This is what they do instead. The long term agreement discount encourages people to stay subscribed rather than discouraging people from (re)starting a subscription.
Payment processors take a cut of every transaction, so it is better for the provider too. And if they are small, not applicable to Netflix, it is nice to have a baseline of income every year.
Most streamers at least have annual subscriptions at a discount. Netflix is month-to-month only, which is just asking for churn.
This is what they do instead. The long term agreement discount encourages people to stay subscribed rather than discouraging people from (re)starting a subscription.
Payment processors take a cut of every transaction, so it is better for the provider too. And if they are small, not applicable to Netflix, it is nice to have a baseline of income every year.