Netflix’s next ad-supported plan is months away from launch. Here’s everything we know so far about the new tier, including how much it might cost and whether all your favorite shows and movies will still be available to watch.
What is the Netflix ad-supported plan?
- A cheaper subscription level: A new plan that will serve to see ads and will cost less
Netflix has long offered an ad-free streaming service. It will soon introduce a new ad-supported subscription plan. It will be placed next to the classic offers without ads, but it will be cheaper. It has already been confirmed that Netflix will launch this new subscription level, but we do not yet know when it will be available or how much it will cost.
How much will Netflix cost with ads?
- Price: No word yet, but regular Netflix starts at $10 a month
There is no word on Netflix ad-supported pricing. Currently, the cheapest Netflix subscription plan in the United States is $9.99 per month with no ads.
What kind of ads will Netflix show?
- Ads: Little is known, but the Microsoft platform will show all ads
The only thing known so far is how the advertising will be distributed, as Microsoft has announced itself as a partner for the new service.
It has signed a deal with Netflix to be the new tier’s technology and business partner, meaning it will supply the ads. All ads viewers see will come through the Microsoft platform: “Sellers who look to Microsoft for their advertising needs will have access to Netflix’s audience and premium connected TV inventory,” it said in a statement. of press.
Plans are clearly accelerating, though hopefully the new level will be released shortly.
Netflix boss Greg Peters recently claimed that there is still a lot of work to do before it’s ready: “It’s very early days and we have a lot of work to do,” he said. “But our long-term goal is clear: more choice for consumers and a premium, better-than-linear TV brand experience for advertisers. We’re thrilled to be working with Microsoft to bring this new service to life.”
Will it include the full level of Netflix ads?
- Restrictions: Netflix is still negotiating and may not include all titles
Netflix has seemed to suggest that its upcoming ad-supported plan won’t have all of the same movies and shows that can currently be viewed on the ad-free streaming service.
During Netflix’s Q2 2022 earnings interview video, company executives discussed how the ad-supported tier will have the vast majority of content. However, it seems that Netflix is still talking to studios to include some titles, and not all of them will arrive. If the ad-supported plan launched right now, most users would still have a great experience, Netflix says.
“Today, the vast majority of what people watch on Netflix, we can include at the ad-support level,” said Netflix co-CEO Ted Sarandos.
“There are some things that we’re not…that we’re in discussions with the studios about, but if we were to launch the product today, members of the ad-supported layer would have a great experience. We’re going to remove some additional content, but certainly not all of it, but we don’t think it’s a material setback for the business,” Sarandos explained.
CFO Spencer Neumann added: “It’s definitely a nice thing to have, but it’s not a must.” Neumann continued: “As Ted says, we can release today without additional content authorization rights. We hope to be able to complement it, but we will be disciplined in what we do.”
The Wall Street Journal first reported last week that Netflix was negotiating with studios to include content on an ad-supported tier.
When will the Netflix ad plan be available?
- Release Date: Early 2023
Though it’s unclear what will be missing from the upcoming ad-supported plan, Netflix said it’s on track to release the new level sometime early next year.
Netflix said it plans to “start in a handful of markets where ad spend is significant” – which likely means the US and UK.
“Our intention is to get it up and running, listen and learn, and quickly iterate to improve the offering, ” the company said in a letter to shareholders in July. Over time, we hope to create an advertising model that is better than linear TV, one that is smoother and more relevant to consumers and more effective for our advertising partners.” Although it will take some time to grow our membership base to the level of advertising and associated advertising revenue, over the long term, we believe that advertising can enable substantial membership growth (via lower prices) and revenue growth (via advertising revenue).”