Netflix is raising its prices again, with the cost of its most popular Standard plan increasing a buck from $12.99 to $13.99 a month.
The streaming service giant had already raised the cost for new subscribers signing up for its Standard and Premium plans. But for existing subscribers, the increased monthly cost is looming.
Netflix says current members will be notified by email and through the app 30 days prior to the price hike. According to a statement the company provided to USA Today, the increase will be rolled out over the course of the next two months and be dependent on subscribers’ billing cycles.
Netflix isn’t increasing the cost on its lowest-priced plan, the Basic plan, which allows subscribers to stream unlimited shows and movies from Netflix’s library in standard definition for $8.99 a month. The Standard plan that’s increasing by $1 a month to $13.99 allows subscribers to stream content on two devices simultaneously and offers HD quality. The top-tier Premium plan that gives subscribers access to Netflix content on up to four TV screens with Ultra HD will now cost $17.99 a month, up from $15.99.
A spokesperson told The Verge that the latest price increase allows Netflix to offer a larger variety of TV shows and films.
Netflix last raised its prices in January 2019, upping the cost of its Standard plan by $2 a month to help produce original shows and movies and also compete against rivals like Amazon and Hulu.
In the past several years, there’s been a proliferation in the number of streaming services available, offering not just more alternatives to cable, but also to the more established services like Hulu and Netflix.
Among some of the “new arrivals” in this industry are Disney+, Peacock and CBS All Access. Quibi, another newer offering that launched in April 2020, has already decided to shut down.
But customers might not even be paying attention to the price hikes or be cognizant of how much they’re paying for their combination of streaming services. About 84% of consumers are underestimating their costs for streaming services like Netflix, according to a survey from Waterstone Management Group, a Chicago-based consulting firm.
Netflix has a slate of new shows and movies queued up to be released throughout November, including several holiday rom-coms that are sure to give Hallmark some competition. Are you planning to watch?