- The last Netflix price hike was in January 2022; costs climbed by $1–$2
- The price hike will start in United states and Canada
- Increasing ad-free costs makes the ad-supported tiers look more appealing
- Instead of raising prices, Netflix has cracked down on password-sharing
Brace up, as Netflix is reportedly gearing up to implement a subscription price hike following the resolution of the ongoing Hollywood actors’ strike, as reported by The Wall Street Journal. This price adjustment is expected to initially impact its ad-free plans, with a gradual global rollout, commencing in the United States and Canada. While Netflix has not officially confirmed this increase, historical trends suggest a possible monthly fee rise of $1 to $2, akin to the adjustment made in January 2022.
Notably, Netflix had previously introduced a more affordable ad-supported plan priced at $6.99, though it remains unavailable in certain regions, including India.
In contrast to some international streaming platforms like HBO Max and Disney+, which raised their prices as a response to financial challenges, Netflix pursued an alternative strategy. The company chose to address the issue of password sharing among its subscribers to bolster its subscription base. This approach yielded positive results, with Netflix reporting an increase of 6 million new subscribers in July, reaching a total of 238 million members.
The Wall Street Journal’s report underscores the rising costs faced by major streaming platforms, which have surged by 25%. This price adjustment strategy aims to boost profitability and attract cost-conscious customers to lower-cost, ad-supported plans. It’s not unexpected for Netflix to align its pricing with industry competitors, particularly Disney+, which leads in the United States with a $13.99 subscription rate. Elevating the pricing of ad-free tiers also serves to make the more budget-friendly ad-supported plans appear more enticing.
The precise timing of the subscription price adjustment remains uncertain. Presently, the ad-free Standard tier is priced at $15.49 per month in the United States, while the Premium plan, offering simultaneous streaming on up to four screens, is set at $19.99 per month.
In addition to Netflix’s potential pricing update, The Wall Street Journal also reports that Disney Plus may introduce a new live sports tier outside the United States. Disney Plus has experienced its share of price increases, with the most recent adjustment set to take effect later this month.
Summary of Netflix Subscription Plans and Prices
The following is the summary of the current price of Netflix subscriptions in Nigeria;
|Netflix Mobile Plan
|Netflix Basic Plan
|Netflix Standard Plan
|Netflix Premium Plan
These too might see an increase in the near future perhaps before the Year runs out or the first quarter of 2024.