Netflix Cuts Prices in Some Countries to Boost Subscriptions

The Netflix series "Squid Game" is played on a mobile phone in this picture illustration taken September 30, 2021. REUTERS/Kim Hong-Ji/Illustration
The Netflix series "Squid Game" is played on a mobile phone in this picture illustration taken September 30, 2021. REUTERS/Kim Hong-Ji/Illustration
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Netflix Cuts Prices in Some Countries to Boost Subscriptions

The Netflix series "Squid Game" is played on a mobile phone in this picture illustration taken September 30, 2021. REUTERS/Kim Hong-Ji/Illustration
The Netflix series "Squid Game" is played on a mobile phone in this picture illustration taken September 30, 2021. REUTERS/Kim Hong-Ji/Illustration

Netflix Inc said on Thursday it has cut prices of its subscription plans in some countries as the streaming giant looks to maintain subscriber growth amid stiff competition and strained consumer spending.

The stock fell nearly 5%, underperforming the broader market and on course for its worst day in more than two months.

The past year has seen intense competition in the streaming industry as a pandemic-driven boom fades and consumers curtail spending over fears of a possible recession, forcing companies to rethink their strategies.

According to the Wall Street Journal, which first reported the news, the price cuts took place in some countries in the Middle East, sub-Saharan African, Latin America and Asia.

The cuts apply to certain tiers of Netflix in those markets - in some cases, the cost of a subscription was halved, the Journal reported.

Netflix, which operates in over 190 countries, has been looking to grow its share in newer international regions as the US and Canada markets saturate. Earlier this month, it laid out plans to crack down on password sharing for accounts on its streaming platform.

The company added about 7.6 million subscribers in the fourth quarter after bleeding subscribers in the first half of 2022 as rivals such as Paramount+ and Disney+ raked in subscribers.

But average revenue per membership declined across regions in the last three months of 2022.

"We're always exploring ways to improve our members' experience. We can confirm that we are updating the pricing of our plans in certain countries," a spokesperson for the company said.

The spokesperson did not give further details about the price cuts.



‘Jurassic World Rebirth’ Bites Off $318 Million at the Global Box Office

This image released by Universal Pictures and Amblin Entertainment shows Scarlett Johansson in a scene from " Jurassic World: Rebirth." (Jasin Boland/Universal Pictures and Amblin Entertainment via AP)
This image released by Universal Pictures and Amblin Entertainment shows Scarlett Johansson in a scene from " Jurassic World: Rebirth." (Jasin Boland/Universal Pictures and Amblin Entertainment via AP)
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‘Jurassic World Rebirth’ Bites Off $318 Million at the Global Box Office

This image released by Universal Pictures and Amblin Entertainment shows Scarlett Johansson in a scene from " Jurassic World: Rebirth." (Jasin Boland/Universal Pictures and Amblin Entertainment via AP)
This image released by Universal Pictures and Amblin Entertainment shows Scarlett Johansson in a scene from " Jurassic World: Rebirth." (Jasin Boland/Universal Pictures and Amblin Entertainment via AP)

Dinosaur fatigue may be a theme in “Jurassic World Rebirth,” but moviegoing audiences don’t seem to have that reservation. The newest installment in the “Jurassic World” franchise ruled the Fourth of July holiday box office with a global, five-day launch of $318.3 million, according to studio estimates Sunday.

The Universal Pictures release, directed by Gareth Edwards, opened on Wednesday and earned $147.3 million in its first five days in 4,308 North American theaters. An estimated $91.5 million of that comes from the traditional “three day” weekend, which includes the Friday holiday, Saturday and projected Sunday ticket sales.

Internationally, it opened in 82 markets including China, adding $171 million to the opening total. According to the studio, $41.5 million of that came from China alone, where it played on 65,000 screens, 760 of which were IMAX. It's the country's biggest MPA (Motion Picture Association) opening of the year.

“Rebirth,” starring Scarlett Johansson, Mahershala Ali and Jonathan Bailey, is the fourth movie in the “Jurassic World” series and the seventh since Steven Spielberg’s original Michael Crichton adaptation stormed theaters in the summer of 1993. The new film received mixed reviews from critics, carrying a 51% on Rotten Tomatoes, and B CinemaScore from opening weekend audiences, The Associated Press reported.

Factors like the holiday weekend, inflation and post-COVID moviegoing realities make it difficult to fairly compare the “Rebirth” launch to the other films in the “Jurassic World” franchise, the first of which opened to $208 million domestically in 2015. The other two, “Fallen Kingdom” and “Dominion” opened to $148 million and $145 million respectively.

“Jurassic World Rebirth” introduced a new main cast to the series and brought back a familiar voice in “Jurassic Park” screenwriter David Koepp to guide the story about a dangerous hunt for dinosaur DNA (not for making dinosaurs this time, but for curing heart disease). It cost a reported $180 million net to produce, not including marketing and promotion costs.

The campaign was far reaching, including a global press tour, with stops everywhere from London to Seoul, integrated marketing across NBC Universal platforms and brand tie-ins with everything from Jeep and 7-11 to Johansson’s skincare line.

No major new films dared go up against the dinosaurs, who left last week’s champion, the Brad Pitt racing movie “F1,” in the dust. “F1” fell a modest 54% in its second weekend with $26.1 million, helping bring its domestic total to $109.5 million. It continues to play on IMAX screens with accounted for $7.6 million of the North American weekend ticket sales. Globally, it's nearing $300 million with a running total of $293.6 million.

Third place went to Universal's live-action “How to Train Your Dragon,” which earned $11 million in its fourth weekend, bringing its domestic total to $224 million. Disney and Pixar's “Elio” landed in fourth place with $5.7 million. Globally, “Elio” has just crossed $96 million in three weekends.