dorkimoe
Member
Netflix is raising the price of its most popular plan to $14 today, premium tier increasing to $18
Netflix subscribers are going to have to cough up a little bit more each month
www.theverge.com
Netflix is introducing price hikes for its US subscribers today, increasing its standard plan to $14 a month and its premium tier to $18 a month.
The new pricing for the standard plan is a $1 price increase (from $13 a month), while the new premium tier cost is a $2 increase (from $16 a month). New subscribers will have to pay the updated monthly fees, while current subscribers will see the new prices over the next few weeks as they roll out with customer’s billing cycles.
Industry insiders have long anticipated another round of price hikes at Netflix, which last increased subscription fees in the United States in January 2019. Recently, Netflix increased the cost of some plans in Canada. Netflix rolls out price changes on a country-by-country basis and the change “in the US does not influence or indicate a global price change,” a Netflix spokesperson told The Verge.
The price hikes also arrive at a time when people have more options for entertainment than ever before — especially in the United States. A few years ago, Netflix’s biggest competition in the streaming space was Hulu, and the company vied for people’s attention being split playing video games, watching YouTube, and sleeping. Now, the US alone has HBO Max, Disney Plus, Peacock, TikTok, YouTube, Twitch, and Fortnite. Oh, and sleep is still a factor. Netflix is aware of this. Prices are being updated “so that we can continue to offer more variety of TV shows and films,” a spokesperson told The Verge.
“As always we offer a range of plans so that people can pick a price that works best for their budget,” the spokesperson added.
PRICES ARE BEING UPDATED “SO THAT WE CAN CONTINUE TO OFFER MORE VARIETY OF TV SHOWS AND FILMS.”
The price hikes also come as Netflix is looking to invest more heavily into its content slate and product features. Netflix has increased its annual content budget every single year over the last seven years, spending a once estimated $18.5 billion in 2020 alone, though that may have changed this year due to the pandemic. Increased competition means Netflix needs to continuously step up its game to ensure it has both quality content and plenty of it, while also working to better the actual platform. That costs money, and price hikes come as a result.
probably should stop canceling the good shows if you’re gonna do this
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