Netflix has released their Q1 2014 earnings report today, and bundled deep in the news about numbers and dollars is a short paragraph about pricing.
Later this quarter, Netflix plans to increase prices for new streaming customers by $1 to $2 more per month. Current subscribers will continue to pay what they're paying ($7.99 here in the states) for a "generous time period."
As expected, we saw limited impact from our January price increase for new members in Ireland (from €6.99 to €7.99), which included grandfathering all existing members at €6.99 for two years. In the U.S. we have greatly improved our content selection since we introduced our streaming plan in 2010 at $7.99 per month. Our current view is to do a one or two dollar increase, depending on the country, later this quarter for new members only. Existing members would stay at current pricing (e.g. $7.99 in the U.S.) for a generous time period . These changes will enable us to acquire more content and deliver an even better streaming experience.
Netflix justifies this increase with mention of their expanded streaming library and original content.
What say you? Will you spend up to $2 more per month to keep Netflix? Sound off in the comments.
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