We have long known that Netflix was preparing to launch a new ad-supported plan with the promise that it would be cheaper than the rest. Doubts arose when it was learned that Disney + was going to do the same, but raising its other rates. Now Bloomberg has revealed that Netflix does not plan to go in that direction.
A very considerable discount
Apparently, Netflix is considering the possibility of lowering its most popular rate in the United States from 15.49 dollars to a figure still to be specified between 7 and 9 dollars. Come on, now close to or even higher than 50% depending on the cost they end up setting. In return, let’s remember that it seems that it will not let you download content to watch offline.
Many will think that this will mean a huge number of ads, but the truth is that the idea right now is that they be a few 4 minutes for every hour of content, a figure similar to that weighed by Disney +. What changes is that here we can really save a significant amount of money instead of being little less than an excuse to raise prices.
In addition, Netflix wants to avoid mistakes like Hulu in the United States, where some subscribers have complained about seeing the same ad over and over again. To avoid this, it will not focus too much on targeted advertising according to the type of viewer, since most will see the same ads, which will be included both before each series, film or documentary as well as during it, never at the end. The idea is to be as friendly as possible inside that seeing ads is still an inconvenience.
The objective of this new plan is to get new subscribers with a more affordable rate so that they can access such popular titles as ‘Sandman’, ‘The Witcher’ or ‘Stranger Things’, but also to help retain those who are not very clear that it pays them to continue using Netflix. Right now it seems they expect this fee to generate a whopping $8.5 billion annually by 2027.
At the moment, Netflix is expected to introduce this new rate by the end of the year in a few countries and it will be in 2023 when it is implemented globally.