Netflix is the most popular streaming app ever launched and has undoubtedly caused many of the old players of cable services throughout the world to wither away. As with any product or service around the globe, as demand increases so does the price and Netflix are no exception.
Netflix is not increasing prices without offering new and innovative streaming advances with their plans. The company wants to increase engagement in their already popular app and improve the experience for their consumers. That is why the increase in price, according to Netflix, is necessary.
New members of the streaming giant are going to the be first to be charged the new prices upon subscribing. As for the rest of us, the change will happen gradually over the next few months. Not surprisingly, most consumers do not realize the costs associated with running a service like Netflix. Since subscription rate hasn’t changed in quite a while, Wall Street has not always shown faith in Netflix, despite the stock soaring in the past decade. Therefore, it comes as no surprise that with the new price increase announcement Netflix’s stock has risen by close to 6%.
So far, consumers are not complaining as they have in the past about the increase. This could be due to many improvements and advances in the service’s offering over the years, despite a few high profile programs discontinued recently. Among those programs were the very popular Marvel shows. Then again, it could be that users are just happy with Netflix’s current portfolio.
As is the case with other subscription price increases, companies typically start charging the new prices in the Americas first.
EXPECTED DATE FOR PRICE INCREASE
US, Latin America, and the Caribbean will see their price increase beginning next Tuesday. Other countries will, of course, follow but the timeline is not available at this moment.
Netflix wants to remain one of the top streaming services available to consumers and with that comes the responsibility of developing better technology. Moreover, users want engaging, unique programming, all of which Netflix has provided for its customers so far. Hopefully, we get to see the fruits of all this newly added revenue in the not so distant future.