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Netflix Offers New $7, SD Stream Plan for New Users
by Karl Bode 10:33AM Tuesday Dec 31 2013
Ad Week was the first to spot that Netflix has done a little bit of tinkering with their streaming plan pricing, the company now offering users the ability to stream one stream at a time for $7 per month. The deal only applies to new users, and obviously will appeal to some DSL and other users who have limited bandwidth at their disposal, and are unable to partake in Netflix's Super HD, 3D, and looming 4K streams. Still, with HD streams to two devices just $1 more, the cost savings at play here are modest at best. From the looks of things this is only being tested in some areas, with additional markets to come.

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buzz_4_20

join:2003-09-20
Limestone, ME

Not a big market me thinks.

Seems like only people who stream via Wii or Cell would benefit.

The savings don't add up.

No HD and 1 less stream, save $1

2 more streams add $4
floydb1982

join:2004-08-25
Kent, WA

Re: Not a big market me thinks.

I wonder what video + audio this will be streaming at. This will be great for the Canadians who have very low bandwidth caps.

aaronwt
Premium
join:2004-11-07
Woodbridge, VA

I'm still paying only....

$7.99 to have four concurrent HD streams.

I have no idea why that is the case but my account still shows I'm on the "Watch on 4 screens at the same time" plan for $7.99 a month.

n2jtx

join:2001-01-13
Glen Head, NY

Re: I'm still paying only....

I signed up in October and have 2 streams for $7.99. It isn't like I can actually use more than two streams anyhow but perhaps older customers were grandfathered.
--
I support the right to keep and arm bears.
Crookshanks

join:2008-02-04
Binghamton, NY
Reviews:
·Frontier Communi..

Re: I'm still paying only....

said by n2jtx:

perhaps older customers were grandfathered.

Would have been nice of them to do that for the DVD plans, rather than bending us all over for a 100% cost increase.

I didn't quit Netflix BECAUSE of that, but it sure left a bad taste in my mouth, and is something I've thought of as I've contemplated whether or not to re-activate my account. It's always been my practice to suspend it over the summer, ever since the first summer where I sat on the same two DVDs for three months, but I would usually have it turned back on by now.

Haven't felt the need this year though. Every time I think about doing it I stop and consider the fact that half of the content I want is only available via DVD, and $16/mo is more than I'm willing to spend.

Corehhi

join:2002-01-28
Bluffton, SC
Reviews:
·Hargray Cable
said by aaronwt:

$7.99 to have four concurrent HD streams.

I have no idea why that is the case but my account still shows I'm on the "Watch on 4 screens at the same time" plan for $7.99 a month.

For a while I could stream to 3 devices but about 9 months ago something happened and I can't do it any more just 2 devices at a time. It's not that big of a deal but once in a while I'll be watching NetFlix and both of my kids will be as well.

Anon E Muss

@myvzw.com

Re: I'm still paying only....

they have a plan that allows for 4 simultaneous devices for $12 a month.

Corehhi

join:2002-01-28
Bluffton, SC

Re: I'm still paying only....

I checked and didn't see that plan any where??? Is it under account???
rick0204

join:2009-05-20
North Bergen, NJ

Preparing for Amazon

This may be in preparation for a rumored monthly plan from Amazon Instant Video that is separate from the Prime Membership. Amazon may charge just $5-6 per month for the service. We will see what happens in the next few months.
buzz_4_20

join:2003-09-20
Limestone, ME

Re: Preparing for Amazon

That's a crappy deal.
Prime is $79 a year or $6.58 a month With the free shipping.
I see no reason not to get the whole shebang

ESP if you can get the student pricing for $39 a year.

dscl

join:2001-07-15
Suwanee, GA

Re: Preparing for Amazon

Just an FYI... Student prime does not include streaming.
buzz_4_20

join:2003-09-20
Limestone, ME
Reviews:
·Pioneer Wireless

Re: Preparing for Amazon

Click for full size
Since when?

dscl

join:2001-07-15
Suwanee, GA

Re: Preparing for Amazon

My mistake, I'm still under the 6 month free of student prime, while under the 6 months, streaming is NOT included. After the 6 months(and paying the $39) stream is then included.

