In an effort to attract a younger audience, Hulu announced this morning a price reduction for its on-demand streaming service. Students who are 18 years or older and currently enrolled in a U.S. college or university can now subscribe for $1.99 per month. The company states this is a discount of over 65% compared to the regular price of $5.99 per month for the ad-supported subscription.

Students will have full access to the standard Hulu streaming experience, featuring a vast collection of on-demand films and television shows, including Hulu Original programming. They will also be able to utilize the recently introduced Watch Party function, enabling synchronized viewing with friends and family remotely, alongside a sidebar group chat feature during playback.

Hulu has implemented various promotions and discounts over the last several years to expand its subscriber base. For instance, in the fall of 2017, the company collaborated with Spotify on a bundled offer specifically for students. This offer was subsequently broadened to include Showtime and then made available to a wider range of customers. In 2019, Hulu again adjusted its pricing, lowering the cost of its standard streaming service while increasing the price of its Live TV add-on, and also introduced a further discounted Spotify-Hulu bundle.

These types of promotions are designed to increase the number of subscribers to Hulu’s basic service, with the expectation that users will eventually choose to upgrade to more premium plans. Specifically targeting students, the aim is to establish a customer base during a period when they are potentially subscribing to services for the first time. Hulu anticipates that these students will recognize the continued benefit of the service after graduation and transition to full-price subscriptions.

The launch of this new student offer follows a recent price increase for Hulu with Live TV – an adjustment made to support the addition of 14 new channels from ViacomCBS. As Hulu’s Live TV service increasingly resembles traditional television in terms of cost, attracting subscribers to the on-demand plan becomes crucial as an initial step toward potential future upgrades.

Hulu has indicated that this new student offer is ongoing and is being implemented starting today.