Netflix recently enacted a new price for its streaming service among new users. The monthly fee is now a dollar less for those just signing up. The company says it is just testing the new price, and hasn’t offered it to existing customers yet. But will a lower price really entice that many new users? And how might it impact existing ones?
In Ask Your Target Market’s latest survey, 32% of overall respondents said they currently subscribe to Netflix. Another 7% said they subscribe to a similar video streaming service. 8% said they subscribe to Netflix as well as other streaming services. And 53% don’t subscribe to any video streaming services.
The new price that Netflix is offering is only for the entry-level plan that lets users watch TV or movies on one device at a time. However, just 29% of current streaming users said they just watch content on one device. 44% said they use two different devices to stream videos. 14% use three devices. 5% use four. And 7% said they use five or more devices.
While the current offer doesn’t extend to people who have already signed up for Netflix, it could if the test goes well. It might not make much of a different though, since 59% of current streaming customers said they are very satisfied with the monthly price of their video streaming service. 34% said they are somewhat satisfied. 5% said they are somewhat unsatisfied. And just 1% said they are very unsatisfied. There was hardly any variation between Netflix users and people who used other streaming services when it came to price satisfaction.
So what about the rest of consumers who don’t use streaming services? 57% said they just don’t think they would use it enough. 37% said that it would be too expensive. 9% said there aren’t enough options available. And 9% cited other reasons, such as not having the technology necessary for streaming.
More specifically, just 8% of those respondents said they would definitely consider signing up for Netflix or a similar service if it offered a slightly lower monthly rate. 27% said they would probably consider signing up. 44% said they probably wouldn’t. and 21% said they definitely wouldn’t.
You can view the complete survey results in the widget below and be sure to click “Open Full Report” to take advantage of all the chart and filter options.
What do you want to know? If you need some consumer insights on a particular topic, let us know in the comments below and we’ll consider it for an upcoming survey post.
Results were collected on January 2 via AYTM’s online survey panel.