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Netflix offers late Christmas gift to new subscribers with $1 price cut


Netflix has kicked off a new promotion that offers a standard-definition streaming service for $6.99, or $1 less than the popular $7.99 basic service, AdWeek reports. There seem to be two caveats beyond the standard definition limitation: The lower price is offered only to new customers and it only supports streaming to a single device at a time. These are pretty harsh restrictions for a service that yields 12 dollars of annual savings compared to the more lavish $7.99 option supporting multiple screens and HD streaming. Apparently Netflix is targeting true penny-pinchers with this move. The company is known as the ultimate tweaker — Netflix is always busy testing different user interfaces, menu systems and content promotion algorithms. This $1 discount may well be one way to gauge consumer response to slight price variations

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