Netflix is raises its prices next month for some of its early subscribers.
Two years ago, Netflix was in the news when it announced they were raising the price of their subscription based streaming service.
But, in order to avoid an uproar, current subscribers would stay at the $7.99 rate for two more years. That will end next month. Everyone will now pay the same rate of $9.99 per month for the HD streaming service.
Everyone will now pay the same rate of $9.99 per month for the HD streaming service.
A study done by JP Morgan suggest that 37% of their customers, which is around 17 million, will be impacted by this price hike. 80% of them may not even know it is coming.
As reported by Business Insider ,UBS estimate that only 3 – 4% of these subscribers will actually cancel their service. Many people will be upset and threaten to cancel, but once they realize the cost to this entertainment is cheaper than other options, they will change their mind.
There is good content, unique shows, and it provides an option for someone who wants to cut the cable cord. The price of Netflix has not gone up nearly as fast as cable companies, so a price increase seems logical.
Personally, I enjoy Netflix and I believe it is worth every penny. If you have never watched Orange is the New Black or Making of a Murderer, both Netflix original series, I would highly recommend them.
There is also lots of content for families and kids, which makes Netflix an affordable option for a Friday night at home.