A confirmation from Netflix’s executives follows previous leaks and reports that the company is developing a less expensive subscription plan supported by advertisements. Netflix has recently been seen working on a live stream feature that will allow users to watch some shows live, like award ceremonies and reality shows.
Ads based Netflix Subscription
The Hollywood Reporter claims that Ted Sarandos, co-CEO of Netflix, revealed information about platform ads and a new strategy to grant customers’ requests for cheaper Netflix access.
“We’ve left a big customer segment off the table, which is people who say: Hey, Netflix is too expensive for me, and I don’t mind advertising,” says Sarandos in his statement.
The company is now aware of customers who want Netflix but at a lower cost, as the Basic plan costs $9.99 in the US, and this audience doesn’t care about advertisements, the statement makes clear.
As everyone is aware, Netflix lost about 200,000 subscribers in the first quarter of 2022. To make up for this loss, the company has many fresh ideas, chief among them this new subscription plan and others like restricting password sharing.
In addition, Sarandos said, “We’re not adding ads to Netflix as you know it today; we’re just adding an ad tier. For people who say, “Hey, I want a lower price, and I’ll watch ads,” we’re adding an ad tier.
Ted Sarandos, the co-CEO, confirmed categorically that the business is creating an ad-supported subscription plan without bothering with a convoluted statement. He also dispelled any lingering doubts regarding the platform’s lack of advertisements, saying that only an ad-supported plan would include advertisements.
There may be a reason for the interview, which was conducted at the Cannes Lions advertising festival because Netflix was present. Furthermore, the cost of this subscription plan is completely unknown, but rumours claim it will be available by the end of this year.
