Netflix India has reduced the fees for all plans in an effort to increase penetration in the country

Netflix India dropped prices across its subscription plans on Tuesday in an effort to aggressively expand its base in a country that is critical to its business and still has millions of untapped users.

Netflix is lowering its India pricing for the first time since the service’s launch in 2016, as it seeks to increase its user base in the face of intense competition and a growing appetite for digital content in the country.

The entertainment streaming service reduced the price of its flagship basic plan by 60%, from Rs 499 to Rs 199, allowing customers to access content on any device, including television. The mobile-only monthly plan in HD quality, which the company began testing in July 2019, was reduced from Rs 199 to Rs 149. According to industry estimates, the plan is a success, accounting for nearly half of Netflix’s subscriber base.

The service’s most expensive Premium tier, which includes Ultra HD content and support for four concurrent screens, is now priced at Rs 649 per month, down from Rs 799 per month.

Amazon Prime’s monthly plan starts at Rs 129/month, while Disney+Hotstar charges Rs 1499 per year for premium services and Rs 499 for Disney+Hotstar mobile.

“The new price plans are in line with our strategy to provide content that goes deeper into the country and aims to reach wider audiences,” Netflix India vice president of content Monika Shergill told Livemint.

According to Shergill, the platform is introducing a diverse range of titles, both films, and series, aimed at targeting the masses, while already investing in dubbing and subtitling. The move stems from the global traction that Indian titles have seen in recent months, as well as the increased number of users who have joined the platform over the past year and a half of the pandemic.

She explained that the latest change means that existing users will have the option of upgrading to more benefits at the same price they were paying or opting for a lower rate to continue receiving the same benefits.

According to Media Partners Asia (MPA), Netflix is far behind Hotstar Disney (46 million) and Amazon Prime (5.5 million) in terms of subscription customers worldwide: it is expected to add 5.5 million subscribers by the end of 2021, far fewer than Hotstar Disney (46 million) and Amazon Prime (5.5 million) (21.8 million).