waiting list, and I sometimes had to wait weeks before I’d see my copy of my latest pick arrive. I had to keep updating my queue so that you didn’t inadvertently send me another movie lower on my queue which was already being shown on Showtime or HBO.

  Our relationship started to get a bit rocky about the time you  began your streaming service. According to the Wikipedia entry, you are “an American provider of on-demand and streaming video in the U.S. and Canada, and flat rate DVD by mail in the U.S.” Not too long ago you shipped new DVDs by mail, and I would be able to watch them a day or two after they became available (sometimes the same day, if kismet smiled on me and I was higher up on the “waiting list”) The streaming service was a bit of a joke at first. I could only watch on my computer. I know you were just experimenting. Same as you are now by charging me for what you once offered as part of my package. I’m an early adopter, so when the Roku player became available (always an excellent advertiser, you let me know immediately through adverts on the inside sleeve of my latest red envelope!) I got one immediately.

  I shelled out $99.00 for the first edition of the Roku player. This was before “internet streaming” became commonplace on TV sets and game players. The first Roku only output in 480i. Not Hi Def when I’m watching on a 60″ 1080p display. The selection of films and TV shows you offered was substantial, but many of them were older movies. A lot of them were on Starz. You didn’t offer the same selection on DVD as you did on your stream. I don’t have a super fast internet connection, and instead of increasing buffer time on the download, you would “decide” to lower my resolution, so the picture looked like muddy soup. Not an optimum viewing experience. The program still crashes quite often, but the streaming service was “an addition” to my subscription.

  At first.

  Now, it seems as if you want your streaming service front and center, and we’re going to pay for it. That experiment is over, and the hand is out for the money this time around. Physical DVDs are becoming a thing of the past. Now everyone wants their entertainment on demand. Well, my dear Netflix. I wanted movies on demand before they were invented. That’s why I’ve collected films on every video format available since 1981. That’s why I’ve had membership cards at Video rental stores, and that’s why I subscribe to Netflix. I’ve spent a lot for the privilege of being able to watch what I want when I want it. Frankly, for you to raise prices at this time is not only deplorable, but pretty stupid. I predicted yesterday that you’ll lose a lot of customers because of this, and judging by some of the 56,000+ comments you’re getting on your Facebook page, I’m more than right, and a lot of your longtime subscribers feel just as screwed as I do.

  One of the reasons I wanted to scale down the amount of DVDs I get from you is because you didn’t offer new releases on a lot of titles till a month after I could already watch them “on Demand” at DirecTV or Amazon.com. And those services offer full 1080p “instantly”. They don’t fiddle with the resolution. Every time I check the “new arrivals” for Netflix streaming, there aren’t that many, and most of the movies can’t be called “new” in any sense of the word.

  So besides feeling as if you’ve screwed me, I’m a bit disappointed in you after all. The negatives seem to outweigh the positives. You aren’t really offering that great of a service anymore, if in fact you ever did. It’ll be our 10th anniversary next year. Although to tell you the truth that little RedBox in the grocery store has been winking at me for a couple of years now. Perhaps it’s time to make her aquaintence, and just end our longtime alliance.

  I hope it was good for you. I didn’t cut you off entirely (yet). I now have two “Netflix” devices, so I’ll keep the streaming service. ($7.99 a month for a service always offered as “unlimited streaming at no extra cost.”) My new WD Live Hub is a really neat device which streams Netflix, and has a 1 TB drive accessing my internet account, so I can download anything I see on the internet through my Realplayer right into the device. No more red envelopes for me. I’ll use DirecTV if I want “movies on demand.” I’ll keep an eye on your “new arrivals” screen to see if anything produced in the last couple of years shows up. Your whole Sony catalog disappeared the other day! A lot of the movies in my queue suddenly disappear, and then reappear. Having exclusivity and licensing problems, are you? Well, life’s a bitch. You shouldn’t feel the need to go to the subscribers and raise our prices to fuel your latest acquisitions offers. With 24 million subscribers we’re making you rich right now.

  I think I’m going to go defriend you on Facebook now.

  • 9:49 am
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