Nigerians may have to grapple with increase in the cost of entertainment, as movies streaming platform, Netflix has raised its subscription cost by 40% in Nigeria. A move, which subscribers say is the second in 3 months.
As it is, subscribers in Nigeria will have to subscribe to the Premium Plan with ₦7,000 per month, up from N5,000.
This price change, effective immediately, is the second adjustment in just three months, pointing to the company’s need to align with its revenue growth objectives.
The Standard Plan, offering HD quality and allowing simultaneous viewing on multiple devices, now costs ₦5,500, a 37.5% rise from ₦4,000. Meanwhile, the Basic Plan has increased from ₦2,900 to ₦3,500, and the Mobile Plan, which was initially ₦1,200, has jumped to ₦2,200, representing an 83% increase.
A statement from the company indicates that the price adjustment can be ascribed to inflationary issues in Nigeria, which have affected consumer pricing. These changes are part of a global pattern where Netflix adjusts its fees in key markets, including the United States, United Kingdom, and France, to sustain its investment in a diverse range of content offerings.
The company says it aims to enhance its competitive edge as the streaming industry becomes increasingly crowded with alternatives.
In addition to price hikes, Netflix is exploring more economical subscription models to encourage a wider audience. The “Basic with Ads” plan, introduced in various countries, provides a lower-cost option for subscribers willing to view advertisements.
This also comes after Netflix faced subscriber losses and growing competition, prompting a reevaluation of its service offerings to maintain market share and attract new customers.
The Nigerian entertainment market remains a huge focus for Netflix. Despite the challenges caused by inflation, the company is still working to strengthen its foothold in the region.
This includes a commitment to investing in local content and partnerships, ensuring that it continues to interest Nigerian audiences even as prices rise.
Netflix is also working to balance the need for financial sustainability with consumer expectations in the global market.
