Video streaming platform Netflix on Tuesday reduced its monthly subscription rates by up to 60% in India. The streaming giant wants to woo Indian viewers amid growing competition in the OTT(over-the-top) space in the country.
Netflix has been a premium offering since its launch in India in 2016. And it’s not the first time Netflix has cut prices in India. In 2019, it lowered subscription prices by as much as half for customers who committed to at least three months.
Reason behind the price reduction?
Netflix has won just an estimated 5 million customers in the country, compared to the 46 million who subscribe to the Disney Hotstar platform and 19 million to Amazon Prime Video, according to researcher Media Partners Asia, which estimates India will have one billion video screens by 2024 with 85% broadband usage.
Netflix’s new subscription rates
Netflix’s Mobile will now be available at ₹149 a month, from ₹199 earlier).
Netflix’s Basic monthly plan (standard-resolution 480p) has been reduced by over 60%. Netflix Basic is priced at ₹199 a month, instead of ₹499.
Netflix’s Standard plan (high-resolution1080p video) will be charged at ₹499 per month, instead of ₹649. A reduction of 23%.Netflix Premium subscription plan (4K resolution and high-dynamic-range video) will be available at ₹649 a month, instead of ₹799.
What Netflix says
“We are dropping our prices and it’s across the board, across our plans. This will include all our service – local and global. The biggest drop of 60 per cent is in the Basic plan, because we want the audiences to watch Netflix on a bigger screen or on any device, so that has gone down from ₹499 to ₹199,” Netflix Vice President – Content (India) Monika Shergill told news agency PTI.
Amazon Prime Video, Hotstar
While Netflix plays in the premium content streaming space, it competes with the likes of Amazon Prime Video, Hotstar and even YouTube, along with other local players in the Indian market.
Amazon Prime Video charges ₹179 a month but, unlike Netflix, it allows users to simultaneously watch content on multiple devices from the same account, and offers a cheaper annual payment plan. Amazon had recently announced that it will increase the price of the annual membership of its Prime programme (which includes content as well as other benefits) in India by 50 per cent to ₹1,499.
Disney + Hotstar offers an annual premium plan with access to all its content in 4K at ₹1,499 Indian.(Mint)
