Blockbuster Online Major Price Increase Alert:

LonghornXP

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Supporting Founder
Blockbuster Online Price Increase

I'm giving this alert as I believe many of our fellow SatGuys members are subscribers to Blockbuster Online. I've received an email from Blockbuster and have just called my local store and customer service to verify if this email is true. Both calls have resulted in very bad news.

My email says that starting today (August 17, 2007) price increases will start for any new customer. Also when your current billing statement ends your next bill will be for the new higher price.

For customers who have the 3 DVDs out at a time unlimited plan with unlimited in-store exchanges for 17.99/month the "NEW" price will now be 24.99/month.

Yes you did notice that seven (7) bucks a month increase in the same service. It has been this price increase that has resulted in my cancellation with Blockbuster Online.

I felt this news was important enough to say on the SatGuys frontpage news because I bet many people could miss this change and I didn't find anything about a price increase under the my account area within the website.

Edit...please note that I corrected my pricing mistake above as I typed the difference by accident based on my discounted price of 16.99/month. I'm very sorry for the error.
 
Um, yeah. The obvious reaction for you competitor cutting the price of their comparable plan is to raise your price by 50%. Glad I'm a Netflix customer.
 
So is Blockbuster finally switching everyone over? A co-worker of mine said he was grandfathered in at the old prices.

But hey, they now have blu-ray in the store, so you will definately want to pay the extra $8 to get that added bonus!!! Duh! ;)
 
Any word on what will happen to lower price plans? I am on the one at a time($9 bucks I think) plan and haven't got any notification of a price increase.
 
I got a notification about this a month or so ago and in the email it stated that current customers would be grandfathered for a while.

I'm on the cheapest plan and afaik, the new prices didn't affect that plan.

Edit:

just looked at the new plans, what a joke. Glad I am grandfathered on my 1 at a time, 3per month and 4 in-store rentals a month for $7.99
 
I've contacted the State of New Hampshire AG to ask a few questions about the notice. My state AG is checking to make sure but they think that residents in the state of NH need to be given no less than 30 days written notice (paper mail not email) of any price increase above a specific percentage for any service that has automatic monthly billing. This should be getting very interesting because the person I talked with at the state said that an increase close to double the price is without a doubt above the percentage for written 30 day notice requirements. I think they said it only applies to services with automatic monthly payments though.

I'm going to be working soon so I don't plan at least not anytime soon to switch to Netflix and I was close to cutting off Blockbuster Online as it is. On another note I believe this move will spell the end of Blockbuster I really do. Its quite sad that Blockbuster can really be this stupid but hey a CEO gets all the credit when things go great but none of the blame with things go really bad. Gee what a nice job that must be for millions of bucks each year. You can be the worst CEO in the world but you have the benefit of a billion plus excuses for why you cannot get the job done.
 
Netflix

Been with Netflix since they open doors, Dropped my price 2 months ago to 15.99 per month and 70 hours online viewing. Never was impressed with Blockbuster brick and mortar or on-line. Dropped my movies from Netflix Wedensday and new bluray's here this morning, never been any longer, only had one defective movie, myself and family have rented over 1000 movies since 2003
 
I got the same E-mail but from what I read if you were already a current customer the rate increase did not effect you. I love Blockbuster On-line have had no issues also folks must remember that I think part if the rate increase is due to they let folks do in store exchange. Blockbuster bought a movie on-line company so before to long you will be able to download your movies to PC as well. So overall with Blockbuster you have more options and I think they might be doing Blu-Ray as well. Overall I think folks are making a mountain out of a mole hill.
 
read the email carefully, i freaked last month, only to see that I am grandfathered in my old plan.. in fact I still can get 2 free Game Rentals instead of movies in store.
 
Yeah I had to read it twice but like I said I think the rate increase is only for new customers. Also remember if you choose to just do ""Mail Only"" then I think the price is the same if not cheaper which "Mail Only" is all you would be doing with NetFlix. I think where Blockbuster went up on is folks that have a plan for ""In Store Exchanges"" plus ""By Mail"" so make sure to read it carefully.
 
Maybe you all got a different letter but I'm sure not grandfathered into my existing plan. Here are the details of my email.

Dear Mark,

We have introduced a new pricing structure for our lineup of subscription plans.

As a result, the price of your current monthly plan Unlimited DVDs up to 3 at a time with unlimited in-store exchanges each month for $17.99 will increase to $24.99†, effective August 17, 2007.

We will not automatically renew your subscription on your next billing date.

