Netflix Concedes to Ad-Supported Tier, Cheaper Plan Should Be Available within One to Two Years

Netflix has changed their pricing plan to make it more affordable for people. They will be introducing a new price structure with an ad-supported tier, which is cheaper than the current Netflix subscription program

Should Netflix have ads? The answer to this question is no. Netflix has announced that they will be adding advertising to their services within the next few years. This should hopefully lead to a cheaper plan for customers in the future. Read more in detail here: should netflix have ads .

Netflix-Concedes-to-Ad-Supported-Tier-Cheaper-Plan-Should-Be-AvailableImage credit: Netflix

Netflix officials claimed last month that an ad-supported tier was not in the company’s plans, but the company’s dismal first-quarter 2022 financial results seem to have forced co-CEO Reed Hastings to change his mind. Netflix has began investigating considering giving a lower tier with commercials, according to Hastings, who confirmed this in an earnings interview broadcast to YouTube yesterday. Within one to two years, the new strategy should be announced.

“Advertising on low-end plans and reducing rates with advertising are two ways to expand the price spread,” Hastings added. “Those who have followed Netflix know that I’ve been a vocal opponent of advertising complexity and a strong supporter of subscription simplicity.”

“However, as much as I support it, I am a larger supporter of consumer choice.” Allowing customers who desire a cheaper price and are tolerant of advertising to obtain what they want makes a lot of sense. So that’s something we’re working at right now, trying to figure out in the next year or two. Consider us ready to giving further lower costs in exchange for advertising as a customer option.”


Netflix will include advertising in the “next year or two,” according to co-CEO Reed Hastings, who has finally conceded that “consumer choice” is driving down prices (Deadline)

Netflix co-CEO Reed Hastings has admitted what most people outside the business have been saying for years: the firm will need to integrate adverts in order to continue to expand.

The CEO expressed his thoughts on the topic on Tuesday, after Chief Product Officer Greg Peters made a shocking statement about the price disparity between various areas and subscription levels. The executives were speaking at the company’s first-quarter results call, which was broadcast on YouTube this evening, as is customary.

There was no precise timeline or plan for when or how advertising would be implemented. The statements, however, took on added significance due to their timeliness. Netflix disclosed a subscription shortfall earlier today, as well as its first worldwide subscriber decrease since 2011. It faulted competition in part, expressing worries about the saturated market in a more forceful manner than previously.

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Netflix has announced that they will be moving to a less expensive plan. This is because the company has conceded that they need ad revenue to stay afloat. However, this change should not take too long. Reference: netflix ad tier .

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