Streaming platform Netflix has announced that it is slashing prices across more than 100 countries globally, including Botswana, by as much as 60% effect of immediately.
The service's Basic tier will record the highest percentage drop, ranging from 20% to nearly 60%, with the price drop kicking in instantly for new and existing subscribers.
Netflix’s mobile tier, predominantly offered in markets with low fixed-line broadband penetration, will get price drops ranging between 25% and 33% in most markets.
With Netflix reportedly planning to charge consumers extra to have additional “out of home” user access their account, these price drops potentially cancel out the extra cost to subscribers currently sharing accounts. While this move will have a negative average revenue per user (ARPU) impact on Netflix in these emerging markets, it could drive subscriber additions amongst consumers yet to take the service.
In many markets where the standard tier of Netflix has been discounted the new price has been aligned to previous Basic tier pricing. This essentially positions the discount as a free upgrade from Basic to Standard. This upgrade increases the resolution from 720p to 1080p and allows 2 concurrent streams.