The increase will affect most European countries where Netflix operates, including Germany, France and the Netherlands.
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Atlantic Equities analyst James Cordwell believes that Netflix has “more room to grow” in Europe.
According to Netflix, price increase is critical for the company to “continue providing good series and films”.
In most European countries, Netflix has increased the price of a subscription for new subscribers from “just under $10 (€8.99) a month to just over $11 (€9.99)”, according to the report. Earlier this year, Netflix changes its prices in the Nordics and United Kingdom. The move follows a similar price boost the company made last year for its consumers in the United States.
Netflix’s global subscriptions stood at 23 million at the end of June, compared with 42 million in the U.S. Netflix’s take-up in continental Europe has not been officially broken out, but is thought to be already substantial. It has approximately 4.5 million members in United Kingdom, its largest worldwide market. These price hikes will also not impact any of its existing subscribers to its standard “one-stream at-a-time, standard definition” service or its more premium “four-streams-at-a-time” service.
In an email to customers they said that the increase is so that they can add new films and TV programmes.
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Current Netflix subscribers (or “members” as the company calls them) remain unaffected, with the current price guaranteed till May 2016. The service is set to launch in Portugal, Spain and Italy later this year.
