The Rising Influence of Rising Affluence

[DewDiligence]

NFLX raises monthly subscription price $1—($2_for_premium_plan):

https://www.wsj.com/articles/netflix-raises-price-of-standard-premium-plans-11604000757

Netflix NFLX 3.70% said Thursday its standard streaming plan will now cost $13.99 a month, up from $12.99. Its $8.99-a-month basic plan will remain unchanged, while the cost of its premium plan will rise to $17.99 from $15.99.

… The price increase comes in the wake of Netflix missing its third-quarter subscriber projections amid growing competition and the continuing effects of the coronavirus on the economy. While Netflix enjoyed strong growth in the first and second quarters of this year as people stayed at home, new subscriptions slowed in the third quarter.

… Netflix attributed the price increases to the costs of creating original programming.

Why does it cost so much to produce bad content? I find that perhaps 3% of Netflix Original programs are worth viewing. (I’m watching “The Queen’s Gambit” now; too soon to render an opinion.)