Now that Hulu Plus has been lifted out of preview, the video streaming service cut subscription prices to $7.99 per month from $9.99 per month. But don't worry if you've already paid $9.99; the Hulu blog says that subscribers who paid the higher price will receive a credit on their next billing cycle.
The reduced price isn't that significant (you can barely buy a cup of coffee for $2 nowadays), but it should give Netflix a run for its money. There was speculation this year that Netflix would offer streaming-only subscription plans, and now the company is testing them, priced at $7.99 per month, in the United States. There is no official word as to when these streaming-only plans will see a wide rollout in the US.
In terms of accessibility, Netflix has almost become ubiquitous with televisions, gaming consoles, smartphones, tablets, and just about every Internet-connected device. Hulu Plus is working on building its own 720p streaming retinue, with access coming to:
- Internet-connected Vizio, LG Electronics, and Panasonic Blu-ray players and HDTVs
- TiVo Premiere DVRs
- Xbox 360
- Western Digital's WD TV Live Hub Media Center and WD TV Live Plus Network Media Player
Hulu is also offering a bunch of "look at me!" incentives, such as:
- One free week for new subscribers
- Two free weeks for current subscribers and referrals
- 11 free weeks to anyone who purchases a Sony Bravia-connected TV or Blu-ray player
- One free month for those who purchase a new Roku
Though Hulu as a company is doing well -- 30 million users and $240 million in revenue in 2010 -- GigaOM mentions a recent survey found that only 4 percent of Hulu viewers subscribe to its Plus service, and that 88 percent of Hulu Plus subs also have a Netflix subscription. That Hulu Plus hasn't found any loyalists yet isn't encouraging.
So is this 20 percent cut simple competitive economics, or is Hulu getting desperate for subscribers?