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Netflix To Cut Subscription Rates In 116 Countries After Success In India

Netflix will offer low-cost plans in 116 more countries and replicate the success of its cheaper India pricing.

Low-Cost Plans

Like India, 116 more countries will have low-cost subscription plans.

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Reason Behind The Move

Netflix's engagement in India grew 30% after the price cut in December 2021. The reduced prices in 116 countries in the December quarter are a bid to increase adoption and maximise revenue in the long term.

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Netflix's Expectation For Growth

It got off to a muted start for 2023 by adding only 1.75 million customers in the first quarter. Investors expected 2.41 million new customers.

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Impact on Netflix's Growth

The 116 countries represent 5% of Netflix's revenue. Cheaper pricing won't have any near-term impact but will benefit over the long term.

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Netflix's Engagement In India

The price drop by 20–60% in December 2021 increased engagement in 2022 by 30% and aided growth in paid net additions.

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