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Another Blockbuster Price Increase

Written by Nickel - 49 Comments
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I just got an e-mail from Blockbuster that purportedly contained “Important Account Information.” Upon opening it, I discovered that, in order to continue providing us with “the unmatched convenience of both online and in-store DVD rentals,” they’ll be raising our monthly rate from $17.99 to $19.99. Yuck. For reference, we’re on the unlimited 3-at-a-time by mail plus 5 free in-store exchange plan.

I’m not sure how (or if) their other plans are changing, as they haven’t updated their website to reflect the changes. But given that they just reduced service/raised prices in August, I’m not thrilled about this news. Perhaps it’s once again time to consider NetFlix

Published on December 20th, 2007 - 49 Comments
Filed under: Online

About the author: Nickel is the founder and editor-in-chief of this site. He's a thirty-something family man who has been writing about personal finance since 2005, and guess what? He's on Twitter!

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49 Responses to “Another Blockbuster Price Increase”

  1. 1
    Colin McConnell Says:

    Give Netflix a try! We used to have them, way back in the day when they only had ONE processing center across the US. The only drawback then was the long wait to get the next movie on your list. Now, they have processing centers all over. Or, you could just use the $17.99 / $19.99 for on-demand movies thru your cable / satellite provider. We have every cable channel, so there is always something to watch from the list of HBO, CINEMAX, SHOWTIME, and / or STARZ on-demand.

  2. 2
    Matthew Says:

    I have the $9.99 1-at-a-time plan, it’s going up to 11.99. The benefit I have over your plan is I still have unlimited exchanges in store. If that changes I’ll definitely be switching to netflix.

  3. 3
    shannon Says:

    I switched to Blockbuster for the in-store swaps but my plan went from $19.99 to $29.99 in those two increases and I’ve lost services I use. (I decreased the number of movies at a time and no more free game rentals :( )

    I am switching today.

  4. 4
    That One Caveman Says:

    Our Netflix for 3-at-a-time price is $16.99 a month, and that includes 17 hours of online on-demand viewing from their site, too. I haven’t used that feature on my account, but that certainly sounds like more of a value than $20 a month for basically the same thing.

  5. 5
    nickel Says:

    Colin: We’ve used Netflix in the past, and they were fine. That being said, we’ve grown accustomed to the in-store exchanges. With two adults and four kids in the house, the in-store thing is great for balancing the types of movies we have one hand without totally micro-managing our queue. The in-store exchange also cuts down on turnaround time in that they ship the next movie in line as soon as you trade your movie in at the store.

    Caveman: The problem is, it’s *not* basically the same thing. For the extra three dollars, we get five in-store exchanges. Yes, we have to go to the store, but we’re often over that way anyway (it’s next to our grocery store). I hate prices increases as much as the next guy, but our family room isn’t set up for convenient viewing of online on-demand movies. See also my comment above about balancing our viewing needs and the reduced mailing time.

    I’m pretty torn about this, but honestly, I think the convenience of Blockbuster is *still* worth $3 more than Netflix.

  6. 6
    Michcelle Says:

    How much are DVD at Best Buy?

    new go from 14.99 to 19.99.

    so go ahead and cancel, your membership,
    and start buying movies.

    I rent about 12 movies a month from BB TAccess

    thats about a 215. dollars in savings.

    I’m all about saving money, as long as I sace money I’m ok.

    Money is not everything, Enjoyment is.

  7. 7
    nickel Says:

    Ummm, Michelle… Nobody said that online rentals are a bad deal. The question is whether you get the best value from Netflix or Blockbuster. And as I said in my last comment, I think I still prefer Blockbuster over Netflix even with the price differential.

  8. 8
    Independent George Says:

    As I understand it, Blockbuster loses money from its online rentals, even after the price increase; it was intended to be a loss-leader until they could figure out the logistics chain, but that turned out to be a lot more difficult than they anticipated. Given your preferences, you should probably stick with it, but I would be prepared for another price increase this year.

