Netflix is raising prices again. These charts show why.

Core Insights - Netflix has increased its subscription prices in the US, with the standard plan now costing $17.99, up from$15.49, and the premium plan rising to $24.99 from$22.99. The ad-supported plan has also seen an increase to $7.99 from$6.99 [1][6] - The price hikes are in line with industry trends, as competitors like YouTube TV and Disney have also raised their prices significantly [2] - Despite the price increases, Netflix remains the most cost-effective streaming service on a per-hour basis, with users on the ad-free plan paying approximately $0.33 per hour and those on the ad-supported plan paying about$0.15 per hour [3][4] Subscriber Growth and Financial Performance - In Q4 2024, Netflix added nearly 19 million subscribers, exceeding Wall Street's expectations, and generated $1.8 billion in net income [5] - The company anticipates generating close to$2.5 billion in net income for Q1 [5] Customer Retention and Content Strategy - Netflix boasts a low churn rate of 1.8%, indicating strong customer satisfaction and perceived value [4] - The price hikes coincide with Netflix's investment in live programming, including NFL games, which have attracted large audiences [4]