INSUBCONTINENT EXCLUSIVE:
Netflix is the world's largest streaming service with more than 130 million subscribers.Netflix Inc
said it will test a lower-priced version of its film and television streaming service in some markets to boost sales.The company hasn't
committed to lowering prices anywhere, but does want to experiment, Chief Executive Officer Reed Hastings said in an interview Friday
He didn't say when or where the test would be conducted.A lower-priced offering would be a departure for Netflix, which has maintained or
raised prices in major markets as it adds content and invests in local productions to draw subscribers
While the company alluded to experiments with cheaper subscription deals in a conference call last month on its earnings, this is the first
time Netflix has said it will test a lower-priced tier in some markets.Netflix offers subscriptions at three price levels, and doesn't plan
to lower that of its cheapest tier
Instead, executives are formulating an alternate version of the service, or a fourth tier, that will have different features and cost
less.Netflix streaming first gained traction in the U.S
by offering a buffet of TV shows and movies for a fraction of the cost of pay-TV, encouraging millions of people to cancel their cable and
satellite subscriptions -- also known as cord-cutting
Now, the world's largest streaming service is looking for growth in countries where per-capita income is significantly lower.Asia
PricesPrices vary a bit by territory, and the cheapest U.S
Many in Asia, including PCCW Ltd.'s Viu, offer a free service and a paid service, with the latter typically priced between $2 and $5 a
month."Leaving prices where they are, we are a very premium service," Todd Yellin, Netflix's vice president of product.Netflix, the world's
largest streaming service with more than 130 million subscribers, is looking to Asia as fertile territory for new customers after entering
the region three years ago
The company announced 17 new shows from five Asian countries at an event last week in Singapore, where it hosted more than 100 journalists
and social media influencers from across the region.The service is developing more than 100 film and TV projects across India, Korea, Japan,
Thailand and Taiwan and has set up a local headquarters in Singapore
It is also looking to hire in Seoul, Tokyo and Mumbai.Still, growth has been slow in the region
The company has yet to amass 2 million subscribers in any country, according to estimates by Media Partners Asia
Hastings said Netflix could attract as many as 100 million customers in India alone.India TargetThe most popular video service in Asia, and
the world, is Alphabet Inc.'s YouTube
A bottomless repository of free videos, YouTube has added hundreds of millions of users as access to cheap, high-speed internet has spread
across the region."At what point do these guys start saying we need to change our pricing," said Vivek Couto, executive director of Media
Partners Asia, a consultancy
"He's not going to get 100 million subscribers in India with the current strategy."In India, Netflix offers subscriptions at Rs 500 a month
($6.85), Rs 650 and Rs 800
Star India's Hotstar Premium streaming service, by comparison, sells for Rs 199 a month.Hastings said he isn't too worried about local
competitors, nor is he trying to be as ubiquitous as YouTube
In India, for example, the company is targeting the 100 million or so people who speak some English, and earn enough money to afford a video
service like Netflix.Beyond experimental price cuts, Netflix is also interested in raising prices in other markets.The company has burned
through cash to expand its selection of TV shows and movies and has increased prices in many of its markets over the past few years without
losing customers.(This story has not been edited by TheIndianSubcontinent staff and is auto-generated from a syndicated feed.)