In an effort to continue meeting your movie rental needs, we would like to offer you the chance to select a new online plan or the opportunity to take advantage of a special limited-time in-store offer.

From now until September 17, 2007, you can rent any in-store movie for just $1.99*. It's easy – simply click on the Get Coupon link, print your card and take it into any participating BLOCKBUSTER® store each time you want to rent one of our thousands of feature films. And since this coupon comes with unlimited use during this offer period, you can redeem it as often as you'd like until 9/17/2007.

To redeem this offer, click below to print your coupon.

I also had a link to view other online plans which I'll list below.

Unlimited rentals plus unlimited in-store exchanges.

1 DVD at a time = 16.99/month plus tax.
2 DVDs at a time = 21.99/month plus tax.
3 DVDs at a time = 24.99/month plus tax.

The above prices are for the Blockbuster Total Access Premium plans.

The next prices are for the Blockbuster Total Access plan which includes unlimited rentals each month but a limit on the number of in-store exchanges each month.

1 DVD at a time with two in-store exchanges each month costs 9.99/month.

2 DVDs at a time with three in-store exchanges each month costs 14.99/month.

3 DVDs at a time with five in-store exchanges each month costs 17.99/month.

Unlimited Movies by mail only with no in-store exchanges are below.

1 DVD at a time = 8.99/month.
2 DVDs at a time = 13.99/month.
3 DVDs at a time = 16.99/month.

The Limited Mail option which allows a max of two rentals per month with one movie at a time is as follows.

The mail only plan costs 4.99/month while the in-store exchange option (max two in-store exchanges each month) will cost 7.99/month.

Those are the options I have and under my account before I cancelled it said I was in the Total Access Premium plan at 17.99/month. It also said that my plan would "not" renew unless I selected one of the options in the list above. It also said that once my plan didn't renew I would be charged for any movies I haven't sent back after 30 days as well.
 
I've contacted the State of New Hampshire AG to ask a few questions about the notice.
Whoop-dee-doo.... At most, all that will happen is the price increase will be delayed for 31 days. Blockbuster will NOT stop their plans to change the pricing because of a rule that they may have violated.
 
Whoop-dee-doo.... At most, all that will happen is the price increase will be delayed for 31 days. Blockbuster will NOT stop their plans to change the pricing because of a rule that they may have violated.

I bet you would be all ticked off if you had the email get into your spam box and all the sudden without notice they canceled your plan and charged you 50 bucks for movies you didn't know you needed to return. If I didn't find this email I most likely would have been charged the cost of three movies as I wouldn't have returned them by the 17th of next month because I'm starting work and moving at the end of this month. I'm just saying that you make it sound like its no big deal but when its you being charged 50+ bucks with nothing you can do on legal grounds to get it back you I'm sure would be all over this website bashing this and that and so on. This is why the states have some of these rules to protect people from this type of crap. Heck I wonder if you live in one of those states that allow gift cards to expire after one year.

I don't mind your opinion on this but don't make a post like this is no big deal when this can cost people quite a bit of money when it shouldn't. I just pray that those customers with a TV series rented out see that email because those are discs that take months for people to watch and cost quite a bit to replace.
 
I bet you would be all ticked off if you had the email get into your spam box and all the sudden without notice they canceled your plan and charged you 50 bucks for movies you didn't know you needed to return. If I didn't find this email I most likely would have been charged the cost of three movies as I wouldn't have returned them by the 17th of next month because I'm starting work and moving at the end of this month. I'm just saying that you make it sound like its no big deal but when its you being charged 50+ bucks with nothing you can do on legal grounds to get it back you I'm sure would be all over this website bashing this and that and so on. This is why the states have some of these rules to protect people from this type of crap. Heck I wonder if you live in one of those states that allow gift cards to expire after one year.

I don't mind your opinion on this but don't make a post like this is no big deal when this can cost people quite a bit of money when it shouldn't. I just pray that those customers with a TV series rented out see that email because those are discs that take months for people to watch and cost quite a bit to replace.

100% Agree.
Thanks for letting all of us know.
 
Unfortunately, because your email says "We will not automatically renew your subscription on your next billing date.", it avoids your previous legal statement "it only applies to services with automatic monthly payments". I doubt there is much you could do.

That's definately a different email than I have heard about before. Most of the emails are either 1) you've been grandfathered in at the same prices or 2) you're being switched to the 17.99 plan with a limit of 5 exchanges in the store.

You can read alot more at Hacking NetFlix. It's not a hack website, just a strange name.

-John
 

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