Streaming platform Twitch has announced that it will be lowering subscription prices in order to entice non-U.S. viewers to subscribe to exclusive streamer content. Previously, Twitch charged a flat-rate subscription fee of 5 USD per month worldwide. However, Twitch now plans to price subscription fees based on the users’ location.
In their recent blog post, Twitch revealed that many viewers have asked for lowered subscription rates so that they can afford to support their favorite streamers and get access to subscription benefits:
“We’ve heard from fans everywhere that it’s not equally affordable around the world to show support, access custom emotes, and enjoy all the other benefits that come with being a subscriber…It’s time for subscription pricing that’s adjusted for where viewers live. Prices that make it so more people than ever can feel comfortable showing their support and enjoying the benefits of a subscription.”
We’re rolling out one of the biggest changes in Twitch history, which will help creators build larger, more global communities: Local Subs Pricing.
The price of a sub in most countries will be lowered, starting with Mexico and Turkey.
Learn more: https://t.co/LzKQxynb5B pic.twitter.com/zNBeRC4WyO
— Twitch (@Twitch) May 17, 2021
Modified subscription fees outside the U.S. will initially be introduced in Mexico and in Turkey from May 20 – with users in each country being charged 48 Pesos ($2.40) and 9.90 TRY ($1.20) per month respectively. Modified subscription fees will then be introduced to other countries in Africa, Asia, Europe, Latin America and the Middle East in the third quarter of 2021.
Twitch believes that its cheaper subscription price model will ultimately help streamers earn a higher revenue due to a higher volume of viewers subscribing to their channels. To further help streamers earn revenue on its platform, Twitch has also launched a 12-month program that will ensure that eligible creators earn a “certain level of revenue”. The minimum amount will be an aggregate of the baseline – or the amount earned by streamers from paid and prime subscribers – with respect to the total hours streamed live. The calculated monthly baseline revenue, the actual subscription revenue, and any updates to streaming requirements will be accessible to eligible creators through the Creator Dashboard.
Moreover, the 12-month program will cover 100% of baseline channel and prime subscription revenue for three months, starting from the month that the price was modified. The percentage of coverage would later decrease to 25% every three months for the next 9 months in the 12-month period.
To know if you’re eligible for Twitch’s 12-month program, click here.