  9. 9
    Kara Says:

    I have the 24.99 plan which is 3 at a time mailed and unlimited in store exchanges. I just had a price increase in August which hiked it to the 24.99. I just received notice myself and the 24.99 plan is going up to 34.99!!! I’m sorry but that’s just ridiculous. The only reason I even switched from netflix to blockbuster was for the instore exchanges. I am switching before my next billing date in January. I also emailed their customer service about it but doubt they will do anything different. I wondered how long it would last before blockbuster decided to do this. It was a classic bait and switch. Get us hooked on the convenience of it and then raise the prices. Makes me angry because it just shows how little they value their customers.
    Ah well, Netflix will be happy because i’m sure i’m not the only one who will be switching back.

  10. 10
    Kira Says:

    I got the notice that the rate for my 2-out membership is going from $21.99 to $29.99 a month on the 27th and my billing date is the 27th. I went ahead and canceled it last night and re-joined Netflix. Goodbye 80% increase in 4 months and hello Netflix, sorry I left.

  11. 11
    Jeff Says:

    I too got the increase. I’m wondering if this is a case of throttling since I’ve rented 21 movies online, and probably about 19 from the store since I started the plan November 27, 2007. I don’t plan on renting this much in the future- I just happen to have time at the moment.

    What I don’t like is:
    1. This seems like bait and switch or even throttling the high usage customers out of the plan.
    2. The new rates aren’t found on their website.
    3. When I sent an e-mail to the customer service regarding their rates, I got a canned response that didn’t address my question. See below for email exchange.
    4. When I view my account on the Blockbuster website, there is no notice that there will be a price change. Not when I log in, not on any of the links for my account. If this is a global increase to anyone, how will people who don’t get the emails (due to spam blocker, etc.) know that their plan is changing? Seems like bad business policy.

  12. 12
    Jeff Says:

    Here is the email

    Subject
    Rate increase

    Discussion Thread
    Response (Josweeh) 12/20/2007 06:02 AM
    Hello Jeff,

    Thanks for contacting BLOCKBUSTER Online Customer Care.

    Our goal is to strike the right balance between providing great value to our subscribers and getting a fair return for the company and our shareholders. We want to provide a variety of subscription plans to meet the needs of all our customers, both in-store and online. It’s important for us to give consumers the most convenient access to media entertainment, whether that’s through our stores or by mail, and are dedicated to doing that with flexible plans and pricing.

    We’ve reviewed our pricing structure and have found that to get a better balance of providing great value for Total Access subscribers while still making it affordable for us, as of December 27, 2007, we have restructured the prices of our Total Access subscription plans.

    Please note that we’re not changing any plan benefits; you’ll continue to get all the same great benefits and value from Total Access. Of course, you’re always free to change your plan.

    Sincerely,

    Josweeh
    Customer Care Associate
    BLOCKBUSTER Online
    Customer (Jeff ****) 12/20/2007 02:05 AM
    I just received an e-mail from Blockbuster that my subscription will change from 24.99 to 34.99 per month. However, I do not want to pay this much, and all the prices listed on your website show that the price should be 24.99 for 3 movies and unlimited in store exchanges. Where can I find the new rates so that I can determine if I will be continuing a rental policy through Blockbuster?

    Thank you,

    Jeff ****

  13. 13
    Jason Says:

    I have been on Total Access since about 2-3 months after its implementation and I was on the in-store deal for a few months before that which was 3-at-a-time for like $14.99/mo.

    My online Total Access is $14.99/mo for 3-at-a-time, unlimited in-store exchanges and two coupons a month.

    My email states I’m going to be charge $19.99/mo on my next billing cycle – regularly a $34.99 value. This is a $5 increase for me and some may not think it is a lot but I was a very early adopter so I got a better initial rate than many late-comers.

    I love the convenience of the in-store exchanges. I average about 4-6 movies a week between the mailed ones and store exchanges depending on how busy I am with family, work and school. So, $19.99 really isn’t a bad deal for me if you multiply 24 movies a month times $4.99. It’s actually quite a savings although I would never watch this many if I had to pay $4.99 for each movie. I’d be watching reruns of Law & Order on USA Network.

    This all being said, I’m bitter about my increase because I am a long-term, early-adopted customer. I’ve seen more movies than I ever thought I would. That’s probably why I am getting an increase because I’m one of those customers they really didn’t want — someone who actually used and abused the program to its fullest!

    So, I will probably stick with BB over NetFlix until NetFlix gets in-store exchanges.

    What should make or break your decision of BB vs NF is the in-store exchanges. If you pay $34.99 for unlimited exchanges and you actually use the exchange program, I think in the end it is worth it. If you don’t watch enough movies to justify the expense, then maybe NF is a better alternative.

