Though Netflix started as a company that would send its subscribers DVDs to rent, it has since moved on to allow customers to stream pretty much any TV show or film they like (as long as it’s a part of Netflix’s catalog).
However, in what is set to be a blow to customers, Netflix is planning on raising its prices yet again. Not only that, but the streaming service is also planning to cancel some much-loved TV shows that customers may not like losing out on. This latest news has left many Netflix customers wondering how much their subscriptions are set to rise, as well as which of their favorite shows they are no longer going to be able to watch on the streaming giant.
While the price rises aren’t necessarily a guarantee, analysts at UBS Securities have predicted that this is on the horizon, even though the last price hikes only happened in October 2023. As their revenue is not only being helped by ad-free subscriptions, but by their latest introduction of a lower subscription tier that contains ads, analysts believe that this will see Netflix’s revenue grow by 15% in 2024, according to Variety. This is over double the growth Netflix experienced in 2023 at just 7%.
This news comes after Netflix announced that it was cracking down on sharing passwords, despite an outcry against this move. In 2022, The Verge reported that Netflix planned to crack down on password-sharing, and also would include a subscription tier that included ads. The company said it was committed to releasing series all in one go to allow customers to binge-watch their favorite shows, as opposed to having to wait a week for each episode to come out.
It appears that this approach has worked for the streaming giant with the predicted growth they are set to experience for 2024, with many customers, both old and new, wanting to stick with Netflix.
Although Netflix has to share some of its audience with TV networks and other streaming services, viewership for Netflix, in particular, is on the increase. According to Collider, the TV viewership for Netflix in the U.S. has gone from 7.7% in December 2023 to 7.9% in January 2024.
The streaming giant also had 29.5 million new subscribers join the service in 2023, which is an increase from the 21 million new subscribers Netflix had between 2021 and 2022. Analysts have also predicted that in 2024, Netflix is expected to gain around 20 million new subscribers.
Out of other streaming services, Netflix is believed to be the cheaper option compared to its competitors. The analysts have estimated that Netflix is worth 30 cents per hour, with Hulu being 56 cents per hour, Peacock 58 cents per hour, Disney+ 73 cents per hour, and Max and Paramount+ 81 cents per hour.
Some of the content set to leave Netflix in 2024 includes “Chicken Run,” “Married at First Sight,” and “Paul Blart: Mall Cop,” according to Teen Vogue. However, WhatsOnNetflix has said that some of the shows U.S. Netflix customers can expect to be watching in 2024 are “Young Royals,” “Buying Beverly Hills,” and “Is It Cake?”
But whether Netflix customers will see these shows as worth keeping their subscription for despite the expected price hike is yet to be seen.
