Netflix cuts prices in some markets to lure more subscribers

Netflix is cutting its prices in several of its smaller markets in the latest twist on the video streaming service's efforts to keep its recently revived subscriber growth rolling amid stiffer competition and inflation pressures that are pushing more households to curb their discretionary spending.

The lower prices that began to roll out earlier this week affect more than 30 of the roughly 190 countries where Netflix's steaming service is available — an expanse that has enabled the company to attract nearly 231 million subscribers.

The areas getting lower prices include Middle East markets in Yemen, Jordan, Libya and Iran; European countries such as Croatia, Slovenia and Bulgaria, and sub-Saharan African markets.

Netflix isn't changing its prices in any of its largest markets, including the United States, where it has been regularly increasing its rates during the past four years to help offset the cost of a programming lineup that includes popular series such as “The Crown” and “Stranger Things.”

Although Netflix has established itself as the largest video streaming service, it has been vying for viewers with other deep-pocketed rivals that include Apple, Amazon and Walt Disney Co at the same time stubbornly high inflation is causing more people to tighten their budgets.

Those factors contributed to Netflix losing nearly 1.2 million subscribers during the first half of last year, prompting the company to introduce an ad-supported option of its service that cost just $7 per month in the US — less than half the price of its most popular plan.

That helped Netflix bounce back during the second half of last year when it added 10 million subscribers, a recovery that made its long-time CEO and co-founder Reed Hastings comfortable enough to step down last month.

In another attempt to gain more subscribers, Netflix has started to crack down on rampant password sharing that has enabled an estimated 100 million people worldwide to free load on its service.

Netflix has already clamped down on the practise in Latin America and several other countries, including Canada, New Zealand, Portugal and Spain earlier this month.

New rules governing the use of the same password in multiple households are expected to be imposed in the US by the end of March.

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