Netflix announces price hike on subscription plans in these countries; details inside
PTC News Desk: Netflix has announced the cost hikes for select subscription plans in the United States, United Kingdom, and France, which will take effect this week.
In the United States, the basic plan, which no longer takes new subscribers, will increase from $9.99 to $11.99, while the premium plan, which includes Ultra HD and simultaneous streaming on six devices, will increase from $19.99 to $22.99. The normal plan will remain at $15.49, and the ad-supported plan will remain at $6.99.
According to a Netflix spokesperson, “Our approach remains the same — a range of prices and plans to meet a wide range of needs, and as we deliver more value to our members, we occasionally ask them to pay a bit more.”
Meanwhile, the basic plan in the United Kingdom and France will now cost 7.99 pounds and 10.99 euros, respectively. Standard plans in these countries will be hiked to 17.99 pounds and 19.99 euros. The hikes come as Netflix expands its offerings, including a new advertising tier that has resulted in a large rise in membership.
Netflix Co-CEO Greg Peters stated, “We anticipate incremental acquisition and adds for the next several quarters.” The price increases coincide with Netflix's continuous efforts to reduce password sharing, with the goal of converting freeloaders into paying users.
Despite these changes, Netflix is hopeful about its future growth, focusing on both new and former subscribers. In addition to hiking subscription costs, Netflix has implemented a number of revenue-boosting initiatives, including a crackdown on password sharing and the introduction of an ad-supported streaming option.
- With inputs from agencies
