In business, it’s necessary to get ahead of the competitors who are dominating the industry and it seems like in movie streaming business something like this is happening because according to the recent reports Hulu has decided to drop the prices of its subscription plan after Netflix hikes its prices. Hulu now has agreed to offer its subscription plan $5.99 per month which was earlier $7.99 to compete with Netflix who recently increased the costs of its subscription plan.
There are millions of consumers in this business who likes to watch movies online, and most of them use Netflix because according to the report Netflix now has more than 58 million subscribers which no other company has, and it shows the dominance of it on this industry. However, with this move of dropping its prices Hulu now also has given some indications that they’re ready to provide the excellent services even for low rates only to beat its competitor.
Hulu a few months ago said that it has now more than 25 million online subscribers who on a daily basis use the company’s platform. However, even after having such a good number of subscribers Hulu has decided to drop the prices which might not work for the long term. Netflix concerning quality and quantity offers slight better services to its customers, and Hulu needs to work on those factors. However, it seems like the company has decided to follow the old business formula which is- “Competitor’s disadvantage is your advantages,” and the company has dropped its prices by more than 25%. However, the company has raised its other services prices also because now the company will be Hulu with Live TV service for a cost of $44.99 and not $39.99.
