You’re about to pay a lot more for Netflix. Yesterday, they announced their largest price-hike in their 12-year history, and their second increase in 15 months.
The standard, most popular plan will go from $11 per month to $13 . . . the lowest plan will go from $8 to $9 . . . and the highest plan with ultra-high definition will jump from $14 to $16. So most people will be paying another $2 a month, or $24 a year.
The rate change will be phased in over the next three months for all current customers. And it’ll be immediate for any new subscribers.
A lot of FURIOUS people are flooding social media to pretend that they’re so upset they’re CANCELING . . . but Netflix knows most people won’t do that.
Multiple recent surveys have suggested that Netflix was UNDERPRICED. In one, 64% of subscribers said they’d pay up to $15 a month for Netflix, and only 36% said they’d consider canceling if they raised their rates.
In another, 83% said they’d be willing to pay $2 more per month to keep Netflix ad-free. And in yet another, 21% said they’d be cool paying MORE than $16 a month.
Obviously, a big reason for this is that Netflix is keeping subscribers happy. Last month, they dropped $100 million to keep “Friends” for another year, and “Variety“ says they spent $13 BILLION on content last year.
For comparison, HBO “only” spent $2.5 billion in 2017, and CBS spent $4 billion.
According to “The Verge“, Netflix premiered “approximately 700 original shows in 2018 alone, and is expected to develop more this year.”