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Netflix Blu-ray Rate Increase Opens the Door for Blockbuster

By Rachel Cericola

Get that Blu-ray fix via Netflix? Don't get too comfy; they are about to jack up the price... again.

For a long time, there was no premium for viewing your movies in HD, but in 2008 Netflix tacked on a $1/month surcharge for Blu-ray rentals.  That was respectable. However, those days will soon be gone. Netflix says that starting April 27, they will raise subscription prices an additional 20 percent for Blu-ray renters.

Reuters says that 10 percent of Netflix's 10 million subscribers are currently renting the 1,300 high-def titles in stock. Still, we have to wonder if the new pricing structure will drive people to their local Blockbuster or to Blockbuster's own rent-by-mail service.  Blockbuster has the added convenience of offering in-store drop-off and pick-up of your movies, in addition to the rent-by-mail service.

And for the value-conscious occasional renter, there's always Redbox, who recently announced it would add Blu-ray titles in select locations at the same pricing as DVDs - as low as $1 per night.  Of course, Netflix has an ace in the hole, and that's unlimited instant movie streaming (from a smaller selection of titles).  Netflix' "Watch Instantly" feature is currently free on any of their unlimited plans.  But how soon will it be before this also becomes a "premium service?"

You can check out the service with a free 2-week Netflix trial and decide for yourself whether it's worth the scratch.  

Meanwhile, here is a peek at the new pricing structure:

1 DVD out at-a-time (2 DVDs a month)
Monthly plan cost: $4.99
Additional monthly charge for Blu-ray access on this plan: $1

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Monthly plan cost with Blu-ray access: $5.99

1 DVD out at-a-time (Unlimited)
Monthly plan cost: $8.99
Additional monthly charge for Blu-ray access on this plan: $2
Monthly plan cost with Blu-ray access: $10.99

2 DVDs out at-a-time (Unlimited)
Monthly plan cost: $13.99
Additional monthly charge for Blu-ray access on this plan: $3
Monthly plan cost with Blu-ray access: $16.99

3 DVDs out at-a-time (Unlimited)
Monthly plan cost: $16.99
Additional monthly charge for Blu-ray access on this plan: $4
Monthly plan cost with Blu-ray access: $20.99

4 DVDs out at-a-time (Unlimited)
Monthly plan cost: $23.99
Additional monthly charge for Blu-ray access on this plan: $5
Monthly plan cost with Blu-ray access: $28.99

5 DVDs out at-a-time (Unlimited)
Monthly plan cost: $29.99
Additional monthly charge for Blu-ray access on this plan: $6
Monthly plan cost with Blu-ray access: $35.99

6 DVDs out at-a-time (Unlimited)
Monthly plan cost: $35.99
Additional monthly charge for Blu-ray access on this plan: $7
Monthly plan cost with Blu-ray access: $42.99

7 DVDs out at-a-time (Unlimited)
Monthly plan cost: $41.99
Additional monthly charge for Blu-ray access on this plan: $8
Monthly plan cost with Blu-ray access: $49.99

8 DVDs out at-a-time (Unlimited)
Monthly plan cost: $47.99
Additional monthly charge for Blu-ray access on this plan: $9
Monthly plan cost with Blu-ray access: $56.99

For now, Netflix has no plans to raise fees for those still renting standard-def DVDs.

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Free trials of Netflix or Blockbuster:

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View all articles by Rachel Cericola
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