1y ago

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

finance.yahoo.com 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

After years of inflation, Americans are used to sticker shock. But nothing compares to the surging price of streaming video.

Last week, Apple TV+ became the latest streaming service to raise its price—up from $6.99 to $9.99 per month—following the example of Disney+, Hulu, ESPN+, and Netflix, which all hiked their prices in October.

Half of the major streaming platforms in the U.S. now charge a monthly fee that’s double the price they charged when they initially came to market. And many of these streaming services haven’t even been around for 10 years.

Technology @lemmy.world

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

finance.yahoo.com /news/consumers-paying-more-ever-streaming-181821039.html

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44 comments

Some of us suddenly stopped paying anything for streaming this year.
- Yarr.
  
  batten down the hatches

Consumers are paying
That. That's the reason they're not stopping.

Disney is for those have kids, they will pay a lot to have sure they have a free time. Apple tv can rise whatever they want, apple clients already prove they pay any questionable thing for whatever price they offer.
- For other parents: PBS Kids Video It has a bunch of stuff, can be cast to a TV for toddlers; or put on a tablet for older toddlers.
  For paid streaming services, we have decided to limit ourselves to two at a time. Once we're bored with one, we cancel it and do another for a while.
- I would literally never pay money for my kid to be able to watch Disney or probably any TV. The only thing I ever pay money for is a few educational apps and they are cheap. You can't rent kid's movies at the library if you don't pirate things.

We stopped subscribing to anything. I get some stuff as part of my phone plan but once thats over I am not paying to have these services. I pretty much fell behind on torrent, so there will be a learning curve.
- It’s easier now. It’s automated.
- We stopped all the subscriptions in the spring. I pay for Usenet access, but it’s less than Netflix alone used to be. It’s automated and I don’t have to worry if my services have what I want to watch.

Pushing ads pushes profits
Some observers see another reason for the frequent price hikes: to push subscribers to their breaking point, and compel them to opt for a lower-priced, or even free, ad-supported plan instead.
Disney CEO Bob Iger said as much during an August earnings call: “We’re obviously trying, with our pricing strategy, to migrate more subs to the advertiser-supported tier.”
Why? Unlike a paid subscription, which brings in a fixed amount of revenue each month, there is no ceiling to advertising revenue. The number of ads displayed and the rates a streaming platform can charge marketers for the ads are constantly fluctuating, offering unlimited revenue upside.
Son of a removed

What the hell. Can people please cancel en masse already? Why are consumers putting up with this? The price increases stop once it’s not profitable anymore.
- The price increases stop once it’s not profitable anymore.
  When has this ever happened?
  
  Just to be clear, are you questioning whether there’s ever been a case where prices have been stable because a company is worried about losing customers? I mean, there are tons. We’re coming out of a 20 year period of historically low inflation. High inflation is recent, not inevitable.
  Consumer electronics are an obvious example. Smart phone prices actually dropped this year on soft demand.
- This generation of consumers is even dumber than the last one.
  They pride themselves on getting taken for a ride because it gives them a sense of belonging.

and analysts say there’s no reason for the companies to stop raising prices
Well, my VPN is cheaper and won't restrict me via fragmented exclusive content.
- Not only using the VPN for that, but also, to take advantage of regional pricing for subscriptions in other countries. After the price hike, I'm paying $5 for Netflix in another country instead of the US price. Still get the same shows as a US subscription.

But how will the CEOs be able to buy their fourth super yacht if they don’t raise prices more? Won’t someone please think of the CEOs stuck with only three super yachts?

I've been making fun of them for years and they just keep doubling down on their stupidity.
I've lost hope for this generation.
You can stream pretty much anything for free here: https://fmoviesz.to/
Just make sure you have uBlock Origin installed.
Use your brains, not your wallets. (unless you're a useful idiot)
- Which “generation” are you referring to? I’m willing to bet the older generations, ya know the ones who paid hundreds on cable a month for decades, are the least price sensitive and tech savvy.
  
  I'm referring to just about everyone under 35.
  ya know the ones who paid hundreds on cable a month for decades, are the least price sensitive and tech savvy.
  You mean the ones who didn't have any alternative?
  What about the ones who do? It's just a quick internet search away, but they'd rather use their wallets to fit in with everyone else.
- Ok, question. I'm totally tech illiterate, but have heard these kinds sites are used to farm for crypto? Like I'd rather just not watch new shows or movies at this point until I can take the time to learn to pirate again safely.
  
  Adblockers should block those scripts too.
  Even if it didn't, don't worry about it. All it does is run a script on the webpage. It used a little of your CPU time, but otherwise doesn't affect your PC.
  
  Even if that was true, why would it be bad? As long as they aren't overdoing it, why would you care?
  
  these kinds sites
  Well, when you're that ambiguous, sure you can find streaming sites that mine crypto.
  Does that mean this one does? Well, I'd wait until there is evidence before clutching my pearls.

Of the price increases, the Apple one is the only one that doesn’t really offend me. It was dirt cheap after it launched because it didn’t have a big library of original content. No one was going to pay more than $5 for that service.
Now they have somewhat of a modest library, and now it’s $7.
Edit: got my numbers wrong. Going from $7 to $10
- This article says they're raising it to $10, no? I think this is the article I read earlier. But Central Park is fantastic and the only thing I know about Apple TV.
  
  Yeah, my bad. It’s going from $7 to $10. You’re right.