On Monday, Netflix announced that it would be lowering the prices of all of its subscription plans. Instead of starting at Rs 199, it now goes as low as Rs 149. Other streaming services compete with Netflix by charging much less for their plans than Netflix does. For the second time in India, the streaming company has dropped pricing on its four plans by a quarter. According to industry analysts, Netflix’s cheapest plan for India, currently priced at Rs 199 per month, helped bring new customers to the service.
There was an option for Rs 199 for mobile and tablet viewing, but that has been reduced to Rs 149. From Rs 499 per month to Rs 199 per month. The basic plan can be seen on a mobile phone, tablet, computer, and TV.
Rs 499 per month instead of Rs 649 per month is the new price for the ordinary plan that may be seen on any four devices. But with improved video quality and 1080p resolution. If you’re looking for the finest video quality, the top-tier plan or the premium available on all four devices is now open for Rs 649 per month instead of Rs 799.
Disney+ and Hotstar, on the other hand, charge Rs 1,499 a year for their premium plans. It costs Rs 1,499 a year to subscribe to Amazon Prime Video.
Even though Amazon Prime’s annual plan has increased from Rs 999 to Rs 1,499, the price drop comes simultaneously. According to Netflix’s most basic mobile-only plan, you’ll pay around Rs 1,800 per year for the service. However, Amazon Prime offers additional benefits like free shipping and a music streaming service. OTT apps in India currently have an average annualized pricing of roughly Rs 500 for total subscriber revenue/number of subscribers annualized plans. According to Karan Taurani, SVP and research analyst at Elara Capital, “Netflix pricing even in the basic package is roughly three times that at Rs 1,800.”
In India’s SVOD market, Netflix has a 36 percent share as the leading pure-play video OTT service, according to Taurani. More than half of Netflix’s 214 million paying customers are located in wealthy countries, where the service is well-established. As a result, if Netflix were to expand its subscriber base in India, it would have a tremendous opportunity. India’s tier 2 and tier 3 towns offer a significant market opportunity, and there is plenty of room for growth. In the short-to-medium term, “this is a market that will help Netflix grow its subscriber base,” he said, citing rising smartphone users and lower data prices.