I've been on Netflix for over a decade, and it remains my primary provider of streaming content. Compared to cable and other options, Netflix remains the least expensive, even with the price increase.
I'm also on Hulu, and occasionally fork out for a month of Amazon Prime, or one of the premium channel add-ons. They're mostly in the $10-$15 a month range. The Netflix increase isn't out of line with what other services are charging, and they provide better, more varied content than those other services.
So yes, I'll continue to subscribe.