The cheaper Netflix subscription with advertisements disappointed many



by   |  VIEW 75

The cheaper Netflix subscription with advertisements disappointed many

Netflix this week introduced its cheaper version of its monthly ad-supported subscription. However, not everyone is happy with the offer. The cheaper version of the Netflix subscription will cost $6.99 per month in the United States, where it is available now.

The version was also launched in Canada, Australia, Brazil, France, Italy, Germany, Japan, Korea, Mexico, Spain, and the United Kingdom at different prices. The company said that current plans and members will not be affected and that the "'Basic with Ads" version complements the existing Basic, Standard, and Premium ad-free plans.

The new version will have most of what's available with Netflix's current $9.99 per month Basic plan. However, the "Basic with Ads" option will include an average of four to five minutes of advertisements per hour.

These ads will be 15 or 30 seconds long and will be shown before and during TV shows and movies. “A limited number of movies and TV shows won’t be available due to licensing restrictions," said Netflix’s COO, Greg Peters.

While most current subscribers won't see much of a change unless they upgrade, the launch of ad-supported Netflix is ??one of the most significant moments in the company's 25-year history.

Netflix announced a subscription tier in November

“We are still in the early days of deciding how to launch a lower priced, ad-supported option and no decisions have been made,” they said.

“So this is all just speculation at this point”. As part of the company's plan to reduce subscription fees, Greg Peters explained how advertising would be introduced. He said Netflix wants to “provide an incredible experience for consumers … who choose to take the ad-supported offering, but also provide an incredible experience for brands and advertisers who want to work with us to make sure that we’re doing a good job of elevating what that looks like for them”.

“I think for them … they’ve wanted to connect with the titles, incredible content that [Netflix chief executive, Ted Sandros’s] team was putting out there,” he said. “And I think we also share a perspective on what is a great experience for consumers and for advertisers.

“So when you think about the kind of advertising we see, frequency caps, what’s a great ad experience, we’re noticing a high degree of alignment there. “So that enthusiasm, that alignment is increasing sort of my optimism and the excitement that I’ve got to basically get this out there because I think it’s going to be a win-win-win for all parties involved”.