3/7/2024 0 Comments Netflix increase price![]() But for now, I’m not thinking about the price increase much. The breakout hit “Squid Game” is just one example of a show that probably wouldn’t have been made (indeed the creator shopped it unsuccessfully for years) without Netflix’s deep pockets. Netflix raised prices across all of its plans last year, bringing the ad-free Standard tier to 15.49 / month and the Premium plan to 19.99 / month. At some point, of course, the price increases will be so much that I’ll begin to care and wonder if Netflix is worth it. While nobody likes to lose another buck a month, the value proposition is hard to deny with the platform’s seemingly endless selection of increasingly international productions. The pandemic has seen something of a historic increase in demand for TV and movies, and while Hollywood is still trying to sort out its strategy, Netflix has confidently doubled down on a winning formula and slipped its customers the bill. One imagines they waited until January just so no one can say they raised the price three years in a row. The last increase was in 2020 (standard went from $13 to $14) and before that 2019 (from $11 to $13). In Canada the new prices are $16.49 for Standard and $20.99 for Premium, with Basic unchanged at $9.99. Netflix says subscriptions to its ad-supported service grew by 70 percent in the fourth quarter of 2023. The hikes were first reported by Reuters, which Netflix told: “We’re updating our prices so that we can continue to offer a wide variety of quality entertainment options.” All new subscribers will see the new prices starting today, and existing customers will receive an email notice 30 days before the increase enters effect. In a letter to shareholders, Netflix said: “We’ve shown that with discipline and a focus on the long term, you can build a strong, sustainable streaming business.Netflix has raised the prices of its subscription services once again in the U.S. The company forecast free cash flow of $6.5bn for the year, up from previous forecasts of $5bn, as it spent less on new films and TV shows because of the Hollywood strikes. Overall, revenues hit $8.5bn in the third quarter, while profits of $1.7bn were ahead of analysts’ expectations. Netflix also said it had seen strong growth in its ad-funded tier, which now accounts for roughly 30pc of new sign-ups. Yet the figures show the company has continued to grow its subscriber base despite the ban on password sharing. Netflix has shifted its focus from subscriber growth to profits as tough competition from the likes of Amazon and Disney, as well as the cost of living crisis, have prompted many consumers to cut back. ![]() They also highlighted the popularity of shows including Top Boy and Sex Education. Subscribers must now pay an additional £4.99 per month to share their account with another household. Netflix chiefs pinned the strong results on the company’s crackdown on password sharing. It comes after Netflix reported an 8.8m increase in customers in the third quarter – its strongest growth in years. The cost of its ad-supported and “standard” subscriptions will remain unchanged. The price of Netflix’s “basic” plan will increase by £1 to £7.99 per month in the UK, while its most expensive subscription will increase by £2 to £17.99. The tech giant said it will increase prices for some customers in Britain, as well as the US and France, as subscriptions grew to 247m despite wider troubles in the media industry. Netflix is raising prices in the UK as the maker of The Crown looks to boost profits following a jump in subscribers.
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