Netflix: Heading For A New Subscription Price Increase?
Netflix is considering another price hike, causing concern among its subscribers. This decision comes after the end of the writers’ and actors’ strike in Hollywood.
If the platform has already grown in 2022, Increase in the subscription price from 7.99 euros to 8.99 euros for the Essential formula, from 11.99 euros to 13.99 euros for the Standard formula and from 15.99 euros to 17.99 euros for the Premium formulaThis new surge could be the final straw for many users.
Nothing is certain yet: The Wall Street Journal, which published the information, could not confirm the date, the amount, or the countries affected. And this is exactly where Netflix needs to be smart.
Netflix subscribers are tired of paying a lot
Netflix subscribers may decide to opt out if this new increase occurs. According to a citizen science study 39% of current users would consider canceling their subscription in the event of a price increase. Additionally, 31% would consider switching to a formula with advertising. That means 70% of subscribers would change their habits and pay less instead of following Netflix’s wishes.
Only 29% of respondents said they would continue their ad-free subscription as before. These numbers, based on a sample of 4,000 people, give a sense of the potential impact of this increase on Netflix’s subscriber base. Far from increasing its revenue, Netflix could see a decline more than 60% of the time.
More and more dissatisfied subscribers
The writers’ and actors’ strike impacted the availability of content. 29% of subscribers said they had difficulty finding programs they liked on the platform, an increase of 5% compared to six months ago. Not to mention the expired series, the cancellations and other decisions that are regularly challenged by subscribers.
Despite these concerns, Netflix remains a streaming giant with 238.3 million subscribers worldwide. To avoid unpleasant surprises, the platform must take into account the phenomenon of “streamflation”, i.e. the price increase for subscriptions to streaming services. Because more and more Internet users are resorting to illegal downloads.
