Netflix is raising all of its subscription prices for streamers in the US and Canada. Prices for all subscription tiers have risen by $1 or $2. The price hike goes into effect today, January 14th, 2022 for any new subscribers. For people that already use the streaming service, the price will change sometime over the next couple of weeks.
Netflix’s basic plan that lets users stream on one screen has risen $1 in price, from $8.99 to $10. As the most basic plan, it doesn’t include HD or Ultra HD. The standard plan has gone from $12.99 to $15.50. This plan allows users to watch on two screens at once and includes HD. Lastly, the premium plan is undergoing the biggest price change, from $18 to $20. This plan lets viewers stream on four screens at once and has HD and Ultra HD. For Canadian viewers, only the premium plan rose in price. Netflix’s premium plan is now C$20.99. However, the basic plan is still the same, at C$9.99.
“We understand people have more entertainment choices than ever and we’re committed to delivering an even better experience for our members,” a Netflix spokesperson said. “We’re updating our prices so that we can continue to offer a wide variety of quality entertainment options. As always we offer a range of plans so members can pick a price that works for their budget.” Streaming popularity has skyrocketed since the pandemic started two years ago. The US and Canada are two of the biggest markets for Netflix, with around 74 million users as of September 2021. However, there are far more streaming services in the game now, with similar if not cheaper plan options. Hulu, Paramount+, Disney+, Amazon Prime, and Discovery+ are all popular streaming platforms.
Netflix Has Already Hiked Prices Once During the Pandemic
The last time Netflix raised prices was in October of 2020, according to PopCulture. Thankfully, the streaming service never raises their prices by an exorbitant amount, usually only by a dollar or two. The 2020 price increase was no different, with prices rising by $1 or $2 depending on the streaming plan. We’ve had those prices since then. Before that price raise went into effect, the COO of Netflix, Greg Peters, explained why the service chose to increase its rates.
According to Peters, the company looks at metrics like engagement to judge how the company is doing. “And those are the signals that we have for indicating when we have created more value for our members… it might be time to go back to them and ask them for a little bit more so that we can then invest that further into amazing stories, great content, better product experiences and create even more value for them.”