Raise in the Subscription Cost Plans:
According to the most recent reports of the company, Netflix subscription cost plans in the US, Canada, Portugal, and Argentina would rise and might become expensive. The Ad-supported cost plan will include an increase from $6.99 to $7.99 per month, the Standard ad-free plan will jump from. $15.49 to $17.99 per month and the Premium plan would have raised its cost from $22.99 to $24.99 per month. . The price hikes will go into effect during subscribers’ next billing cycle, according to Shengjie Zhou.
Growth of a Fresh Objective:
This is the first increase in price for an ad-supported plan since its launching in 2022. Netflix proclaims that the price hikes are necessary to finance programming and provide a better experience for its customers. Despite the massive increase in subscriber numbers, the company possesses an attitude of room for more subscribers and is still adding a total of 19 million new subscribers in the last quarter to its 300 million global customer base. It was the first time when Netflix announced its operating income, which was above $10 billion. However, the company claims that even with the popularity of streaming today, it is available only in less than 10% of households with TVs in the countries, which could be expanded.
Strategizing with Strong Plan and Content:
Along with the price hike, Netflix announced that it is introducing a new Extra Member with Ads plan service, which will allow those on the ad-supported plan to add someone outside their household to their subscription. The strategy to stream a strong content lineup that included new seasons of Squid Game and the League of Legends spinoff Arcane is growing. Its approach to live content has also gotten more aggressive within the past several weeks, as it has gone from airing “sports-adjacent” events like a golf tournament that paired PGA players with Formula One drivers to NFL games featuing performances from Beyoncé and Mariah Carey. Netflix aims to maintain its position as the top streaming service through maintaining profitability, content investment and new plans.
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