According To A Survey, 39% Of Netflix Subscribers Are "Likely" To Cancel Their Subscription If The Price Rises

Netflix is considering boosting pricing after the current actors’ strike ends, but this could persuade consumers to abandon the streaming service entirely. According to a new analysis by CivicScience, such a change could result in a major loss of members for the site.

CivicScience, an opinion research firm, polled current and prospective Netflix subscribers. According to the survey, 39% of those on the ad-free tier would contemplate canceling their account if the price increased, while 31% would consider subscribing to Netflix Standard with Ads. 29% of those contemplating signing up would still choose the ad-free plan.

When only the ad-free plan accounts were considered, 35% indicated they would quit completely, 48% said they would keep their existing subscription, and 17% said they would switch to an ad-supported plan.

The findings show how cost is a major consideration for many households when determining which streaming services to maintain and which to cancel, especially in light of growing pricing everywhere else. As a result, people are reducing their use of premium accounts. This year, the number of households with four or more subscriptions has decreased. According to CivicScience, 33% of consumers want to or have cut their streaming expenses, a 5% increase since January.

“Similar to prior years in which they instituted a price increase, [Netflix] would not do so without careful analysis in order to limit church,” Wedbush Securities Analyst Alicia Reese told IndieWire. “If Netflix’s research shows that they will lose one-third of their premium subscribers on a $1 monthly price increase, they would be unlikely to implement the price increase.”

Another aspect that influences consumers is the availability of material. Because of the Hollywood strikes, more people are having difficulty finding films and programmes to watch. According to CivicScience, 29% of streamers are uninterested in the available content, up from 24% in April. A price increase, according to more than a third of those considering cancellation, would send them over the edge because they are running out of stuff to watch. Less than a quarter of customers on the ad-free plan said they would keep their current subscription if the price went up.

“Our pricing philosophy has not changed, which is that we have to add more value to the consumer,” Netflix co-CEO Ted Sarandos stated on October 12 at the Bloomberg Screentime event, according to IndieWire. “And then we come back and ask them to pay a little bit more for it if they agree.”

Netflix Basic costs $9.99, Standard Ad-Free costs $15.49, and Ad-Free costs $6.99. The streamer hasn’t said how much each plan will cost after the price increase.

According To A Survey, 39% Of Netflix Subscribers Are “Likely” To Cancel Their Subscription If The Price Rises

Netflix is considering boosting pricing after the current actors’ strike ends, but this could persuade consumers to abandon the streaming service entirely. According to a new analysis by CivicScience, such a change could result in a major loss of members for the site.

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