    For me, my wife and two kids, I think I may have to stick with BB even with the $5 increase because it allows more flexibility for all of our different viewing pleasures.

  14. 14
    Cheapster Bob Says:

    I’m seeing Blockbuster stores closing their doors left and right around here.

    I think they will eventually go to the mail system only and will close all stores.

    I just got back with netflix as I have a laptop and the watch now feature is sweet. All the Chuck Norris B movies I could ask for!

  15. 15
    Justin Says:

    Netflix just dropped their price again to $15.99 for their 3-at-time plan. I don’t think the blockbuster in store return/pickup is worth $50 more per year.

  16. 16
    Matt Says:

    The plan for BBI is to a.) drive more traffic to stores where they’re trying to sell more stuff (probably won’t work), and b.) move to smaller store formats to reduce costs. Which will only work if they can find conventient locations.

    The problem with NF’s on-line movies is that we’re 5+ yrs away from the bandwidth and TVs to make it usable for the general population.

    NF could partner with grocery stores, like banks do. Just a small area to rent movies, and they’d blow BBI away. As 5cent said, the in-store exchange is incredibly nice when you have a young family. I know it’s greatly eased my bruden in managing the queue and kept my wife happy. Which is most the important piece of all :)

  17. 17
    Noah Says:

    I just got this e-mail today…I was on the 3 at a time, unlimited mailings and in-store exchanges for 24.99. I was already really upset that they jacked the price up earlier, but now this…going all the way to 34.99 per month? Forget that. I only had 30 left on my list there anyways. I am just stuck in a bad position though because my bill cycle goes from 12/16 to 1/16 and they say it’ll take effect “on or around” December 27th…

    They have already charged me for a months paid in advance…will I be fine if I cancel on the 15th of January or so or are they planning on charging me ONCE again for ANOTHER month even though I’ve paid for it upfront already?! Please someone let me know…

    Thanks,
    Noah N.

  18. 18
    Dale Says:

    We’ve been happy Netflix customers since early this year. We’re on a 3 at a time, unlimited exchange plan. If I drop DVDs I’m returning at the main post office which is right on my way to work, I typically get the next DVD two days later. If I mailed them from home, I know it would add at least a day, probably two because our mail is picked up at 5:00pm.

    I’ve found Netflix’s selection excellent. Their handling of problems when I have received damaged DVDs has also been excellent. They send the replacement DVD immediately.

    We haven’t made heavy use of the on-demand movies, but we do use the feature. It has allowed us to watch movies even when we are currently waiting for exchanges of all three of our selections.

  19. 19
    Gautam Says:

    Second increase in 3 months!!!!My price went up 100% 4.99 to 9.99…r they nuts!!! This is day light Robbery. Goodbye blockbuster…..and good luck and hope you are around the block a year later….though i doubt that….

  20. 20
    Jason Says:

    I don’t justify BB increases especially if I eventually have to pay $34.99…BUT…just like all businesses, costs increase so they have to recoup those costs from somewhere. So, the initial processes is to screw over the very ones that are paying the salaries of upper management — the customers.

    Again, I will drop the service and go back to TV reruns if I end up paying higher than 19.99 tax, but you can’t really blame a business for wanting to remain in business. If NF had brick and mortar stores, they would be in the same predicament.

    I’m upset just as much as the next person but as I said $20 is still a great deal for my DVD renting/watching habit. 4-6 movies a week at $4.99 is like $80-120 for me.

    NF has a good deal but when I get from BB movies in the mail today, watch them in 1-2 days and then trade them for 3 more movies and then, depending on the day, I can get 3 more in the mail before the week is over. So, even 6 movies in one week is roughly $30 which is very near the $34.99 a month but in one week.

    Now, don’t bash me for my rational explanation of the BB increase because I will continue to evaluate my plan if further increases occur. I just can’t justify blatant BB bashing when you aren’t actually comparing apples to apples. One is mail order/online versus mail order/brick and mortar.

    By the way, I just ran to BB and exchanged 3 envelope movies for 3 in-store so I’m on my 7-8-9 movies for the week. I then was driving near another store that is about 2 miles away that now says on the side “Blockbuster Media”.

    What’s that about?

