The company says it will begin testing lower-priced subscription plans in some markets, reports Bloomberg. The test is being done to see if lowering monthly subscription costs will help the company boost the number of subscribers. Netflix CEO Reed Hastings confirmed the tests in an interview on Friday.
However, Hastings didn’t reveal when or where the test would be conducted. In the U.S. Netflix currently offers three monthly subscription tiers. The basic plan costs $7.99 a month and only supports one screen and only streams non-HD content. The standard plan costs $10.99 a month and supports HD streaming and viewing content on two screens at the same time. The premium plan costs $13.99 a month and supports Ultra HD streaming and viewing content on four screens at the same time.
Bloomberg says Netflix isn’t planning to lower the price of its cheapest tier. Instead, the test will introduce a fourth tier that will offer different features and cost less.