OSUGoose

join:2007-12-27
Columbus, OH

Re: Preparing for Amazon

I am as well and I haz daz streamz
rick0204

join:2009-05-20
North Bergen, NJ
Some people do not want to pay for an entire year all at once. Amazon may even charge just $4.99 for streaming only.

aaronwt
Premium
join:2004-11-07
Woodbridge, VA
said by buzz_4_20:

That's a crappy deal.
Prime is $79 a year or $6.58 a month With the free shipping.
I see no reason not to get the whole shebang

ESP if you can get the student pricing for $39 a year.

Amazon is also a one time fee. Not a monthly price. So people need to pay that $79 all at once. I only have Amazon Streaming because I get Prime for shipping and for the Amazon cloud music. The video streaming is secondary for me.

But I must say I have used Amazon streaming more in the past couple of months since they introduced their original content.
getstuff4les

join:2005-07-24
Riverside, CA
I will sell you prime for $25 a year with a two-year commitment. It doesn't include anything but shipping benefits.

Packeteers
Premium
join:2005-06-18
Forest Hills, NY
kudos:1

Re: Preparing for Amazon

is that a product/service, or you just include people in your household?
getstuff4les

join:2005-07-24
Riverside, CA

Re: Preparing for Amazon

It's for "family" members, but they do not have to be in your household. They have an "other" section and for all I know you maybe my long-lost cousin%u2026

aaronwt
Premium
join:2004-11-07
Woodbridge, VA
said by getstuff4les:

I will sell you prime for $25 a year with a two-year commitment. It doesn't include anything but shipping benefits.

WHy would they do that? They already lose money on me at $79 a year for prime. At least as far as shipping is concerned. I get one hundred packages to two hundred packages shipped to me each year from Amazon.

Pctechtim

@rtimebroadband.com
said by getstuff4les:

I will sell you prime for $25 a year with a two-year commitment. It doesn't include anything but shipping benefits.

I want it! how do we do it?
elefante72

join:2010-12-03
East Amherst, NY
I would assume that amazon offers a non-prime streaming option only and prime users get access. That would be out of character for Amazon double charge, because their library is so weak they would have to beef it up immensely for me to even consider it. The whole reason for prime is to nudge people to "rent" and pay for popular content. Eliminate that, and you eliminate the upsell.

The only issue is that Amazon and Netflix are going for "exclusives" which means if you really like a show, now you are subscribing to different a-la-carte channels This is ultimately what content companies want, so we will see if they get their way (meaning bid up content prices and lock windows).
travelguy

join:1999-09-03
Santa Fe, NM

Re: Preparing for Amazon

said by elefante72:

The only issue is that Amazon and Netflix are going for "exclusives" which means if you really like a show, now you are subscribing to different a-la-carte channels This is ultimately what content companies want, so we will see if they get their way (meaning bid up content prices and lock windows).

Netflix has made no secret that their plan is to become the HBO of over the top delivery. Everyone cheers when they hear that because they think HBO is evil, but think about what that means:

- A limited library of programming that they get to choose. Not the massive DVD library they used to have.
- A lock on exclusive programming instead of access to everything.

Reminds me of the days when HBO and Showtime first started. Pretty much every movie made was available on both channels. The only difference was the debut window - each channel would get their share of first run movies. A month or two later the movie would show up on the other channel. Great for consumers, not so great for the channels.

So, then the channels went to exclusive deals with studios. You wanted to see a Paramount movie? Sorry, only on Showtime. Basically a modern version of the old theater system where the studios owned the theaters and wouldn't show each other's movies. The current incarnation of that is exclusive programming. Game of Thrones - HBO, House of Cards - Netflix, Alpha House - Amazon, etc.

Would be nice to see if there was a way to separate content from delivery.

Guspaz
Guspaz
Premium,MVM
join:2001-11-05
Montreal, QC
kudos:22

Re: Preparing for Amazon

said by travelguy:

Netflix has made no secret that their plan is to become the HBO of over the top delivery. Everyone cheers when they hear that because they think HBO is evil, but think about what that means:

- A limited library of programming that they get to choose. Not the massive DVD library they used to have.

So, you're saying that their streaming service in the future will be exactly the same as it is today? They already have a limited library of programming that they get to choose, and Canadians never got DVD deliveries, and yet Netflix penetration in Canada is higher than the US.

said by travelguy:

- A lock on exclusive programming instead of access to everything.