  21. 21
    Jeff Says:

    This was one of the first times I returned to using Blockbuster in several years. I started the plan at the end of November, and did so hesitantly as I still have flashbacks of the exhorbent and fraudulent late fees that Blockbuster charged people. I witnessed first-hand my father being charged a late fee for a 2 day rental that we got on a Wednesday afternoon and returned Friday afternoon. They explained 2 days meant Wednesday and Thursday- not 48 hours.

    For me, $34.99 is a lot to pay considering the other programs that are offered by NetFlix, Inteliflix, and in-store Hollywood video.

    One other option that I just found out about is Hollywood video. They have a plan that is 2 movies out at a time for $24.99 that allows customers to go to the store, get 2 movies and when the movies are returned, get 2 more. For $29.99 you can get 3 movies out at a time. While the Hollywood selection can’t be as volumnous as Netflix or Blockbuster’s, a person/family could get 6 or more movies each day if they really wanted to. Since Hollywood video is the same distance as it is to Blockbuster for me, I will be switching to Hollywood video.

    It seems like the same people are setting policy at Blockbuster who set the late fee policy several years back. They tell us the rates are changing, but do not inform us about what the other new options and prices will be. I just looked at their website again, and there is no mention of the new pricing schema.

    My prediction is that this will start to signal the end of Blockbuster. We remember their shady business practices of the past and many of us will permanently boycott them.

    I also have to comment on the person who stated that it’s still a deal considering new movies are $14.95 or more each and, when figured saves about $215 per month. The problem with this is 1) I am renting the movie and not retaining ownership of the movie/disk. 2) I would never pay $15 to own “Grandma Got Run Over by a Reindeer. :p”

  22. 22
    Jase Says:

    Haven’t read anyone’s post who got screwed quite as much as I did. When I first switched to BB from Netflix, it was a great deal. I got one movie at a time with unlimited exchanges for $8.99. I left BB when it nearly DOUBLED to $16.99 when they started charging for the ‘Total Access’.
    I came back a couple months ago (mostly for my queue) and today got my email that it is increasing to $21.99! I honestly thought the email might be a scam/prank! That’s how ridiculous it seemed.
    Those of you who are sticking with BB are most likely those who have been ‘grandfathered in’ to better rates. I like being able to change out movies at the brick-and-mortar (and endure the employee’s sales pitch) but come on, from $8.99 to $21.99 in about six months time? I would think most customers would want to switch based on principle.

  23. 23
    nickel Says:

    Jase: I’m not grandfathered into anything. I have no idea what plan you’re on, but it must have unlimited in-store exchanges because our 3-at-a-time, 5 exchange plan “only” went up $2. I’m not happy about it, but we get more than $4 of added value vs. Netflix, so it’s still the best deal for our circumstances.

  24. 24
    Happy Steve Says:

    Ha, now I’m super glad I dropped their service since the last time they raised prices (and dropped the e-coupons).

    What I’m loving now are those RedBox movie kiosks. $1/night for a new release is super-mega-awesome!

  25. 25
    Robby Colvin Says:

    I was not happy about the last price hike and I am now very upset about the new one. $34.99 a month now? I’m looking at the Netflix plan where I can have 3 movies out at a time for $16.99. Now although that doesn’t include the Total Access, which I love, it does have unlimited PC downloads which is pretty cool. So for half the price I go without Total Access, but I can still have all the movies I want. With all the stores closing and all the money they’re losing, I’m afraid stuff like this will just get worse.

    I’m switching.

  26. 26
    Andy Says:

    You could always get a 6 month gift rental before the 27th and lock in on the existing rates (but you would be paying upfront though).

  27. 27
    Joe Says:

    They’re prices are INSANE – as Crazy Eddie used to say. I think I was one of the first to join NetFlix many years ago and was loyal for quite some time. I then relocated and noticed a BB very close by. I switched. I was happy like most of us were in the beginning. First they dropped the coupon (1 free game or movie), then the increase to ~$25 and now the increase to ~$35. In times like these this is a huge risk for BB. Like many I e-mailed BB and Renen (Customer Care Assoc) told me to e-mail the Executive Management (online.consumerrelations@blockbuster.com) “who would be glad to receive your comments and suggestions” Here they are:

    Dear Executive Management,

    I am writing because I don’t feel that the cost increase from $24.99 to $34.99 a month is appropriate for this service. You guys went from 17.99 ($1 more then NetFlix) to $24.99 very recently. Now another huge increase of $10 a month. This is completely unacceptable – it is robbery. I can’t believe that you have exhausted all your options and then some finance guy said – the only way to survive is to stick it to the customer by increasing fees by $10 and you people agreed!

