Netflix is looking for ways to bring in more subscribers, and now it’s ready to test a cheaper version of its streaming service. CEO Reed Hastings confirmed the plans to Bloomberg, and it looks like Asia is the most likely region.
The company is hoping to make further inroads into the continent, but right now it is more expensive than many other streaming services in the region. Many of Netflix’s rivals in Asia have both free and paid versions, while the ad-supported YouTube is enormously popular there as well. However, Netflix’s content is a better quality than it has ever been.
So to help it build interest among potential subscribers, Netflix is developing more than 100 projects in Asia, and it just announced a variety of shows and movies from five countries across the region. Hastings thinks that Netflix could hit 100 million Indian subscribers. Right now it has more than 130 million subscribers worldwide, though it reportedly has yet to break the two-million barrier in any Asian nation. But he says that Netflix doesn’t have plans for cheaper pricing in India.
Instead, it will introduce a lower-cost tier, which will be an alternative version of its service with different features compared to the other plans. This is an interesting strategy.