Update (05/10/2022) – GS
In late April, Netflix revealed to its shareholders that it lost a brutal number of subscribers during the last quarter. With this, the streaming giant is already planning new strategies to reverse the situation, including the launching a cheaper plan with adsas well as cutting the budget or canceling some productions.
This week, new details about the new ad plan were revealed by The New York Times. According to the report, Netflix has revealed to its employees that the new subscription modality will be launched before the end of 2022.
Executives claim they plan to implement the tier with ads in the last three months of the year. At least that’s what two people who work at the company say. The statement also explained that Netflix plans to tighten its policy against sharing passwords between subscribers over the same period.
It is worth remembering that Netflix itself already expects to lose another two million subscribers in the coming months, indicating that expectations are not the best.
Even with so many negative factors, the company also believes that its newly created games division could be the key to attracting new consumers in the future, so much so that it has invested heavily in it.
Do you think the new ad plan will be successful?
Original text – 04/20/2022
Netflix has officially revealed that it plans to launch a cheaper version of its service, but with ads. The company’s CEO said he is still finalizing some details for him to be made official.
Recently, Netflix revealed national productions that will debut later this year.
economy and market
Netflix CEO Reed Hastings has revealed that the streaming giant plans to launch the subscription with ads by 2024. He says he finds the presence of advertisements complicated and is a fan of the simplicity of services, but he thinks it’s interesting to give a cheaper option to users. that they don’t care about it.
The plan will adopt the same strategy as Hulu, Disney and HBO. Hastings says that looking at these examples, the initiative works well. He also promised that the company will not track user data to show targeted advertisements.
The company recently revealed to shareholders that it lost subscribers for the first time in a decade. The service lost about 200,000 users in the first half of 2022, blaming competition, the inability to expand into more territories due to technological limitations and mainly account sharing.
According to Netflix data, there are 222 million subscribed accounts, but 100 million of them are shared with other users.
In March, Netflix began testing with an additional fee for users who share a subscription. Basically, it lets you add members to an existing account for a fee.
Developer: Netflix Inc
Price: Free – offers in-app purchases
Size: Varies by platform