    You are going to lose customers in DROVES! Did you ever think of increasing fees AND adding video game rentals to the mix? You are increasing my fees without any benefit to me. How about sending me monthly coupons (5 a month) sent via e-mail – when they are used up I have to wait until next month to do in store renting?

    I don’t see this as a good move for blockbuster – I see this is as a turning point – and one in the wrong direction unfortunately. Think about it. $35 a month for this service. There are times where I don’t go to the store for weeks so how does that factor into the cost? It doesn’t – just a flat fee.

    Happy Holidays! Hope you guys figure this out but the courtship back from NetFlix is going to have to be really strong…

  28. 28
    Red Eye Says:

    I think the reason they are not putting the prices on the website is because they are increasing some people and not others. I don’t have cable so I use the in-store exchange thing like crazy. Combine the rate increase with the fact that half the movies on my list are in permanent “very long wait” mode and you can count me out from using BB again. And I think that is what they want. I think its time to rediscover those square paper things called books. :)

  29. 29
    Zelmo Says:

    I have been a BB member (2 rentals/unlimited) and they 1st raised the price without notification. Now they have increased the price to 34.95. We, the people should UNITE and BOYCOTT those price gouging robber barons. If the people STOP getting abused, then maybe they will get the message. NO MORE BLOCKBUSTER! BB cares nothing about its customers. Just $$$

  30. 30
    Rory Says:

    Wow. BBV never ceases to amaze me. Classic bait-and-switch. Their 3-at-a-time plan is now almost double the cost of Netflix? $29.99 vs. $15.99? In-store exchanges would be nice, but not THAT nice.

    Bottom line, both BBV and Netflix better be ramping up their online streaming options if they want to compete with the upcoming iTunes Movie rental service and associated hardware (updated appleTV/Mac Mini?) to be announced by Apple in 2008.

  31. 31
    fu bb Says:

    I’m pissed too, but I’m still considering keeping them. I average 6 movies per week or 24 per month
    for $19.99 with the in store exchange. I will, however, keep their in-store exchange movies for an
    extra long time so they can’t get business off of those dvds. It will hurt them more than the $2
    charge increase they are giving me. Imagine if everyone either quit or kept movies out longer than
    the 2 day rental time frame. You can do that without a charge. Both of those would hurt their business.

  32. 32
    FlatGreg Says:

    I signed up for blockbuster online when it first started. 3 movies out at a time for $14.99. I decided to quit, and when I did they offered me 4 movies for the same price. My point is if you’re not happy with the price, go ahead and cancel and there’s a chance you’ll get a sweeter deal.

  33. 33
    Andy Says:

    Did any of you have the Blockbuster Total Access plan that also provided e-coupons? I was enrolled in a plan that offered 1 e-coupon a month, but of late they have not been issuing these e-coupons.

    I am wondering if I missed an announcement that indicated that they are discontinuing this.

  34. 34
    Red Eye Says:

    I had the total access but did not have any coupons with mine. Whats so irritating to me about all this is that Blockbuster set the terms of the deal and now are acting like an all you can eat buffet that decides that it only will serve women and old people because those guys can eat too much. If you don’t mean all the movies you can rent then don’t advertise that way. Throttle back. Half your movies in permanent “very long wait”. Double your rates. Its obvious they don’t want some of us as customers and thats fine with me. Just have the balls to tell us that.

  35. 35
    r Says:

    Just found out my rate was going up from 9.99 to 11.99. I know it’s only 2 bucks, but I canceled mainly on principle. I don’t feel they should be raising the rates for existing members. I won’t rent from their stores anymore either. Too expensive and they obviously don’t really value their loyal customers.

  36. 36
    Jason Says:

    I joined at the beginning and have the 3-at-a-time, unlimited exchanges, 2 coupons a month deal. I started at 14.99 and was just raised to 19.99. My friend joined about 6 mos or so after I did and she paid 17.99 going to 19.99. She lost her two coupons a month and now has 5 exchanges a month (I think). I still have unlimited exchanges with 2 coupons a month.

