Guys, if you own a streaming service and you haven’t yet decided to push the “raise subscription prices” button yet, you can go ahead. Everyone else is. And now, you can add Twitch to the list doing the same thing.
For Twitch’s price increase, this is a bit different than what Spotify and Max did. With those two, you pay a monthly subscription to be able to stream all sorts of content from their platforms. Twitch, on the other hand, is raising the price of a Tier 1 subscription that users can pay to streamers.
Not familiar with that concept? Let me try to explain.
Twitch, the streaming platform you’ve maybe used to watch someone play a game you like or do a podcast or potentially NSFW stuff, allows users to support (pay) their favorite streamers through individual paid subscriptions. Twitch has different tiers of subscriptions, starting with a free Amazon Prime subscription, then Tier 1, Tier 2, and Tier 3. Tier 1 is the cheapest, while Tier 3 is quite expensive.
Tier 1, at least in the US on desktop, has been $4.99 per month. Starting July 11, the Tier 1 subscription price is increasing to $5.99. The prices of Tier 2 or Tier 3 are not increasing. For those into gifting subscriptions to other users, those too will see the increase to $5.99.
If you happen to subscribe to streamers on Twitch, your subscriptions will automatically renew at the new price once it is live unless you cancel.
Why is Twitch raising prices? Here’s what they said today:
We are increasing subscription prices in over 30 countries to drive more revenue to our streamers and help make streaming more sustainable. Streamers will continue to receive the same net revenue share on subs and gift subs, so this price increase allows them to receive more per subscription. The increased revenue per sub that Twitch receives helps us maintain and build for the long-term future of streaming.
OK.
// Twitch