December 20, 2007

Blockbuster just lost a customer

I just received this in an email today:

To continue to bring you the unmatched convenience of both online and in-store DVD rentals, your monthly subscription fee will change from $17.99 to $19.99…The benefits of your subscription plan will remain the same.

So why exactly am I paying more if I’m not getting any added benefit? It probably has something to do with the fact that Blockbuster is losing colossal amounts of money on their “Total Access” plans, which aren’t really “total access” any more since they started limiting the number of in-store exchanges you can make per month.  Not exactly good business.  First, you offer a great plan.  Then, you reduce the benefits of that plan.  Then, you raise the price of that reduced plan.  Then, you lose customers.  Nice.

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