Tudummm… More Expensive Again!
Netflix is hiking its prices again – at least two francs more for the ad-free subscription. The official justification is “added value,” though part of it is likely to go towards the Swiss quota: 4% of revenues must be reinvested locally – in 2024, that amounted to an impressive CHF 31.1 million.
Streaming prices in Switzerland
Prices for the cheapest Standard plan without ads, in CHF
Source: Digitec
Glowing Numbers Despite – or Because of – the Price Hike
At the same time, Netflix is reporting strong quarterly results: revenue rose 16% to US$ 11.1 billion, and profit jumped 45% to US$ 3.1 billion. The explanation is straightforward: higher prices and growing advertising revenues – a combination that is clearly paying off.
Complain or Cancel?
In Germany, consumer protection groups are taking legal action. In Switzerland, people settle – pragmatically – for the comment sections. And frankly, the situation is clear: Netflix is neither a public service nor a human right. Those who want alternatives have them – some even for free. Saying no to Netflix is always an option.
Brand Power at Blockbuster Level
Yesterday I heard a young woman say: “The moment I hear the ‘Tudummm’, I’m already in chill mode.” That really says it all. A company that can push through price increases and still grow has brand power at blockbuster level – and that is anything but a given.