It cheap Netflix subscription with commercial breaks it costs 3 euros less than the normal basic subscription. For example, Germans pay 5 euros per month and Americans 7 dollars per month. It is not yet known when the cheapest offer in the Netherlands will start.
In addition to commercial breaks and lower image quality, the cheaper Netflix subscription has another downside: a smaller range of series and movies. According to Netflix it has Wall Street newspaper After months of negotiations, no license agreements have been reached for the new subscription with several major film studios, such as Walt Disney, Comcast, NBC Universal, Sony Pictures, Discovery and Lions Gate. Consequently, series such as The Crown, Breaking Bad, Grey’s Anatomy, You and Cobra Kai would not be available for the moment with the new advertising subscription.
Netflix owes some producers pay more to offer their films and series in this new model. The streaming service could ultimately make more profits with commercial breaks before and during movies and series than regular subscriptions.
Netflix previously said the new subscription catalog would match “85 to 90 percent” of the platform’s most popular content. It is still unclear how many movies and series are missing from the regular subscription.
5 minutes of advertising per hour
With the new subscription, subscribers will be presented with “4 to 5 minutes” of advertising per hour. Commercials on Netflix run between 15 and 30 seconds and are played before and during the series and movies.
As with regular basic subscriptions, users can only watch one stream at a time and will not get the HD picture quality. With the new subscription, they can’t download movies and series to watch them offline.
Disney +
Competitor Disney + will also launch in the United States in December cheaper subscription with advertising. Disney also said nothing about Dutch availability and pricing.
With the cheaper options, streaming services are hoping to attract new subscribers from people who currently find the subscriptions too expensive. They also hope to prevent existing subscribers from canceling their membership altogether. From a recent study pale that nearly half of Netflix and Disney + subscribers are considering switching to such a cheaper subscription with ads.
“Netflix charges high advertising rates”
According to the Wall Street Journal, Netflix charges early advertisers with relatively high rates for commercials. According to the newspaper, big brands are reluctant to pay the high price for a platform that doesn’t yet have advanced options to customize advertisements for users.
Netflix would initially charge $ 65 to reach 1,000 viewers, but after negotiations, some advertisers ended up paying between $ 45 and $ 55. At a later stage, Netflix wants to tailor ads to users’ age and gender.
