Netflix hasn't officially confirmed another price hike, but that hasn't stopped speculation starting to mount about a potential subscription increase.
This comes as no surprise, given the streaming service's track record of bumping up subscription fees to support content production and boost its overall profits. Although there's no confirmation yet, some industry experts are hinting that a price rise could be looming, potentially impacting millions of subscribers around the world.
If the rumors hold true (and it’s important to note that this is still speculative), Netflix could roll out its next price hike in the coming months, aligning with its ongoing strategy of maximizing profits while continuing to invest in original content. Naturally, subscribers are already bracing for what could be the next bump in their monthly bills.
Netflix prices could go up in the next few months
Netflix is set to share its fiscal third-quarter earnings today (October 17) after the market wraps up, and analysts are keeping a keen eye on how the company performs. The streaming giant has a tough challenge ahead, with its stock hovering around all-time highs. Investors are speculating that an announcement regarding another price hike could serve as a “significant catalyst for the stock.”
It's been almost two years since Netflix changed pricing on its standard plan, with the last adjustment happening in January 2022. Back then, it bumped the plan from $13 to $15. The premium plan also got a $2 increase, making it $19 a month. Then, last October, the premium tier went up again to $22. On the flip side, the ad-supported plan, which launched less than two years ago, is still one of the most affordable streaming options at just $6 a month, and it hasn't seen a price hike yet. We've got a full breakdown of all Netflix's prices right here.
Looking ahead, analysts are hinting that a price change could be on the horizon. Citi's Jason Bazinet believes Netflix might bump up its U.S. prices by around “12% in 2025,” pointing out how affordable it is per hour of viewing. Meanwhile, Evercore ISI's Mark Mahaney mentioned in a note to IndieWire that we could see a price increase happening in the “next three to nine months.”
With the way things are going in the streaming world, where price hikes are becoming the norm (like Disney Plus raising its rates this October, just like last year) many think Netflix is due for another increase. As subscribers prepare for what could be the next increase in their monthly bills, the anticipation builds around Netflix's forthcoming earnings report and the potential impact on pricing strategies.
Right now, everything is still up in the air, so we’re just waiting for Netflix to confirm if this information is accurate. With streaming services getting pricier, one detailed report indicates the average subscription for the top five ad-free platforms in the U.S. is hitting about $87 a month.
As prices keep climbing, it might be worth considering adjustments to your monthly expenses by being savvy on which services you subscribe to and when. For more insights, be sure to check out our guide on streaming costs in 2024 to help you figure out your best options.
