How Netflix fares in OTT pricing across SEA

Image credit: S&P Global Market Intelligence

Netflix has been trying hard to win back price-conscious Southeast Asian audiences.

The global streaming giant has recently reduced its prices in more than 100 countries, including five Southeast Asian markets. This stands in contrast with its move to hike subscription fees in developed markets like the US and the UK.

The difference shows the importance of affordability for over-the-top streaming service providers to win in Southeast Asia, according to a recent analysis by S&P Global Market Intelligence.

The analytics firm estimates that Netflix has slashed subscription fees for the basic plan by as much as 46% in some Southeast Asian countries. Other notable findings include:

• Netflix’s price adjustment has resulted in a substantial reduction in the affordability gaps between the mobile-only and basic tiers in five markets.
• Disney+ Hotstar and Lionsgate Play are among the most affordable international streaming platforms in the region.
• More localized services such as WeTV iflix and Viu have also seen their popularity grow with a freemium model, which enables users to access both the free, ad-supported plan and paid subscription tiers.

In January, Netflix said it added 1.8 million subscribers from Asia Pacific in the fourth quarter of 2022. It’s reportedly setting up an office in Vietnam.

See also: Scrutinizing Amazon’s and Tesla’s Malaysian deals

Editing: Thu Huong Le and Dhania Putri Sarahtika