The world' largest streaming service is Netflix. With a whopping 209.18 million subscribers worldwide, with 74 million in the US and Canada alone, the black and red brand has managed to make a lot of money since it started its early years as a DVD rental mailing business. Over the years, they've slowly began raising prices on and restructuring its plan. And in the beginning of 2022, they jacked up the cost again. So why did they raise subscription prices?
Why did Netflix raise subscription prices?
It's Basic Plan, which omits HD streaming and only allows 1 screen and one phone or tablet you can download movies on has been jacked up to $9.99 a month from $8.99.
The Standard Plan is getting raised from $13.99 to $15.49 and it allows HD streaming but allows 2 users to use the service simultaneously and download movies/shows on two separate tablets or smartphones.
And then there's the Premium Plan. The ultimate flex in Netflix subscription services that allows you and three other moochers who don't even know what a Netflix Agreement looks like to use 4 screens/devices simultaneously whilst viewing. You can use four smartphones or tablets to download movies and shows on and you've got access to Ultra HD 4K. Nice. That price of that's going up from $18 to $20.
Do the Netflix subscription prices affect current customers? Or are they for new ones only?
You know what's always sucked about cable companies? For some reason they always give new customers discounts and treat ones who've been with them for a long time like pieces of garbage. They're constantly trying to raise prices on existing customers and giving new ones all of the added benefits/discounts when it comes to pricing.
Netflix is doing the opposite. If you're a new customer, then you're going to have to pay the increased service cost fees right away. However, if you've been "grandfathered" into a plan, then you'll get to enjoy the current price you have until it eventually gets raised.
As to why this price hike has occurred, it probably just has to do with the fact that Netflix simply can.
The company's managed to secure a huge userbase and is one of a few streamers that still don't incorporate advertisements into its programming. Plus its library of original programming and licensed shows just keeps growing every year, meaning that a Netflix subscription these days gets you access to more content than you previously had before.
Netflix is also consistently rated as the top streaming service provider in the business, followed closely by Amazon Prime, but there are other major players in the game that are directly tied to legacy Hollywood studios that are quickly adding their own titles to their streaming libraries once the licensing agreements with Amazon and Netflix begin to phase out.
Which is why years back Netflix and Prime were so focused on pushing its original content to make up the bevy of its programming bucket. Netflix has recently reached a milestone with its original programming: 40% of its media is originally produced by the streaming service, which includes a number of hit movies and TV shows.