After testing a mobile-only plan in India on a small scale, Netflix went ahead and made it available to everyone in the country a few months ago. For less than $3 a month, Netflix users in India can access the streaming service on one mobile device at a time, whether it’s a smartphone or tablet. It turns out the plan is such a success for the company that Netflix is considering opening it up to customers in other markets. Either that, or the company is already feeling the pressure of incoming streaming services that are a lot cheaper than its own plans. Disney+ has been running a few amazing deals that cut the monthly price down to less than $5, while Apple TV+ comes free for a year to millions of iPhone, Mac, and iPad buyers.
Peters said the company is considering “other plan structures, other cost benefit features where we could see different market conditions that would work there,” without specifying which markets Netflix might be eyeing for different membership Structure prices. “We will see them as we roll out and we will respond to them based on what our consumers in those markets, our members to be in those markets tell us is working or not.”
Netflix also confirmed in its letter to shareholders that it is considering mobile-only plans for other markets:
We aim to make it easier for future members to sign up and enjoy Netflix. To this end, we rolled out a lower priced mobile plan in India in July and we are pleased with the results. Our approach with pricing is to grow revenues and so far, the uptake and retention on our mobile plan in India has been better than our initial trials suggested. This will allow us to invest more in Indian content to further satisfy our members. Although still only a very small percentage of our total subscriber base, we continue to test mobile-only plans in other markets.
Before you get too excited about seeing mobile-only plans in the US or other Western markets, you better think again. In the foreseeable future, such proposals are likely to be targeted only at emerging markets.
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