September 6, 2019
Netflix invented the loss-leader subscription streaming video-on-demand market, a business model that has essentially upended how Hollywood markets movies and TV shows to consumers.
But apparently that’s not enough of an incentive for some pundits.
An extensive report by London-based research firm Comparitech analyzed in which country Netflix offered the best/least economic value to consumers.
In short, Netflix Colombia and Netflix India offer the best value to subscribers, while Netflix Iran and Netflix Denmark offer the least value following analysis of 77 countries the Los Gatos, Calif.-based service offers service. The SVOD behemoth is available in 190 countries.
Comparitech took the total number of movies and TV shows Netflix offers in country analyzed and then divided that number by the monthly subscription price — from basic to premium tier.
Notably, despite offering the most content in the United States, Netflix America did not rank among the Top 10 economically favorable (or unfavorable) markets for subscribers.
Indeed, the report found the United Kingdom fell out of the Top 10 when factoring in premium plans. The U.S. dropped to 18th from 13th when upgrading from basic to premium service.
Comparitech said the average cost of a title (worldwide) is $0.00202 for basic plan subscribers, $0.00134 for standard subs, and $0.00085 for premium.
Thus, the average Netflix sub globally pays 55% more per title for a basic plan than Colombians, and about 50% more per title for standard and premium plans than do subs in India.
Colombia also offers the least expensive Netflix monthly subscription at $4.90 per month for basic service. This is 60% less than the comparable basic plan in the United States; 50% cheaper than the premium plan.
On the flipside, basic subscribers ($9.99) in Iran pay an average of $0.00347 per title, based on a catalog of 2,301 titles, including 586 TV shows and 1,715 movies.
Basic subs ($14.84) in Denmark pay $0.00336 per title based on a catalog of 3,525 titles, including 1,063 TV shows and 2,462 movies.