
Photo: AFP
Netflix is testing a cheaper mobile-only subscription as it explores new packages aimed at widening its appeal in Asia and other emerging markets.
CEO Reed Hastings told Bloomberg that the company would test lower-priced packages and it hasn’t taken long for those experiments to come to light. The first reports are from Malaysia, where Netflix quietly rolled out a mobile-only tier priced at 17 Ringgit, or around $4, each month. That’s half the price of the company’s next cheapest package — Basic — which retails for 33 Ringgit, or around $7.90, per month in Malaysia.
A Netflix spokesperson confirmed the Malaysia trial. They said that similar trials are “running in a few countries” although the company declined to provide details. It remains to be seen if this new subscription tier will roll out to other parts of the world.
Related: Netflix on iOS finally lets you skip credits with new Next Episode button
The move makes sense for Netflix. While it has added many international users, its pricing system is too expensive in many countries.
Rivals including fast-growing Hotstar in India, iFlix — which is backed by Sky and covers 28 countries — HOOQ and Viu are priced from $3 upwards per month. While it isn’t clear how many users they are pinching from Netflix, there’s clearly a pricing disparity which this new mobile-only offering goes some way to addressing. It also hones in on millions of mobile-only users in India and other parts of Asia
Article source: https://www.samaa.tv/technology/2018/11/netflix-is-testing-a-cheaper-mobile-only-subscription/