Netflix and Amazon Prime video customers are close to paying the maximum in monthly fees, according to a new study.
New GfK study suggests that $10 to $11 is the most
that subscribers would be willing to pay each month, on average, for subscription video-on-demand services such as Netflix or Amazon Prime.
Currently, current new subscription prices for
Netflix are $9.99 per month for standard service and $10.99 for Amazon Prime’s month-by-month subscription plan.
Considering the rapid acceleration of subscription video-on-demand series
for original programming, GfK suggest that more advertising supported options might be needs for the likes of Netflix and Amazon.
David Tice, SVP of media and entertainment for GfK, stated:
“Hulu and other ad-supported services have offered ‘ad-free’ subscriptions as a premium option; conversely, Netflix and Amazon Prime may need to introduce ‘ad-inclusive’
subscriptions to hold the line on monthly subscription costs for their price-sensitive customer segments.”
Original and/or exclusive content ranks ninth among all the reasons that people
subscribe to streaming services -- 47% of major streaming service users.
The No. 1 reason is price -- cited by 75% of users. “Availability of specific programs” came in second at
69%; and “availability of new movies” was third at 68%.
The new study was conducted among 2,311 U.S. consumers ages 13-64, including 1,007 regular users of a major streaming
service -- Netflix, Hulu, Amazon, YouTube, or TV Everywhere.