Netflix is reportedly set to increase their prices for their ad-free subscriptions, kicking off with subscribers in the United States and Canada.
Summary
- Netflix plans to increase ad-free prices soon, according to a new report.
- The exact date and amount of the price increase have not been announced yet, but it will be introduced in the US & Canada before expanding to other markets worldwide.
- This move comes after Netflix implemented measures like cracking down on password sharing and introducing a cheaper ad-supported plan to address the challenges faced in 2022.
SCREENRANT VIDEO OF THE DAY
SCROLL TO CONTINUE WITH CONTENT
Netflix reportedly will see a price increase soon, kicking off in the United States and Canada. Throughout the past year, Netflix has undergone immense changes in reaction to subscriber loss reported in 2022. Such changes have included a crackdown on password sharing and the introduction of an ad-supported Netflix plan at a lower price.
Now, Netflix will reportedly increase their prices following the resolution of the ongoing SAG strike. As per the Wall Street Journal, Netflix’s price increases will affect the ad-supported option and be rolled out in the U.S. and Canada before hitting Netflix’s global market. The exact amount of the increase and the date it will be enacted remain unknown.
Would Increasing Prices Work for Netflix?
With the ad-supported option and password-crackdown-sensitive options, Netflix subscribers currently have three main pricing options: Standard with ads (at $6.99/month), Standard ($15.49/month), and Premium ($19.99/month). Since the onset of the password crackdown, Netflix has also added an option to the Standard and Premium plans wherein subscribers can add a “member slot” (used for members outside of the home Wi-Fi network as the account owner) for $7.99/month. It is unclear yet whether the updated prices would affect both the Standard and Premium Plans.
Netflix’s price increase would undoubtedly upset some subscribers, leading some to cancel their subscriptions. Such pushback, however, has not stopped Netflix from pushing forward with radical plans over the past year. When Netflix’s anti-password-sharing mechanism was first launched in Latin America, it amassed waves of criticism from subscribers. Nonetheless, the streamer moved forward with the plan globally, and Netflix has seen subscriber recovery since the plan’s rollout. Thus, it is possible that Netflix could similarly recover a price increase as viewers anxiously await the return of major shows like Stranger Things and Wednesday.
Related: Wednesday Season 2 Update Confirms It’s Officially Netflix’s Stranger Things Replacement
Netflix would also be far from the first streaming service to raise their prices. Over the course of the past year or so, streaming services have seen a 25% price increase for major ad-free services. Earlier this year, this included HBO Max (now Max), which increased its prices from $14.99 / month to $15.99 / month. Disney+ followed suit this summer, announcing a whopping 27% price increase. If Netflix follows through, streaming subscribers will have to make some tough decisions as major streamers hike their prices across the board.
Source: WSJ
Categories: Trending
Source: SCHOOL EMC
