One-Third of Netflix Customers May Quit Over Higher Prices: Poll

About one-third of Netflix’s existing customers may cancel their subscriptions in response to the online streaming company’s plan to increase prices, according to an online poll.

The Web site hackingnetflix.com asked its readers how they will react to Netflix’s price hikes.

Of more than 8,300 respondents, 34 percent said they will quit Netflix outright; 31.2 percent said they will go with the streaming-only plan; 20 percent said they will go with a combined plan; 10.4 percent said they will go for the DVD-only plan; and only 4.5 percent said they will transition to another Netflix plan.

Basically, Netflix will divide its streaming and DVD services, charging $7.99 for each (before this, the company had providing streaming and DVD rentals together for as little as $9.99 – which means the price hike amounts to an astounding 60 percent).

The higher prices will be effective immediately for new customers, while existing subscribers will not see their bills rise until September 1.

If the poll is anywhere accurate, Netflix could stand to lose about 8-million subscribers (based on figures as of April 2011, when the company said it had 23.6-million customers). Next year, Netflix will expand into Europe, starting in Spain, so it will be interesting to see how many new customers it can attract with the higher prices).