Nearly A Third Of Netflix Users Are Considering Canceling Their Service

As Netflix digs itself into a deeper and deeper hole, first hiking prices and then announcing that it would split its service in two, customers are becoming more and more disgruntled.  According to new statistics from Frank N. Magid Associates, nearly one-third of Netflix users are seriously considering dropping the service.

According to the stats, which were collected via a survey conducted the week of August 22, 2011, 30 percent of current Netflix subscribers either plan to cancel their subscription or are thinking about it.  Note that this survey was taken before Netflix CEO Reed Hastings announced that Netflix’s DVD-by-mail service would be split off into an entirely different service called Qwikster, so the numbers are probably even higher now.

Magid reports, “We have developed growth projections that suggest a more serious problem than Netflix’s announcements suggest due to a number of consumers with only moderate satisfaction around their Netflix service and lack of satisfaction with the selection of the streaming content.”  The stats showed that 9 percent of current subscribers said they would cancel instead of switching to a new (more expensive) plan and 7 percent planned to cancel regardless of the price hike.  Another 14 percent are “seriously considering cancelling.”

The study also confirmed that almost 60 percent of Netflix subscribers are also using Redbox and that many of these users plan to use Redbox more in the future as they pull away from Netflix.

If you use Netflix, what are your feelings on the situation?  Will you be canceling your service?  And while you’re thinking about Netflix, why not check out the new Netflix Fail Song about the Netflix-Qwikster split?

Megan O’Neill is the resident web video enthusiast here at Social Times.  Megan covers everything from the latest viral videos to online video news and tips, and has a passion for bizarre, original and revolutionary content and ideas.

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