In an effort to increase subscriber numbers and deter password sharing, Netflix has implemented a cost-saving measure in over 30 countries.
According to The Wall Street Journal, the streaming service has reduced prices by up to 50% in certain countries in the Middle East, Asia, Europe, and Latin America.
The increase in competition within the streaming industry has led to Netflix's new pricing strategy.
Netflix's co-Chief Executive had previously revealed plans to increase prices before implementing the new cost-saving measure.
The new pricing strategy has no effect on larger markets like the U.S. and Canada, where an ad-supported tier is already available, but it provides an opportunity for Netflix to try different pricing strategies.
Netflix is aware that consumers have numerous entertainment options, and the company aims to exceed their expectations by providing a superior experience, according to a company representative.
Greg Peters, co-Chief Executive of Netflix, has referred to the streaming service as a "non-substitutable good."
Netflix plans to increase its investment in content offerings, in addition to providing more affordable prices in applicable countries.
Despite attempts to prevent password sharing, Netflix still faces challenges in retaining subscribers, in part due to the frequent cancellation of original content.