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Netflix Partners With a Leading Retailer for the First Time to Offer Cheaper Subscriptions

January 22, 2024
in Technology
Netflix Partners With a Leading Retailer for the First Time to Offer Cheaper Subscriptions
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Netflix

Streaming giant Netflix has partnered with French retail chain Carrefour. The partnership seeks to lower the cost of subscriptions to attract more subscribers to the platform.

This one-of-a-kind deal was announced on January 15, and it will be exclusive to customers based in Rouen and Bordeaux cities in France. These customers will receive no-commitment subscriptions with ads on the standard €5.99 per month.

The offer also comes with a 10% discount on Carrefour brand products. The deal will benefit both Netflix and Carrefour, adding the number of subscribers and customers on both platforms.

A One-Of-A-Kind Netflix Deal

This partnership marks the first time that Netflix is offering subscriptions by working with a leading retailer. The streaming giant is planning to extend the collaboration beyond the two cities.

The announcement said that if the pilot conducted in Rouen and Bordeaux does not work, the Carrefour Plus program will run across the entire France by the end of the year. Given the increased concerns about high streaming costs, it is likely that Netflix and Carrefour customers might hop on to the deal for win-win benefits.

The sales director at Netflix, Laurent Uguen, opined that the deal seeks to make “series, films, and games even more accessible to new audiences.”

Carrefour Group’s Caroline Dassié also opined that the retailer was always looking for new ways to remain innovative by providing new services and promotions to improve customer experiences and increase customer purchasing power,

“With the Carrefour Plus program, in partnership with Netflix, we want to help our customers avoid compromising between entertainment and food,” Dassié opined. “From today, subscribed customers can benefit from a 10% discount on all Carrefour brand products as well as the Netflix catalog.”

The Carrefour Plus Program will also feature event spaces across ten stores. These spaces will display Netflix merchandise such as T-shirts, mugs, bags, and figurines from popular Netflix films such as Stranger Things, One Piece, and Bridgterton.

Netflix arrive chez Carrefour, avec des nouveaux corners dédiés en magasin. https://t.co/6gFQ5r7dfR pic.twitter.com/oOWsxFNbba

— Raphael Grably (@GrablyR) January 16, 2024

Netflix Targets More Subscribers with Lower Costs

Netflix seeks to solve the issue of declining subscriber numbers with lower-priced tiers. Streaming giants have been exploring ways to increase profitability without causing an exodus of customers due to highly-priced packages. So far, ad-based packages and bundled subscriptions have been a suitable alternative.

Netflix is going the extra mile with this partnership with a leading retailer. Recently, the company admitted to increasing subscribers using its ad-supported package. This package has surpassed more than 23 million users globally.

During the Q3 2023 earnings report, Netflix reported a 7.8% year-over-year revenue increase to $8.54 billion. During the quarter, the streaming giant also gained 8.76 million, with this growth being primarily driven by its ad-supported tier. Netflix stock is up 46% over the past year.

Netflix is scheduled to announce its Q4 2023 results on January 23. The results come on the backdrop of a major streaming war that has seen giants forge partnerships and other deals to attract more subscribers and remain relevant.

While announcing its Q3 results, Netflix predicted that Q4 2023 revenues would hit $8.7 billion, an 11% year-over-year increase. The streaming giant also anticipated that the net additions for new subscribers would look similar to the third quarter. The company also said that over 70% of its membership is outside the US.

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Copyright for syndicated content belongs to the linked Source : TechReport – https://techreport.com/streaming-news/netflix-partners-with-a-leading-retailer-for-the-first-time-to-offer-cheaper-subscriptions/

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