    I don’t watch movies on my computer so the download feature of Netflix doesn’t appeal to me…yet. If the prices of BB continue to raise, I may rethink everything.

  37. 37
    JB Says:

    I’m concerned. I’m a blockbuster total access customer as well but I haven’t been notified of a rate increase. This means it happened without me noticing (auto pay) or it’s going to happen. I get one movie at a time with the in store exchange option for 9.99 a mo. I really like the in store exchange and the movies come pretty quickly. We’ll see what happens..I understand they have to raise prices at some point…but then again, when people sign up for a package they aren’t expecting it to increase suddenly (and dramatically)

  38. 38
    DB Says:

    Wow… I’m angry to say the least; but truly what should one expect… never blame the Top, everyone knows that poop runs down-hill.
    With the increase going to $24.99, I didn’t like it, but I was willing to stay on as a Online Total Access subscriber.
    But all of this has changed now… and honestly I looked at the pros & cons of both -(I was basically giving Blockbuster a chance); but after reading several media releases and reading the comments made by their (super-clown) CEO & P.R. Staff… Good-Bye BB.
    This clown had the audacity to basically call Loyal Customers, “… Wrong Sort, Heaviest Consumption & Price Sensitive” Customers!

    With the means to track Consumer useage of the various Plans (including Online Total Access Plan- Unlimited), I can only assume that No one bothered to also check & find out that many of these “Wrong Sort…” users were not only Total Access Plan-Online Consumers, but still very active In-Store Consumers!
    Talk about “Kill Two Birds with One Stone”… how about kill an entire species with one stone! If there’s to be someone or people who are “responsible” for BB’s losses… again why did No one bother to FIRE the brilliant mind behind the plan if it was so horrible! With unlimited (no pun) resources available for market analysis… (you know, all of the business lingo) did no one in this huge world reknown Corporate Entity do their homework???
    Seems to me that the wonderful CEO would/should have at the very keast known and given some type of go-ahead Nod to the launching of this “expensive & unprofitable” campaign be allowed to start.
    Shame on you BB… why pick on & lay blame to loyal customers? Well, I must confess to all, I’m no MBA so what would I know about dollars & cents or is it sense… never the less, for a consultation fee of… let’s see, how about $34.99/month… I could put $$$ back into everyone’s pockets.
    Lets start (at the TOP) by canceling stock options, bonuses & having the Head (CEO, CFO and all other “O”s & Big-Whigs) voluntarily institute a pay cut in their salaries in efforts to pull sinking BB from it’s sure watery grave OR would this be “Price Sensitive”?! Oh how wonderful it would be to see such a thing happen, this would truly be inspiring to the thousands of BB employees (grunts)already under the Corporate SpotLight!

    http://www.secinfo.com/d14D5a.u4GAx.htm

    PLEASE visit this website, read all of it and be sure to note paragraph #3 (This Public knowledge)… and I took the liberty of this excerpt: [it's sickening... "price sensitive... yeah right!!!]

    Mr. Keyes will receive an annual salary, to be determined by the Board, of not less than $750,000 per year and will be entitled to receive, in addition to his base salary, an annual bonus in an amount not less than $500,000, subject to the terms of Blockbuster’s Senior Bonus Plan (the “Senior Bonus Plan”). With respect to the bonus applicable to calendar year 2007, Mr. Keyes will receive a guaranteed pro rata amount of the bonus based on his period of employment during 2007, although Mr. Keyes may receive a higher bonus if he is so entitled pursuant to the terms of the Senior Bonus Plan. Each year, the bonus will be paid in the form of fully vested shares of Blockbuster class A common stock (the “Common Stock”).

  39. 39
    Craig Says:

    I received my notice and promptly canceled my account. Watch out – the late fees will be returning soon.

  40. 40
    Rod Says:

    Hello Anonymous Member,

    Thanks for contacting BLOCKBUSTER Online Customer Care.

    We sent out an e-mail communication informing you of the recent changes to our subscription plans. Perhaps this e-mail was automatically routed to a SPAM/Junk folder or possibly overlooked. Unfortunately your old plan is no longer associated with your account. Our goal is to strike the right balance between providing great value to our subscribers and getting a fair return for the company and our shareholders. We want to provide a variety of subscription plans to meet the needs of all our customers, both in-store and online. It’s important for us to give consumers the most convenient access to media entertainment, whether that’s through our stores or by mail, and are dedicated to doing that with flexible plans and pricing.

