Netflix has announced that they are planning to cut prices in some countries to increase subscriptions. The company is aiming to increase its subscribers by cutting prices in some countries located in Asia, Latin America, sub-Saharan Africa, and the Middle East.
Stock Fell Nearly 5%
Netflix has been underperforming for a few months now as the stock fell nearly 5% today (24 February). Furthermore, the streaming industry has witnessed new competitors in the post-pandemic world, drastically decreasing Netflix’s overall revenue. The price cuts have been applied to multiple layers of Netflix as in one case, the subscription cost was halved. Netflix is looking for a new audience in other countries because markets in US and Canada had already been saturated.
7 Million New Subscribers
The company added more than seven million new subscribers to its basket just in the last 3 months of 2022. The new announcement is aimed to double the figures in the 2023 quarters amid intense competition with streaming rivals such as Disney+ and Paramount+.