Netflix is now banking on its newer markets as growth in the US has halted amidst rising competition from up-and-coming, cash-rich services like Disney+ and Apple TV+. It’s been exploiting the growth potential in several Asian markets by releasing more regional content and targeting the untapped market section with a cheaper mobile-only plan. The company is also seemingly willing to get more aggressive with its subscription tiers as it’s testing discounted, long-duration plans with a small user group in the Indian market.
As per a screenshot shared in a tweet, paying upfront for a 12-month subscription will save you exactly half of what you’d otherwise pay against monthly bills. Advance payments for the 3-month and 6-month plans are slashed by 20 and 30 percent, respectively. The image only shows long-term prices for Netflix’s top-tier 4K plan that usually costs ₹799 ($11) a month, but we assume similar discounts also apply to other lower-priced plans.
Discounting prepaid long-duration packs is a prevalent industry practice, even Disney+ has one, but Netflix has so far stuck to its monthly plans. Longer plans not only help subscribers save some cash, but they also ensure that the users are sticking with the service, and not just unsubscribing soon after binging onto a new season of their favorite show. Now that Netflix has come to terms with extended plans, albeit as part of a test, it’s striking off 50% straightaway, while others usually waive off two months’ charges for a yearly payment. We hope these plans roll out to other countries as quickly as the mobile-only plan did.
A Netflix spokesperson confirmed to ET that the streaming giant is indeed testing these long-duration plans in India, though they’ve shown up only for a limited group of users so far with no official word on their mass rollout. If made widely available, these plans should put Netflix in a better position to tackle cheap annual subscriptions (costing as low as ₹999 or $14) from its rivals, including Amazon’s Prime Video and the market leader Hotstar, now owned by Disney.