    We’ve reviewed our pricing structure and have found that to get a better balance of providing great value for Total Access subscribers while still making it affordable for us, as of December 27, 2007, we have restructured the prices of our Total Access subscription plans.

    Please note that we’re not changing any plan benefits; you’ll continue to get all the same great benefits and value from Total Access. Of course, you’re always free to change your plan.

    As for the refund request, unfortunately, we cannot issue you refund because there are no refunds for any time period (or portions thereof) already billed or paid for. I am very sorry for whatever problems this has caused you. Please let me know if I may be of further assistance.

    Concepcion
    Customer Care Associate
    BLOCKBUSTER Online
    Customer (Anonymous Member) 01/02/2008 01:52 PM
    Dear Blockbuster Online,

    This is a complaint on the quality of service I have received.

    When I initially started my membership with Blockbuster Total Access, I was under the $17.99 plan which included 3 DVDs at a time, unlimited store exchange per month, and a once-a-month free coupon to rent a video game. Two to three months later, I switched to a $9.99 plan which included the same features but only 1 DVD at a time. I didn’t like this plan so I switched to a $14.99 plan which consists of 2 DVDs and the same features. I really liked this plan because it met my needs, thus my account stayed like this for about 6 billing cycles; until, without notice, I was forced to switch to a new plan of $19.99 for the same features with one exception, this new plan did not offer the free once-a-month coupon. I can live without the coupon because I think that a $19.99/month plan which consists of 2 DVDs and unlimited movie exchanges was a good deal. But when I started noticing that Blockbuster has not been shipping my movies on time as well as having problems with my queue, this has put a dent on the excellent service that you Blockbuster have been providing.

    Today, I learned that my account was charged $32.46 and when I logged on to Blockbuster.com, I found out, again, without notice, that my account was switched to a premium of $29.99, hence that is two times more than what I use to pay for, for the same service/features I get less the online coupon. I believe, as a customer, I have the right to be notified of such changes. That way I will be better prepared and can decide early on whether to keep the account open.

    I am very unsatisfied and demand compensations, I am requesting the following:

    1. Blockbuster to revert my account to how it was on the previous billing cycle and to bill me $23.80 ($19.99 a month), instead of the $32.46 ($29.99).
    2. I would like the difference ($8.66) to be refunded to my account.

    Also, I want the online coupon because some other members I know still have it.

    If you are unable to accept these terms, I want you to cancel the account and would like the last billed cycle (01/02/2008) to be the last time my account gets billed.

    Sincerely,

    A very unhappy customer

  41. 41
    Carol Says:

    We switched back to Netflix when they took away the in-store exchanges on our plan. I’m so glad we did! We’ve been renting TV series discs as opposed to actual movies, and Blockbuster’s service was getting slower and slower. At one point, we actually didn’t receive a disc for almost a month. Customer service informed us that the top 30 selections in our queue were not available from our closest center. So as a “service” they just didn’t ship anything, so we wouldn’t have to wait for it to come from another processing center. Yeeeeaaaaah… thanks.

    Netflix, on the other hand, is clean, simple, and promptly provides a new movie (or rather, four episodes of Charmed) at every turn. :)

  42. 42
    Red Eye Says:

    And you notice the losers website has been down all day. First the incompetents said they were updating to make the site better and after half a day they just said they were having problems. Like that is news to us. Just a few more days and right before the new charge date I will cancel them forever. Screw blockloser.

  43. 43
    Tim Says:

    I initially was an early subscriber to Netflix and was excited when a distribution center was built in my hometown. Even with a local distribution center, the time between mailings really didn’t change. That is when I noticed that the addresses on return envelopes where not to my local store (I live in Washington state and some mailings were being returned to New York or Florida). So with pen in hand, I would cross out an undesirable return address and write in the one of the local distribution center.

    This worked for awhile until I (along with many others) got throttled for renting too many movies. Delays of five or six days were not unheard of compared to the usual three day turn-around. Odd thing was, I returned my Netflix movies to the same post office where Netflix would pick their movies up. I work only a few blocks from the Netflix distribution center. So I spoke to my local postmaster and he told me that when I drop my movies off at their postoffice in the morning, they immediately put my movies in the Netflix box. A Netflix employee would stop by between 9:30 and 10am to pick up the movies. Yet, it would take Netflix sometimes three days to acknowledge the return of my movie.

