Netflix (NASDAQ: NFLX) enacted price increases in several markets over the last few months. Most recently, it announced a price increase for U.K. viewers, with its standard plan increasing 1 pound and premium viewers paying 2 pounds more per month.
The move follows price hikes in the U.S. and Canada at the end of last year, and it’s very likely Netflix will make additional price increases in other markets, particularly Europe, in 2021. That’s despite increased competition from Disney (NYSE: DIS) in Europe and other regions. Here’s why investors should expect more price increases and what it means for Netflix’s bottom line.