Raising prices and confusing/angering people with Qwickster made them lose subscribers - who could have guessed?
The folks over at Netflix have something really amazing on their hands that no one could have predicted. They've got an impressive service with a giant subscriber base and it seems like they're at the point where they don't know exactly what to do with it.
That uncertainty has resulted in a series of moves that really upset the subscriber base. First, the company raised prices without adding anything new. People got upset, but price changes happen - it's not the first time and it won't be the last.
Then the folks at Netflix tried to split off the DVD side of the service into a new one called Qwickster. That really didn't go over well and the idea was quickly scrapped. Two big changes in a row was too much for quite a few subscribers and the service suffered for it.
Over eight hundred thousand subscribers have now left the service and, as you might expect, Netflix isn't too happy about it. They're not ignorant as to why it happened though, stating "Our primary issue is many of our long‐term members felt shocked by the pricing changes, and more of them have expressed that by cancelling Netflix than we expected."
Source: Home Media Magazine