Netflix comes with a cheaper plan for Malaysians who use their smartphone to use Netflix. This subscription costs RM 17 ($4) per month, about half of a regular Netflix subscription. The user can only register one mobile device and the video quality is reduced to 480p.
With cheaper mobile-only subscriptions, Netflix wants to introduce more consumers to their on-demand content. In a country like Malaysia, this seems like an excellent strategy.
According to estimates, 88% of Malaysians have a smartphone and 78% of internet users in the Southeast Asian country use their mobile to stream and download.
Just like in India, Netflix competes with a series of aggressively priced competitors such as iFlix, Dimsum, PlayTV and Astro Go, and as in other markets, the company has invested in producing original content to better serve the customer. The standard price for Netflix has long been seen as limiting, certainly in countries where local price fighters are active.
In India, a cheaper mobile-only subscription has already been introduced for about $ 2.80 per month. According to Netflix, the uptake of the mobile-only subscription in India was better than expected.
The announcement comes at a time when Netflix is slowly raising prices in developed countries. In the US, Netflix now costs $ 13 a month.
The company said last week that it welcomed 6.8 million new subscribers in the quarter ending in September. That was below the expectation of 7 million.