Here’s How Much Netflix’s New Ad-Supported Tier Will Cost
Netflix’s ad-supported tier has been in the works for months, and now it’s here. The service, which we learned about today through CNBC, will allow users to watch movies and TV shows on an ad-supported basis starting next year. Unfortunately, we don’t know how much this new feature will cost subscribers just yet, though The New York Times suggests it could come with a $7 to $9 price tag per month.
The need for an ad-supported plan
Netflix is looking to launch a new ad-supported tier that would be an additional $2 to $3 more expensive than the current subscription plan. The lower price point could help bolster the service in emerging markets, but some questions need to be answered before it launches.
Netflix has around 100 million subscribers worldwide and this number has been steadily growing for the past couple of years. With such a strong subscriber base,
does it need an ad-supported tier? While this will likely help boost membership numbers in emerging markets like India and Nigeria, not everyone can afford a $15 monthly subscription.
A $10-$12 monthly fee could be a more feasible option for these consumers as opposed to paying double or triple that amount per month.
The potential price point
Netflix has finally announced pricing for their new ad-supported tier, which will cost between $7 and $9 per month. Previously, the only other options to watch shows from the company were through their $11 monthly plan with no ads or their steeply discounted $8 monthly plan that requires a three-month commitment.
With the addition of this new pricing option, customers now have access to most of the content on Netflix at one point of entry into the ecosystem.
This includes original titles like Stranger Things and high-profile movie acquisitions like Bird Box. However, those who want to binge on content for less may want to continue using the service’s two discounted tiers in conjunction with each other.
Reasons why this plan is a good move
The company should be commended for allowing people to access the site without paying for the service. Other companies such as Hulu have begun implementing commercials to fund the service and now Netflix is following suit. Even with a small fee, an ad-supported plan still proves beneficial in many ways.
For example, it is significantly cheaper than its other monthly plans of $9.99 or $11.99 that users can choose from. It is also more affordable than its one-time rental pricing options of up to $4 per episode which get expensive when someone watches their favorite show all the way through in one sitting as many do nowadays.
The benefits of an ad-free experience
Netflix has typically charged a monthly fee for its video streaming service, but with the launch of an ad-supported tier, customers will be able to watch shows on a more traditional TV model. With the new tier of service, there will be ads that appear at the bottom of the screen at certain times (potentially from brands).
Customers who are interested in this new ad-supported tier should know that their first month is free, so it will cost them about $7-$9 per month if they decide to keep the subscription once their free trial expires. They’ll also have access to all of Netflix’s original programming like Stranger Things and House of Cards.
Advertising may be here to stay but shouldn’t be intrusive
No matter the platform, advertisers will always be vying for attention. This isn’t the first time that adverts have appeared in a Netflix show. For example, a Dunkin’ Donuts advert recently popped up in an episode of ‘House of Cards – and let’s not forget Pepsi’s infamous product placement on ‘Gossip Girl.
For as long as these corporate giants try to buy our attention with their products, we need to ensure they don’t become intrusive. We could also look at this from a different perspective: no ads mean that audiences are less likely to be distracted from the content they want to watch.
There will be no ads on the mobile app
Netflix is testing an ad-supported tier of its service with a price tag between $7 and $9 per month.
This lower tier would allow viewers to watch videos on a smartphone, tablet, or computer without any commercial interruption. This could be attractive for those who want the content but not at the expense of Netflix’s existing offerings.
The new service is being tested in six countries: Canada, France, Germany, Norway, Sweden, and the UK. No word yet on when this will come to fruition and what it will cost here in the US.
Avoiding spoilers shouldn’t require payment
Netflix has just announced its new plans to launch an ad-supported tier that would cost between $7 and $9 per month. If you’re still a paying customer, chances are you’re not a huge fan of the idea. And there might be a good reason for that. That said, this could be seen as a step in the right direction.
For one thing, if nothing else it offers customers who can’t afford to pay more than 10 bucks (or whatever) more choices for streaming platforms and programs.
Are people willing to pay extra?
Netflix is a hot commodity. They offer an extensive and expansive library of movies and television shows to watch in the comfort of your own home for one low monthly subscription fee.
It would seem as though people are willing to pay for this service because, every month, millions of people worldwide use their accounts to stream from Netflix or sign up for a new account.
However, now, many customers might think twice about paying that same amount because the company has announced that they will be coming out with an ad-supported tier of streaming services for between $7 and $9 per month starting in October 2019.
In some cases, the price may even cost more or less depending on the individual’s location regarding advertising rates.
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