All those budgets for original programming have caught up with Netflix as the company has announced it is raising its prices.
Netflix updated its pricing plans on Friday with all of them going up across the board. The basic plan increases by $1 to $9.99. The standard plan increases from $13.99 to $15.49, and the premium plan jumps from $17.99 to $19.99.
The company last raised its prices in 2020.
The new prices are effective immediately for new customers while existing customers will begin receiving emails about the price increases 30 days before it appear in their account.
With the increase in the number of streaming services, some are finding this move a bit surprising. With 213M subscribers currently, the feeling is that Netflix is viewing itself as firmly entrenched in its customers lives and it won’t see too many customers canceling their accounts. With Disney Plus, HBO Max, Amazon Prime Video, Peacock, Paramount Plus, and numerous other small niche services out there, you have to wonder how true that is.
Add in Netflix’s seeming lack of commitment to its series, and you could see how customers could begin to lose faith in the company when combined with an increase in pricing.
We’ll just have to wait and see when the enxt quarterly report comes out what impact this has on the company if any.