Netflix currently offers three subscription tiers, namely Base, Standard, and Premium, but the streaming giant now appears to be testing a new and an even expensive subscription tier for its users.
Netflix is planning to debut a higher-priced ‘Ultra’ subscription tier for $19.80, It will top-off the current $13.99 Premium tier while offering the same benefits that were previously available in this most-expensive tier.
As of now, Netflix currently three subscription plans; $7.99 Basic, $9.99 Standard and $11.99 Premium. And Basic allows users to watch Netflix on one screen at a time; Standard allows viewing on two screens, and Premium allows four screens.
The Ultra subscription tier would offer subscribers the same benefits as the Premium tier while undercutting some of the features in the latter, Premium. The number of concurrent streams in the Premium tier will be halved to two (from four) and HDR streaming support will be canceled if the Ultra tier becomes official.
So essentially, it means that Netflix aims to raise the prices of its subscription tiers for consumers but doesn’t want to affect the currently available tiers. The Ultra tier will give the company a chance to increase the price by cutting down the benefits for Premium users, who will need to spend more to enjoy the same benefits. That’s why the current Premium users won’t be happy with the introduction of the Ultra subscription plan.
In a statement to CNET, Netflix spokesperson Smita Saran has confirmed that the company regularly runs new tests.
We continuously test new things at Netflix and these tests typically vary in length of time.In this case, we are testing slightly different price points and features to better understand how consumers value Netflix
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