So, how is Netflix planning to pay for all of the money they’re spending to get Roma nominated for an Oscar? By raising subscription prices, of course! It’s been a little over a year since Netflix’s last modest price hike, but effective immediately they’re implementing the biggest one in the company’s history, so get ready to spend a little more to watch Tidying Up with Marie Kondo.
Subscribers can now expect to see the Basic plan go up from $8 to $9 a month, while the HD standard option will rise from $11 to $13. If you have the 4K plan that will increase to $16 a month.
In a statement, Netflix gave a simple explanation for the price increase:
“We change pricing from time to time as we continue investing in great entertainment and improving the overall Netflix experience.”
Nobody can deny that Netflix has increased its programming options a hundredfold since they started, from must-watch TV shows like Stranger Things to blockbuster quality movies such as Bird Box. They’ve spent a ton of money attracting today’s biggest stars and most respected filmmakers, including Alfonso Cuaron, Martin Scorsese, and more. So we can see where the money is going, there’s no question about that.
But will this increase start to price some people out? Netflix saw a drop in new subscribers after the 2017 hike, and there are more streaming options out there than ever before. Netflix may be the dominant presence in the market but they are hardly the only one. The short answer to the question is, “Probably not.” Netflix’s prices are on par with their chief rivals, Amazon Prime and Hulu, and when Disney+ launches it will likely be in the same ballpark. [TVLine]
