If you are a Netflix subscriber, get ready for another price hike. The streaming giant increased prices on its plans by nearly 11 percent in an effort to crack down on password sharing. A manager of General Informatics in Baton Rogue, Haggai Davis, says subscriptions increased by 8.8 million during the third quarter, so Netflix knows the demand is there.
“People have said, “I want my Netflix.” And Netflix has said, “Wow. These people are really committed to us. They’re so committed we can raise our rates a little bit because they’ve already said they don’t care how much we charge.”
The basic plan which is no longer available to new customers at $9.99 is now $11.99. Its premium plan is $22.99 up by three dollars. Davis does not believe consumers are as concerned by the up cost of ad-free streaming services.
“You start off with the plans that have ads and you watch a few shows and then you realize “I don’t want to see stupid ads it’s just seven dollars more a month. Okay fine. Let me upgrade to the full package without advertisement.”
Unlike other streaming services like Disney, Warner Brothers, Discovery, and others, Netflix has not raised prices over the last year. If prices continue to increase, Davis says more price-conscious subscribers may have to choose between streaming services and pricey cable bundles.
“Which ones can I afford? If I can only do two. If I can only do four. Wow, am I going to do $120 a month just for streaming? I had that with cable so why am I not on cable anymore.”
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