Would you pay more for a Netflix monthly subscription, or data charges are still blocking you from accessing this service? Back in April, Netflix started the countdown to let longtime subscribers know that they were about to start paying more for their service. The price hike would increase subscription fees paid by older customers to match the company’s newer, more expensive plans, and this means this won’t affect most Ugandans who have just subscribed to the service. All in all, the next round of longtime Netflix subscribers will see their prices increase next month. According to the company in emails sent out to these old clients, the company said;
“When we raised prices for new Netflix members in 2014, we kept your price the same for two years. Your special pricing is now ending and as of 7/22/16 your new price will be $9.99 per month, Netflix wrote in an automatically generated email sent to me personally. Please visit netflix.com to review the details of this change and your options for plans and prices. To cancel your membership before the price change takes effect, you can do so at any time by going to Your Account.”
These new prices will increase subscription to $24 annually over the previous monthly subscription rate of $7.99, and it’s a price most customers are likely willing to pay according to reports. Three-quarters of Netflix subscribers would consider leaving the service if Netflix ever started to show ads alongside its movies and TV shows according to some surveys. With that in mind, a $2 price hike indeed seems like a much smarter way to increase revenue and improve profitability for this streaming company.