--- title: "Tuesday Buzz: How Netflix Navigated a Price Increase" id: "35491" type: "post" slug: "tuesday-buzz-how-netflix-navigated-a-price-increase" published_at: "2016-10-18T19:04:52+00:00" modified_at: "2026-03-16T17:45:55+00:00" url: "https://associationsnow.com/2016/10/18/tuesday-buzz-how-netflix-navigated-a-price-increase/" markdown_url: "https://associationsnow.com/2016/10/18/tuesday-buzz-how-netflix-navigated-a-price-increase.md" excerpt: "Despite raising its prices, Netflix actually saw a huge surge in subscribers during its most recent quarter. The reason? It offset the increase with additional value. Also: The roller coaster of event emotions." taxonomy_category: - "Marketing / Communications" taxonomy_post_tag: - "AssociationsNow" - "Business" - "Customer Value" - "Marketing" - "pricing" taxonomy_content_format: - "Article" taxonomy_role: - "Association CEO / Executive Director" - "C-Level" - "Executive Team" - "VP" taxonomy_persona: - "Association Professionals" --- [Home](https://associationsnow.com/) » [Articles](https://associationsnow.com/format/article/) » Tuesday Buzz: How Netflix Navigated a Price Increase Sometimes, price increases can scare away your members. But they don’t have to—especially if your benefits remain worth the cost. Case in point: Netflix. At times, the streaming company has struggled to raise its prices without facing consumer backlash—most notably in 2011, [when the company was criticized (opens in a new tab)](http://www.huffingtonpost.com/2011/10/10/qwikster-netflix-mistake_n_1003367.html) for its attempt to spin off its DVD-delivery service from its streaming service. In its most recent quarter, however, the company had no such problems—it raised its prices by $2 for long-term subscribers and ended up seeing a big gain in overall subscribers worldwide (3.6 million, far above analyst estimates of 2.3 million), while churn remained minimal. The reason? The benefits of the service were clear to customers—particularly in this quarter, when the network had a breakout success in the form of its original show *Stranger Things*. “When we have some big originals it definitely grows the business,” CEO Reed Hastings said during a conference call, [according to USA Today (opens in a new tab)](http://www.usatoday.com/story/tech/news/2016/10/17/netflix-adds-36-million-subs-beats-q3-earnings-expectations/92304088/) . Obviously, Netflix is a for-profit business—one that’s seeing a massive surge on the stock market on the back of this news. But the basic idea is most certainly applicable to associations: If you want to navigate a price increase, ensure that members are seeing comparable value from the increase. ### Ups and Downs > [Infographic] 10 Roller Coaster Emotions of Event Planning: [https://t.co/wdzdjetSLm (opens in a new tab)](https://t.co/wdzdjetSLm) > [#EventProfs (opens in a new tab)](https://twitter.com/hashtag/EventProfs?src=hash&ref_src=twsrc%5Etfw) > [pic.twitter.com/tUkc0PXUMy (opens in a new tab)](https://t.co/tUkc0PXUMy) > > — Eventbrite UK (@EventbriteUK) [October 11, 2016 (opens in a new tab)](https://twitter.com/EventbriteUK/status/785789781934505984?ref_src=twsrc%5Etfw) **Planning an event** can evoke a lot of emotions—the initial excitement, then the anticipation, frustration, and doubt. It can get a little all over the map, honestly. EventBrite has a new infographic on its site, highlighting just how up and down things can get. [Check it out over this way (opens in a new tab)](https://www.eventbrite.co.uk/blog/10-roller-coaster-emotions-event-planning-ds00/) . ### Other Links of Note **Good read of the day:** [Fast Company has a lengthy feature (opens in a new tab)](https://www.fastcompany.com/3064068/chipotle-eats-itself) about the leadership challenges Chipotle has faced since a food-poisoning outbreak created severe momentum challenges for the fast-casual giant. **“Don’t just gab about what is important to your group.”** At *Association Executive Management*, David M. Patt [highlights some strategic considerations (opens in a new tab)](http://aem-patt.com/aem-blog/index.php?itemid=2158) for your public relations campaigns. **Marketers in the startup space** are very much worth learning from. On the Buffer blog, the company’s Alfred Lua [offers a list of marketer blogs to watch (opens in a new tab)](https://blog.bufferapp.com/personal-blogs) . (Netflix) [Ernie Smith](https://associationsnow.com/author/ernie-smith/) Ernie Smith is a former senior editor for Associations Now. [More articles by this author](https://associationsnow.com/author/ernie-smith/) Tags: [#Business](https://associationsnow.com/tag/business/) [#Customer Value](https://associationsnow.com/tag/customer-value/) [#Marketing](https://associationsnow.com/tag/marketing/) [#pricing](https://associationsnow.com/tag/pricing/) **Stay Informed** [Subscribe to our free newsletter](https://associationsnow.com/newsletter/) , *Associations Now Daily News*, to find out what’s happening in the association world every business day. ## You Might Like - [VideoRecap from the 2025 ASAE MMC+Tech ConferenceMay 19, 2025](https://associationsnow.com/2025/05/19/recap-from-the-2025-asae-mmctech-conference/) - [VideoSneak Peek: Highlights from Day 2 of the 2025 ASAE MMC+Tech ConferenceMay 14, 2025](https://associationsnow.com/2025/05/14/sneak-peek-highlights-from-day-2-of-the-2025-asae-mmctech-conference/) - [VideoDaily Recap: Day 1 from the 2025 ASAE MMC+Tech ConferenceMay 13, 2025](https://associationsnow.com/2025/05/13/daily-recap-day-1-from-the-2025-asae-mmctech-conference/) - [VideoSneak Peek: Highlights from Day 1 of the 2025 ASAE MMC+Tech ConferenceMay 13, 2025](https://associationsnow.com/2025/05/13/sneak-peek-highlights-from-day-1-of-the-2025-asae-mmctech-conference/) ## Comments **Comments are for ASAE members.** [Learn more about comments on this site.](https://associationsnow.com/comments/) [Log in](https://associationsnow.com/login?redirect_to=https%3A%2F%2Fassociationsnow.com%2F2016%2F10%2F18%2Ftuesday-buzz-how-netflix-navigated-a-price-increase%2F%23comments) to your member account or [join ASAE](https://my.asaecenter.org/select-a-membership-type/) !