Despite the great success of the fourth season of stranger things, Netflix subscribers continue to decline, and the company has already laid off 300 employees. It is therefore not surprising that the service of diffusion are planning to launch a cheaper plan with ads.
In these times I’m sure many want to save as much as possible so this makes sense and should inspire many to switch (or subscribe) and accept that they will have to watch ads in exchange for a price lower monthly.
The move comes shortly after Disney+ introduced a plan with ads.
When will Netflix’s ad-supported plan arrive?
This June 23, Ted Sarandos, co-CEO of Netflix, confirmed during the Cannes Lions advertising festival that commercials are already on their way to Netflix, but he did not advance the exact date when this will happen.
According The New York TimesNetflix informed its employees that the ads would be introduced at end of 2022a little earlier than it seemed when co-founder and co-CEO Reed Hastings hinted that it would.
In which countries will the Netflix ad-supported plan be available?
Netflix has also made no progress on where it will showcase its advertising plan. The United States is surely one of the first countries, because it is where they have a larger user base. This is also where the plan with the Disney+ announcements will arrive first.
In any case, it is likely to spread to other countries, and Europe will surely be one of the first. If it works well and once the company knows how to manage ads in each region, it could also reach Latin America.
How much will the Netflix ad-supported plan cost?
Again, the price of the new advertising package is another unknown. What we do know is that the purpose of an ad-supported plan is to be able to offer a cheaper subscription price.
Here is the current price of the Netflix packages already available:
The plans have a $5 difference between them, so if the same trend is applied for the plan with ads, Netflix might charge you only $2.99 per month.
Obviously, the new plan would differ from the more expensive ones in several ways. For example, current plans differ in terms of video quality. The Premium plan allows 4K content, while the Basic plan is limited to 480p.
Each plan also offers a different number of simultaneous streams, and you may only be able to use one screen at a time with the (cheapest) advertising plan. All of this can influence your final price.