Streaming provider Netflix is increasing its prices. New customers in Canada and the USA now have to dig deeper into their pockets. Whether prices are also rising in this country, Netflix has not yet commented. However, in the past, a price increase overseas was often regarded as a harbinger of higher prices in Germany.
Netflix subscribers in Canada and the US will have to dig deeper into their pockets in the future. As the news agency Reuters reports with reference to an official Netflix statement, the prices rise by around one to two US dollars.
New customers in the USA are now paying 9.99 US dollars for the basic subscription – one US dollar more than before. Meanwhile, the price of the standard subscription even rises by one and a half US dollars, from 13.99 US dollars to 15.49 US dollars.
At $19.99, the premium subscription remains below the magical $20 mark. However, the price increase of two US dollars is the highest here. According to Netflix, the adjusted prices are now valid for all new subscribers. The subscription models of the existing customers are to follow in the coming weeks.
Are Netflix prices also rising in Germany?
Netflix had last increased its prices in the U.S. and Canada in the fall of 2020. Only a few months later, subscription prices in Germany also rose – first for new customers and then also for existing customers.
This is an indication that the streaming provider may also adapt its subscription models in Germany this year. But whether and when there will also be a price increase in German-speaking countries, Netflix has not yet commented on this. However, this only seems to be a matter of time.
A price increase of around one to two euros should be quite realistic. As then, the streaming provider justifies the adapted subscription models in the USA with the aim of continuing to expand and improve its offer. For example, Netflix has been testing its own gaming offering for some time now.
Pricing power despite increasing competition?
With Disney Plus, Joyn and Sky’s streaming offerings, Netflix has gotten some new competitors in recent years. With Paramount Plus, another provider is also launching in Germany this year.
Netflix has therefore invested a lot in its own future in the recent past. In the past year alone, the streaming provider has made around 17 billion US dollars for in-house productions loose. With success: With Squid Game, for example, the company presents one of the most successful series of all time.
Despite the price adjustments in the past, Netflix has gained many new customers. According to Mark Mahaney, a data analyst at investment bank Evercore, Netflix has some pricing power. Whether this is also the case this time remains to be seen.