These days, if there's nothing good on Netflix, I play video games or read a book because both of those offer far more value/dollar. If the movie industry offered $2 rentals for everything other than new releasees, I'd watch more movies. I'm only willing to pay $5 to watch a movie if it's a new release and I really want to watch it. I also rarely go to the theater as well because $10+ is too much for that experience unless it's opening weekend for a film I've been waiting for (we usually go on Tuesdays for the discounted rate for regular entertainment).
I wish the film industry would recognize the opportunity they have that's evidenced by projects like PopcornTime. If they make a movie platform with a nearly complete catalogue, people will use it. It's annoying to check multiple streaming platforms to see where something is available, and it's annoying to pay $5/movie to rent (that's about discounted theater prices, but without the theater experience).