Netflix raised the prices of both standard and premium subscriptions to $13.99 and $17.99 a month on Thursday, respectively, while the basic subscription kept the price of $8.99 a month, the same price it was offered last year, and the company’s shares rose by 4% after it raised its subscription prices. Then the price settled in the evening.
These subscriptions were priced at $12.99 and $15.99 before the last raise. Netflix said customers will be alerted 30 days before the price change, and Netflix subscribers will notice the new prices on their bills for the next two months.
This is the first time that Netflix has raised the prices since January 2019, and before that the prices for basic, standard and premium subscriptions were $8.99, $11 and $14, respectively.
The last time the company reported profit, Chief Business Officer Greg Peters noted that a price increase could be imminent, and Greg said that if Netflix continues to be successful in delivering high-quality, original content to users, we at the company feel there is an opportunity to ask subscribers who We gave them that content to pay more.
The standard subscription provides you with 1080p video quality and allows viewing on two screens at the same time, while the premium subscription includes support for 4K and HDR video resolutions and viewing on 4 screens at the same time, while the basic subscription supports a resolution of 480 pixels, which is equal to the quality of the resolution DVD discs.
Netflix shares rose by 4% when it raised subscription prices, then the price stabilized in the evening, and it is reported that Disney shares also rose by more than 3% during recent trading, and the CEO partner of Netflix said that the Disney+ project launched by Disney reached 60 million subscribers in less 12 months ago, as it took Netflix twelve years to get to that point, and he added that Netflix loves competition and they are vigilant and fully focused on the competition.