Netflix Price Hike: Why It’s Not That Big Of A Deal
Streaming services, I am not sure that we could do without them anymore. Today, Netflix is raising their prices on their services. The basic stream will still be 7.99. The HD stream that allows a user to watch on two different screens is going up from 9.99 to 10.99 and the 4k will raise from 11.99 to 13.99. And yet people are complaining as if this was a planned by the US Postal Service. I am not sure why people are upset over the changes. When in fact, 10 years ago, the only way we were able to watch all of the seasons of our favorite TV shows would be to buy them on DVD. But there is a bigger issue among all of the anger, and that is the lasting legacy of the traditional cable and satellite companies.
I think the general public have been jaded at each time a bill would come in and these companies would constantly raise prices on their consumers. If you were to use traditional cable to find all of the shows you wanted to watch, and I am using the area I live in to describe the prices because it will be different everywhere. To have all the premium channels, HBO for Game of Thrones, Showtime for whatever the hell they show anymore, and Starz for American Gods, it would run the average household cost 150.91. That is before equipment fees, having a DVR, and taxes. The price is going to be somewhere around 200 a month just for cable. Not to mention if you end up being locked into a contract for two years, where the price is decent enough but at the end of the period, you are using the college funds of your last child just to pay for entertainment.
The idea of Netflix raising prices does not bother me. They provide a service to help us escape everyday reality which is needed. But if you need more of an argument that this is the fault of cable companies, has anyone looked into the streaming cable options. Playstation Vue, Sling TV, Direct TV Now, and now Hulu offer a great channel lineup at a quarter of the cost. Let’s take a look at Hulu with Live TV. For 43.99 a month, you get the Hulu library as well as getting live television. Over 50 channels and Hulu for less than 50. And now add HBO to watch Game of Thrones, if you do this on HULU it comes out to 58.
Netflix and Hulu with Live TV will run $70 a month compared to the 150. That is over half the cost, and if you do not care about the Live TV aspect, it is only 11.99 a month without commercials. The idea is to cut as much cost as possible and still provide the best service anyone can ask for. Hulu and Netflix give us entertainment for fraction of the cost of actual cable. And for this, my wallet is more grateful.
Will I complain about a price hike with Netflix? If it jumps $20 possibly. But as for now, I will be content with watching the Gilmore Girls and drinking coffee. Don’t judge me.