Netflix Raises US Prices After Surge in Subscribers

Wednesday, 22 January 2025 23:41

Netflix has announced a price hike for its U.S. subscription plans following a significant surge in subscriber numbers. The company revealed the price increases alongside its impressive Q4 2024 earnings report, which showed a record gain of nearly 19 million new subscribers. This move marks a shift in Netflix’s pricing strategy. In this article, we […] The post Netflix Raises US Prices After Surge in Subscribers appeared first on ComingSoon.net - Movie Trailers, TV & Streaming News, and More.

Netflix Raises US Prices After Surge in Subscribers — Photo Credit: @Netflix/YouTube

Netflix has announced a price hike for its U.S. subscription plans following a significant surge in subscriber numbers. The company revealed the price increases alongside its impressive Q4 2024 earnings report, which showed a record gain of nearly 19 million new subscribers. This move marks a shift in Netflix’s pricing strategy.

In this article, we will delve into the details of the new Netflix U.S. prices.

Change in Netflix US prices explained

Netflix is raising its subscription prices in the U.S. and other regions, including the first price hike on its ad-supported plan. This announcement came alongside the release of the company’s Q4 2024 earnings, which showed a significant subscriber boost of 18.9 million.

Under the new pricing structure, the Standard plan without ads will increase by $2.50, now costing $17.99 monthly. Additionally, the ad-supported plan will rise by $1, reaching $7.99, while the Premium tier price will go up by $2 to $24.99 monthly. The cost of adding an Extra Member to an account will also increase from $7.99 to $8.99 per month. The company also introduced an “Extra Member With Ads” option in several countries to offer more flexibility.

Netflix explained that these price adjustments were necessary to reinvest in its programming and enhance the value offered to subscribers. The price hikes affect markets like the U.S., Canada, Portugal, and Argentina, with some adjustments already anticipated in the 2025 forecast. Co-CEO Greg Peters stated, “We believe that our starting price is an incredible entertainment value. And it’s a highly accessible entry point.”

With these new adjustments, Netflix has revised its 2025 revenue forecast to between $43.5 billion and $44.5 billion. The company also raised its operating margin estimate to 29%, signaling improved profitability. Although Netflix did not increase prices in 2024, company executives had indicated that further hikes were on the horizon, particularly with the growth of ad-supported subscriptions.

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