Netflix’s password sharing crackdown has long been in the making, with many users leaving the app due to the perceived greediness, but the measures did work.
According to Wall Street Journal, Netflix stopping users from sharing their passes was a measure that actually led to a 10.8% rise in the number of subscriptions in the third quarter.
According to the report, this is actually the best increase Netflix saw since the second quarter of 2020. So, what’s next? Nothing good for users, of course.
Now, with more people forced to subscribe to Netflix since they can’t share accounts as freely anymore, the platform is reportedly increasing prices yet again.
“The streaming giant added 8.8 million subscribers in the third quarter with customer growth in every region, its largest quarterly customer gain since the second quarter of 2020.
The company plans to immediately raise prices for its basic plan in the U.S., which is no longer available to new customers, to $11.99 from $9.99 and up the cost of its premium plan to $22.99 from $19.99.”
It is also increasing some prices in the U.K. and France, though the cost of its ad-supported and standard ad-free plans are unchanged.
The price increases are a sign of streamers’ efforts to improve profitability and wean consumers off the low monthly subscription fees that drew users away from pricey cable bundles in the early days of streaming.”
Of course, the rise in Netflix subscriptions could also be attributed to the long-running Hollywood strikes. As cinemas remain empty, more people are staying at home and using streaming apps for entertainment.