Netflix May Introduce Cheaper Subscription Plans For Certain Customers

Donna Miller
November 15, 2018

As TechCrunch points out, far more than half of the people who subscribe to Netflix live outside of the United States, but the company has failed to adjust its prices to match other markets. The catch: The plan only allows users to stream content on a mobile device. The next cheapest option, called the Basic Plan, is roughly double the cost at RM33 (about $8). High-definition video is not included in the plan.

Netflix is also catering to local markets with original content offerings.

Speaking with Netflix CEO Reed Hastings last week, Bloomberg learned that the company was considering testing a lower-priced tier of its streaming service in Asian territories.

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Even if the beta-testing doesn't amount to reforms in the North American subscription plan, the mobile-only version of the service should do well overseas, where 79 million of Netflix's entire customer-base now resides. The initiative will also help Netflix fend off the many competing forces in Asia who offer streaming services at a $3 dollar rate, include iFlix, now operating in 28 different countries throughout the Asian peninsula.

Netflix today has quietly rolled out a new plan that is specially made for mobile phone and tablet users which in line with an earlier report that the company is planning to roll out cheaper plans. Tying Netflix plan pricing structure in Malaysia to its USA offerings clearly wasn't keeping it competitive when compared to the local market.

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