    Calling customer service was always a joke. More often than not, Netflix would blame the U.S. Postal Sevice for delays. Each time I would tell them exactly where I dropped my movies off. I was told to try a different post office!

    I’m usually polite, but dealing with Netflix you need to use a firm hand (and very short and simple sentences – forget about logic). Several times a year, when Netflix tries to throttle, I make a phone call and restate my story. After the little gerbil makes a few rotations of the wheel, the Netflix employee reduces my rate for another month.

  44. 44
    Ken Hanscom Says:

    Interestingly, my plan has not changed — was $17.99 Total Access Premium with unlimited in store exchanges. No changes for me.

  45. 45
    Ross Says:

    I started with the 1 per month unlimited plus 1 or 2 e-coupons (I forget which). Then they started the Total Access, Unlimited, which was great. There is a Distribution Center nearby, So I probably could get 2 /week if I really tried hard (watch immediately) (I never felt throttled – kind of tough with 1). My average over the last 17 months is 5.5.
    Anyway, they first took away the coupon, then reduced the Total Access to 2/month, and ALSO CONVERTED THE STORES TO OVERNIGHT RENTALS ONLY.
    Basically, this means my 2 ‘free’ Total Access rentals are only free for one day, then a 99 cent fee per day after! All the local stores (Rochester NY) are like this – they lowered the rental fee at the store but only allow 1-day! So it is the return of Late Fees!

  46. 46
    Todd Says:

    If I did not authorize Blockbuster to charge me $34.99 can I simply dispute it with my credit card company? Can we all? Blockbuster said they will not refund even a partial amount if you cancel.

  47. 47
    Rory Says:

    Todd: Good luck disputing with the credit card company. You can try, but from things I’ve read, I think the CC companies are allied pretty closely with the retailers.. They don’t like to reverse charges.

    Blockbuster is owned by greedy media conglomerate Viacom and they are evil. I encourage reporting them to the Better Business Bureau and signing up for Netflix.

  48. 48
    LC Says:

    Last night I talked to someone at a Blockbuster
    store. They told me they are still getting a 3 at a time UNLIMITED in store
    exchanges for $19.99. In other words they were never subjected to any of the
    price increases or change in terms that Blockbuster imposed on some of us with
    little notice. I emailed Blockbuster online about this. Here is the response I
    received:

    Thanks for contacting BLOCKBUSTER Online Customer Care.

    Based on usage,
    some customers won’t see either an increase in price or a change in plan terms.
    Some other customers will be given the option to move from a plan with unlimited
    in-store exchanges to a plan with monthly limits on exchanges, but at no price
    increase from their current plan. Finally, again based on their usage, some
    customers will be given the option to stay on their current unlimited plan, but
    at an increased price.All Blockbuster members have a choice and can always
    change their current plan to another offering.
    Sincerely,Edgar
    Customer Care Associate
    BLOCKBUSTER Online

    So, on top of the “next business day” issue, the huge price
    increase, and significant change in terms, I find out Blockbuster used some
    arguably arbitrary criteria to allow some customers to keep the original terms
    and price while the rest of use saw huge price increases and / or a material
    change in terms. Again, I would suggest you contact the BBB and your state
    Attorney General.I asked Blockbuster for clarification and specific details
    about the criteria used. I will post those when I receive them.

  49. 49
    Liz Says:

    I am about ready to switch to Netflix if Blockbuster doesn’t go back to the old policy which is get 3 movies in the mail, watch those, take those 3 movies back to the store, get 3 in-store movies and the 3 movies that came in the mail will be sent back and 3 more sent. Now, they have taken that away, saying they had too many complaints from people about there being due dates. I think that was a bunch of bs. Now I am hearing from the same blockbuster employee that they were losing money, and that is the reason why they changed the policy. Now the movies that I rent from the in-store, I have to watch immediately and take them back to the store before they will send me anymore movies in the mail. The PROBLEM with this is that my store doesn’t open most of the time until NOON and even then it is hours I mean HOURS before they check these movies back in. WE ARE AT THEIR MERCY & I AM SICK OF IT!!!!!!!!!!

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