Netflix will increase your bill again soon.
According to the company, it raised its prices for its plans in the U.S. and Canada on Friday.
The subscription price for the standard plan increased by $1.50 to $15.49. The basic plan increased by $1 to $9.99, and the premium plan increased by $2 to $19.99.
Netflix’s standard plan costs $16.49 Canadian, a hike of $1.50. The premium plan went up by $2 to $20.99 Canadian. The basic plan remained the same.
Netflix has 74 million members in the US and Canda
In its earnings report, Netflix also reported 70,000 new subscribers in the US and Canada. In those countries, Total subscribers increased only by about 1 million compared to year-ago levels, compared to a loss in the second quarter.
There are 74 million members in the US and Canada, but growth in those markets has slowed.
Netflix Updates Their Subscription Prices
CTN received Netflix’s statement explaining its decision that was identical to one it provided in October 2020, when it raised its prices.
A Netflix (NFLX) spokesperson said, “We’re committed to delivering an even better Netflix experience for our members.” People have more entertainment choices than ever, she added. “We are updating our prices in order to provide the members with a variety of quality entertainment options. As always, we offer a range of plans to fit every budget.”
Netflix’s stock rose roughly 2% following the announcement.
A week before the streaming company announces its fourth-quarter earnings, the company has raised its prices.
The reason behind Netflix’s decision is straightforward: The company has been spending billions of dollars on content, and as streaming becomes a more integral part of the entertainment landscape, growth tends to slow, and attracting new subscribers becomes more difficult. Revenue needs to come from somewhere at that point. Increasing consumer prices is one easy way to do that.
||Former price (Set in Oct. 2020)
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