If I'm a Netflix subscriber, how would I be impacted if Netflix kept their own series exclusive to Netflix?

said by travelguy:

Reminds me of the days when HBO and Showtime first started. Pretty much every movie made was available on both channels. The only difference was the debut window - each channel would get their share of first run movies. A month or two later the movie would show up on the other channel. Great for consumers, not so great for the channels.

So, then the channels went to exclusive deals with studios. You wanted to see a Paramount movie? Sorry, only on Showtime. Basically a modern version of the old theater system where the studios owned the theaters and wouldn't show each other's movies. The current incarnation of that is exclusive programming. Game of Thrones - HBO, House of Cards - Netflix, Alpha House - Amazon, etc.

Would be nice to see if there was a way to separate content from delivery.

Such exclusivity deals are illegal in Canada, but that's not really relevant. The point is that Netflix is producing more original content so that they have more leverage in negotiations with content providers like movie studios and television networks so that they can get better deals from them, not so that they can drop all third-party content entirely. Netflix doesn't want the studios and networks to be able to kill them off by charging usurious prices.
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Latest version of CapSavvy systray usage checker: »CapSavvy v4.2 released!
travelguy

join:1999-09-03
Santa Fe, NM

Re: Preparing for Amazon

said by Guspaz:

They already have a limited library of programming that they get to choose, and Canadians never got DVD deliveries, and yet Netflix penetration in Canada is higher than the US.

I wasn't really talking about subscriber penetration numbers. My point was just that Netflix used to be a very large DVD lending library. One of the major benefits Netflix offered was the ability to get obscure movies that weren't available from the local Blockbuster or video rental shop. Netflix could afford to do that because they could buy a few copies of the DVDs and serve the entire country. Even if they paid retail, the fact that they didn't have to license the film meant that it made economic sense to offer those obscure films with a limited audience.

Now, postage costs and the advance of fast broadband make DVD lending less attractive as a business, so Netflix is moving to streaming. That in and of itself would theoretically be better for the consumer, but it isn't. The problem is that the studios are imposing different rules for streaming. Netflix has to license the library, pay for each viewing and are subject to arbitrary cancellations by the studios.

Netflix can't afford to license every movie ever released even if the studios would allow them to, so consumers end up with a limited selection of movies to choose from and Netflix pays more money to the studios.

said by Guspaz:

If I'm a Netflix subscriber, how would I be impacted if Netflix kept their own series exclusive to Netflix?

Obviously, they wouldn't be. My point was that exclusive content does not benefit consumers in general, Netflix is no different than HBO. When movies were released on DVD, you could purchase them from anyone (Amazon, Walmart, etc.). The proliferation of exclusive content means you have to subscribe to multiple sources to see everything you might be interested in.

said by Guspaz:

The point is that Netflix is producing more original content so that they have more leverage in negotiations with content providers like movie studios and television networks so that they can get better deals from them, not so that they can drop all third-party content entirely.

I disagree in part. I didn't mean to imply and don't believe that Netflix will drop non-Netflix programming. Their inhouse properties are designed for two purposes: First and foremost is to get subscribers to pay them over HBO or Vudo or the like. You want to watch House of Cards on DVD or Vudo? Too bad, so sad. The secondary reason is as you cited - to convince the studios that they need Netflix subscribers to make money on their content.

telcodad

join:2011-09-16
Lincroft, NJ
kudos:3
A blog item about that on the MCN site today:

Netflix Getting In ‘Prime’ Position?
By Jeff Baumgartner, Multichannel News - December 31, 2013
»www.multichannel.com/blogs/baumi···position
rick0204

join:2009-05-20
North Bergen, NJ
And it looks like Netflix has stopped offering the lower price membership. The $6.99 option for new members is no longer there.

Packeteers
Premium
join:2005-06-18
Forest Hills, NY
kudos:1
I wish their was Prime shipping seperate from their Instant Video - LOL. I dropped Prime because I got sick of paying for content I never bothered to watch.

anonome

@verizon.net

"just $1 more"

...for now.

Anon E Muss

@myvzw.com

Re: "just $1 more"

So? prices go up. People complain about not enough content or enough newer content on Netflix. This costs money. If Netflix could up their free to $12 A month and not have anyone leave they'd have $1.4 billion a year more to spend on content. That can get you A LOT of content. Too bad their customers won't allow that.

