by Nabaparna Bhattacharya, Benzinga Editor
Netflix, Inc. NFLX+0.36%+ Free Alerts is reportedly concluding its free mobile plan in Kenya, which has authorized users to access a quarter of its shows and movies without spending over the past two years.
It did not say how many subscribers it had added as a consequence of the strategy, designed to recruit new paying users, according to a news report by Reuters.
“We definitely learnt a lot from the test,” a Netflix spokesperson told Reuters. “We are going to continue to offer a variety of other plans.”
Netflix is introducing a plan supported by advertisements, priced at 4.99 pounds ($6.07) per month, the report added. However, there has been no confirmation of its availability in Kenya.
The streaming giant was recently in the headlines for facing significant hurdles in expanding its footprint in India.
Despite reducing subscription costs, the streaming giant failed to make inroads in the populous country.
While emerging economies like Kenya present significant growth opportunities for streaming services, they also bring challenges as inflation erodes consumers’ purchasing power, according to industry leaders, Reuters said.
The company has been intensifying its efforts to captivate African audiences by commissioning a plethora of local “home-grown” content from various regions across the continent. This initiative is integral to the streaming giant’s strategy to augment its subscriber base in Africa.
Price Action: NFLX shares are trading higher by 0.33% to $387.23 on the last check Tuesday.
___
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.