Video streaming platform, Netflix, has once again increased its subscription prices in Nigeria with its Premium Plan going up by 40% to 7,000 from N5,000 per month.
The latest price increment makes it the second price adjustment by the platform within the space of 3 months, having implemented a price increment earlier in April this year.
According to the price update on the company’s website, the Standard plan subscription, which is popular among Nigerian subscribers for its HD quality and multi-screen viewing options, has been increased from N4,000 to N5,500. This represents a 37.5% increment.
Netflix’s Basic plan, which was N2,900 has been jerked up by 21% to N3,500, while the lowest subscription plan, Mobile, has gone up by 83% from N1,200 to N2,200.
April increment
Earlier in April, the streaming giant announced an increment that saw its Premium Plan price moved to N5,000 from N4,400. At the same time, the Standard Plan was increased from N3,600 to N4,000, while the Basic Plan remained unchanged at N2,900.
At the time, Netflix said the price adjustment was part of a broader strategy to revise its subscription fees across various regions. The changes, according to the company, were aimed at accelerating its revenue and earnings growth, following a pattern of periodic price hikes to support the expansion of content offerings.
What you should know
The Netflix price increment comes amid high inflation in Nigeria that has pushed up prices of every product and service being offered in the country. While Nigerians grapple with skyrocketing food prices, home entertainment is becoming out of reach for many households as a result of price increases.
Major Pay-TV operator in the country, Multichoice, also recently implemented its third price increment in the space of one year, sparking negative reactions from many Nigerians.
Meanwhile, Netflix has been adjusting prices in key markets globally, including the United States, United Kingdom, and France, with the Basic and Premium plans experiencing increases in October 2023.
As streaming services continue to evolve, Netflix’s pricing strategy appears to be a balancing act between maintaining a competitive edge and investing in content that keeps viewers engaged.
With the Nigerian entertainment market growing rapidly, the updated pricing is expected to contribute to Netflix’s ongoing efforts to solidify its presence in the region.
Furthermore, after years of maintaining an ad-free platform, Netflix co-CEO Ted Sarandos confirmed that the company would begin testing an ad-supported, lower-priced subscription tier.
This decision was influenced by a challenging year for Netflix, which included subscriber losses and increased competition from other streaming services.
The new ad-supported plan, known as “Basic with Ads,” was launched in various countries, offering a more affordable option for subscribers willing to watch commercials.