Guspaz
Guspaz
Premium,MVM
join:2001-11-05
Montreal, QC
kudos:22

Re: "just $1 more"

More than that, Netflix' price for streaming service has gone down over time if you take inflation into account. Netflix launched their streaming service in early 2007, and unless I'm mistaken, accessing it cost the same $7.99 as it does today. If their prices were indexed against inflation, they would be charging $8.98 today.
--
Latest version of CapSavvy systray usage checker: »CapSavvy v4.2 released!
travelguy

join:1999-09-03
Santa Fe, NM

1 edit

Best be Careful...

This test is just one part of Netflix wanting to get rid of family accounts and moving to individual accounts:

»www.bloomberg.com/news/2013-12-3···ers.html

••••••••
Millenium

join:2013-10-30
kudos:1

better discount

A little better discount and I'd be interested. I already use the low video quality stream anyway and we rarely use more than one stream at a time. But it's for new sign-ups so I couldn't get it even if the price was right.

Goliath2k
Premium
join:2013-12-28
united state

Been locked in at low quality for months, yet...

Even though we've had our Netflix quality set to "Low" for months (ever since we noticed the option came to the US Netflix), Netflix is not offering us the $7/month plan. It'd be great for us.

Our primary Internet connection is 3G, so the low-quality streaming works great for us, as it uses 87 kilobytes/sec. We don't stream more than one at a time, you'd think that we'd be a shoo-in for this plan. I'm going to call customer service and see what they tell me.

Anon E Muss

@myvzw.com

Re: Been locked in at low quality for months, yet...

said by Goliath2k:

Even though we've had our Netflix quality set to "Low" for months (ever since we noticed the option came to the US Netflix), Netflix is not offering us the $7/month plan. It'd be great for us.

Our primary Internet connection is 3G, so the low-quality streaming works great for us, as it uses 87 kilobytes/sec. We don't stream more than one at a time, you'd think that we'd be a shoo-in for this plan. I'm going to call customer service and see what they tell me.

That's still 300 MB an hour. You can easily exceed a mobile data cap quickly. I don't know how you can even watch anything at that bitrate. Everything must look like a worn out VHS tape.

Goliath2k
Premium
join:2013-12-28
united state

Re: Been locked in at low quality for months, yet...

Thankfully we're on an unlimited plan, so that's not as much of a concern.

And no, the quality on Netflix is great actually, hats off to whomever designed their encoding & compression algorithms. Their algorithms work excellent for live action, especially for older TV shows which weren't shot in high-quality anyway. I was watching Netflix the other day on the TV and was having a difficult time telling the difference between that and the DVDs I had been just watching of the previous season.

A friend of mine (who is somewhat an aficionado of video encoding) suspects that Netflix's compression algorithms aren't optimized for animation though, because animation on Netflix looks somewhat worse than live action. It's fine on a smaller screen (like a laptop or tablet), but on a big-screen TV you can definitely tell the difference between animation on Netflix and a DVD.
BiggA

join:2005-11-23
EARTH

So dumb

Anyone still streaming on a Wii needs to switch their Netflix usage over to one of the zillion different devices that supports HD and Super HD.
b10010011
Whats a Posting tag?

join:2004-09-07
Bellingham, WA
Reviews:
·Comcast Formerl..

I rarely see Netflix stream in HD on Comcast internet anyway

As Netflix on my Comcast 12Mb (up to) tier rarely is fast enough to stream in HD.

I think I have only seen Netflix reach the HD threshold once or twice in the last year.
--
Bellingham Scanner Kicks Ass! »bhamscanner.kicks-ass.org/
stridr69

join:2003-05-19
San Luis Obispo, CA

Re: I rarely see Netflix stream in HD on Comcast internet anyway

That's interesting. I get super HD via PS3 with a 6Mb DSL connection. 5:1 Surround as well. What are you using to watch? Reason I ask is my older Roku no longer gets HD at all(Roku XD)

antdude
A Ninja Ant
Premium,VIP
join:2001-03-25
United State
kudos:4

What about non-subscription payments?

For those who don't watch much. I like Amazon's VoD, iTunes, etc. :P