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Showing posts with label Blockbuster. Show all posts
Showing posts with label Blockbuster. Show all posts

Sunday, January 13, 2008

My Blockbuster Total Access is still at $17.99

Am I the only person still paying $17.99 for my Blockbuster Total Access Plan?

I have had my BLOCKBUSTER account for quite some time -- ever since they introduced their $14.99 plan, switching (mistake?) from a charter Netflix member with a grandfathered "4-at-a-time" account a couple of years ago. Just for comparisons, mine is the Total Access Premium - $17.99 / month (plus taxes) - 3 at-a-time, unlimited mailings - unlimited in-store movie exchanges - 2 FREE bonus Movie or Game Rental E-Coupons / month.

Blockbuster Total Access options - the lowest is $19.99
I first read about it on Greg Hughes' blog back in December. (I subscribe to Greg's blog through Google Reader) Greg initially found out from an original email:

"To continue to bring you the unmatched convenience of both online and in-store DVD rentals, your monthly subscription fee will change from $24.99 to $34.99. This adjustment† will go into effect on your next billing cycle on or after December 27, 2007. The benefits of your subscription plan will remain the same."
It was further documented that my plan, the $17.99 plan was going to be increased to $19.99.

I did not get the email -- searched my gmail a few different times, but I still did not get it. While I was tempted to post about it immediately and celebrate my "victory" -- I thought it was too soon, and I wanted to wait until my next billing period before raising the flag.

Well, my billing on 01/07/2008 has come and gone -- I am still at the $17.99 rate. See a cleaned screenshot of my account status below. (Please note my usage -- will be discussed below):

Blockbuster Total Rewards account status at the $17.99 rate
Interestingly, if I go to 'change' account, I am only presented with the $19.99 package as my lowest cost option.

Blockbuster Total Access options - the lowest is $19.99
My conclusion? I have seen in suggested, but no confirmation in some of the articles that Blockbuster based this on usage. I believe that my experience is proof that they did.

Over the last few months (since August) I have traveled quite a bit in my role with Intuit. That meant that as you can see from the above account rental counts I do not -- and especially did not during that period -- rent a ton of movies. In fact, there may have been a month or two where I exchange zero DVDs by mail or in-store. I have never used the in-store exchange option and I only used my E-coupons once. Let's just say that I am not what many would call a heavy user of the service.

My suspicion is that Blockbuster ran usage statistics against their customer base and determined an area of cut-off of people that would be 'grand-fathered' due to a lower usage. Anyone above the line was increased, anyone below that cut-off was left alone for fear of either 1) they would definitely leave or 2) it would make them remember they have an account that would be cancelled.

So, what does this mean? It clearly means that Blockbuster selectively choose who they would 'give' the gift of price increases and who they would not. Seems a little questionable if you ask me for 'unlimited' services -- kind of like charging the guy who is 6'5" and 250lb more at the Fresh Choice buffet than you charge that 4'10" 85lb lady that comes in. What do you think?

In terms of an experiment, my usage is greatly increasing this month. I wonder what the chances are that I will get slapped with a price increase (and leave) next month? Either that or they see this post, it stirs up some trouble for them, and they increase me anyways. Stay tuned.

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