Consumers are paying more than ever for streaming TV each month and analysts say there’s no reason for the companies to stop raising prices
Consumers are paying more than ever for streaming TV each month and analysts say there’s no reason for the companies to stop raising prices
Finding new subscribers in a saturated streaming video market isn't easy. And with legacy media companies desperate to recoup revenue declines in their linear TV businesses, the cost of your monthly plan is likely to keep rising.
Consumers are paying more than ever for streaming TV each month and analysts say there’s no reason for the companies to stop raising prices::Finding new subscribers in a saturated streaming video market isn't easy. And with legacy media companies desperate to recoup revenue declines in their linear TV businesses, the cost of your monthly plan is likely to keep rising.
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No reason to stop raising prices for any business, except for the fact that demand goes down as price goes up. People will cancel or downshift to a cheaper service.
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And as a bonus you have less customers to provide support to!
That's literally what they teach you about basic economics at school..
The standard graph of price increasing on one side and customer demand decreasing on the other, and how companies try to find the crossover point.
Sorry mate this is not some special fight club logic. It's not even really accounting or economics logic, it's just kinda common sense.
What price should I sell my lemonade for? I'll have more customers if I sell it cheaper...
The part which seems lost on most commenters is that these companies have huge and very sophisticated market research campaigns. They can predict with great accuracy how their demographics will respond.
The part which seems lost on most commenters is that these companies have huge and very sophisticated market research campaigns. They can predict with great accuracy how their demographics will respond.
That's pretty much what the above person said lol
They have a good idea of how many people will leave before they do it.
downshift to a cheaper service.
Yarr matey
People will cancel or downshift to a cheaper service.
Streaming platforms make more money from you if you use the cheaper ad-supported plans. The price hikes are to get you off the ad-free plans.