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Netflix is testing cheaper long-term subscription plans in India

Is Netflix pre-empting the arrival of Disney Plus in India?

Published onDecember 11, 2019

Xiaomi Mi TV Pro Netflix

Netflix is pushing hard to lure the very price-conscious Indian consumer. The streaming service is amongst the most expensive in the country and it looks like Netflix wants to change that. After the success of its affordable mobile-only plans, the platform is now testing the waters with new long-term subscription plans.

Netflix confirmed to Android Authority that it’s testing new three-month, six-month, and 12-month subscription plans in India. This is the first time Netflix will be testing long-term plans anywhere in the world. The new plans discount Netflix’s premium subscription in India by up to 50%.

The testing is currently limited to select users. Netflix tested its Rs 199 (~$2.81) mobile plans in India earlier this year, followed by a formal launch in the market. Similarly, the new long-term plans could also get a wider launch if Netflix’s testing proves to be successful.

The new long-term Netflix plans were first spotted by twitter user Tanmay Patel, who posted a screenshot of the deal.

New long term Netflix plans India

The new quarterly premium (4K) Netflix subscription is priced at Rs 1,919 (~$27), which is a 20% discount over what a user would pay in monthly Premium subscription fees for three months. Similarly, the six month Premium subscription plan is priced at Rs 3,359 (~$47), a discount of 30%. The annual Premium Netflix subscription plan is priced at Rs 4,799 (~$68) which is 50% less than existing prices.

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“We believe that our members may value the flexibility that comes from being able to pay for a few months at once. As always, this is a test and we will only introduce it more broadly if people find it useful,” Netflix told Android Authority in an emailed statement.

With these new long-term plans, the platform continues to show commitment towards the Indian market. Just last week, Netflix CEO Reed Hastings said that the company will invest Rs 3,000 crore (~$400 million) in local Indian content.

In addition to more local content, a reduction in subscription prices would definitely work in Netflix’s favor. With the Disney Plus-Hotstar collaboration on the horizon, and competition from Amazon Prime Video, Netflix has a tough challenge ahead to survive in the fast-growing Indian VoD market.