tiptrot.com
tiptrot.com July 18, 2018


Netflix testing new 'Ultra Tier'

05 July 2018, 01:27 | Mandy Simon

Netflix might be on the verge of launching its most expensive plan ever

Netflix could soon announce some changes to its pricing schedule with the addition of a fourth plan

What this offers more than the current premium plan appears to be HDR support, which the firm will strip from Premium and move to Ulta.

Similarly, the Standard subscription might be downgraded to just one display.

The Netflix App logo is seen on a television screen on March 23, 2018.

The spokesperson added that not everyone will see the test taking place, and the company may not even implement the new subscription tier.

But with a high price, it should expect rivals like Amazon, Hulu, and Apple to compete by undercutting it, and potentially offering new movies and shows from major distributors through their services earlier than Netflix can. The new option is not to be confused with Netflix's "Premium" plan which already exists for all users and offers "ultra HD" and the ability to stream on four devices at once.


While this makes things look disappointing, it should be noted that this is simply a test and Netflix says it's trying to "better understand how customers value Netflix". This seems like an attempt to raise the price on the heaviest of users who want 4 streams. Netflix said at the time that it needed to boost costs to improve the quality of its services.

"We continuously test new things at Netflix and these tests typically vary in length of time", Smita Saran, a Netflix spokeswoman, said in an email. This time, the company is testing price electivity.

Netflix is set to post its second-quarter financial results on July 16. The company is now testing it with select European customers. That may sound exciting, but there's a downside: other plans might be losing screens, making this new pricing structure a sort of price hike in disguise.

You might have to pay a lot more for your Netflix subscription if your account is regularly used on more than two devices. "But we always approach it on a "have we earned more viewing from people" basis first rather than a price-first basis".



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