Netflix subscribers are in for a rude awakening next month when the latest price hike takes effect.
Netflix has been warning customers for some time about an upcoming change to its pricing structure. In new emails sent out this week, Netflix announced the price increase that subscribers were notified about in January will begin to reflect on their next monthly bill.
This means that subscribers at every tier of Netflix's service will see a price increase of either $1 or $2. According to a report by CNN Business, the basic plan will go from $8 to $9, while the standard plan will go from $11 to $13. Netflix's most expensive option, the premium plan, will go from $14 to $16.
In its emails to customers, Netflix has stressed that the revenue from these price hikes will go towards producing more TV and movies for them. The company has made huge investments in original content, budgeting a staggering $8 billion for shows and movies in 2018.
Still, customers are not pleased with the hit to their wallets, and they are letting Netflix know. As soon as news of the price hike got out, customers flooded to social media to express their distaste.
"Sooooo everytime Netflix gets new movies the price is going up?" one person tweeted.
"Netflix raised their price to $16 a month idk if its worth it now," added another.
"[So] not only is Netflix raising the price per month. But you’re also not bringing back a very informative (culture wise) show. AND YOU KEPT FRIENDS?" tweeted a third person. "The epitome of white bread comedy. Boring and not good for your general health."
This was a popular sentiment among subscribers, many of whom felt jilted by recent cancellations. For those heartbroken fans, the price hike was the icing on a cake, and some promised that they were jumping ship on Netflix at last.
Do not only is @netflix raising the price per month. But you’re also not bringing back a very informative (culture wise) show. AND YOU KEPT FRIENDS? The epitome of white bread comedy. Boring and not good for your general health.— black talon🦅 (@fullexposure_) April 2, 2019
Meanwhile, other streaming services are hoping to capitalize on the outrage. For example, shortly after Netflix announced its price hike in January, Hulu restructured its plans. The service's lowest-tier plan is now available for $5.99, while the plan without ads can be purchased for $11.99.
However, Hulu made up the difference by raising the prices on its top-tier packages. Hulu + Live TV now goes for $44.99, while Hulu (No Ads) + Live TV is a whopping $50.99. Still, considering the offerings for these services, the packages could still be a huge savings for cord cutters looking to replace traditional cable.
No matter how you look at it, 2019 is shaping up to be a dramatic year in the streaming industry.