Cancelled within 30 minutes of reading this.
I had the 1 DVD option. In the past I've streamed a lot, but only when they release certain series that I'm interested in. I had not watched anything on it in months because its selection is @*#(ing sh*t most of the time, and we all know that. I only watched discs every 2-3 months because I hate waiting for things in the mail. I watch all new movies either on Redbox or downloading them.
I watch a ton of movies but Netflix just doesn't quite fit the bill for me anymore and I do not tolerate a 60% increase in cost for anything.
If streaming had a good selection, all new movies available right away I'd happily pay $20/month for it, but even $8/month to watch movies from 2002 or B movies I don't want, it's not worth anything to me.
I believe that in light of the cost increase back in Feb with this happening again it marks desperation on Netflix's part. I think the market is moving in ways that is not good for them and they were forced to react in this manner, despite knowing it would get some bad press. If I owned their stock I would sell it, personally. The future is clearly streaming (physical media so 20th century) and although Netflix is the biggest player in this arena they are competing with much, much bigger companies that are putting their weight behind it. Also it is something that can quickly be expanded. To compete with their disc sales required a distribution network. To compete in online streaming just requires more servers, and if you already have some (e.g. Amazon) you can stand them up in no time.
But I still have a list of 200 things on my queue that I want to watch, and I'd say at least 100 of them are well known GOOD movies, I'll be lucky to get through those.
I realize some people are fine with watching old movies or indie films. For them streaming is a bargain. For me I can spend 10 minutes looking for anything I can be bothered to watch and find nothing. I stopped looking on streaming a long time ago as it never has anything I can be bothered to watch.