Netflix has activated the advertising membership system for US users in the past months. According to data published in the Wall Street Journal, Netflix started having problems with advertisers due to advertising subscriptions.
Netflix failed to meet expectations for advertising subscriptions
In the research conducted between May and October, it was revealed that 29 percent of people who use Netflix in the US prefer the premium, 31 percent standard and 40 percent basic membership plan. With the activation of the advertising membership, only 9 percent of the total users switched to the new membership plan.
After the ad-supported new membership plan, the membership plan that experienced the most decline was the standard plan, which decreased from 31 percent to 24 percent. With the change, the premium plan accounts for 25 percent of subscribers, while the basic plan accounts for 41 percent.
Making a statement on the subject, a Netflix official said, “It is too early to share data about our ad-supported membership plan. We are very pleased with the launch, the turnout and the advertisers’ partnership with Netflix.” made statements.
Another report about Netflix’s new membership plan is about advertisers. According to the report published by Digiday, Netflix returned some of its ad revenues to advertisers because its new membership plan failed to meet its viewership estimates. Analysts predict that Netflix will remove its advertising subscription plan due to the loss of revenue.
The company’s website includes the following statements about the advertising membership plan:
Basic with Ads is a great way to enjoy movies and TV shows for a lower price. You can watch your favorites on any device with limited ad breaks. This plan does not allow downloads and limited movies. However, the TV shows are unavailable due to license restrictions. Some location and device restrictions also apply to the Basic with ads plan.
The company, which determines the advertising membership price as $ 6.99, offers the basic plan for $ 9.99. It is worth noting that users who purchase the basic membership plan in the US can access unlimited movies, TV shows in HD resolution. The basic plan in our country offers users 480p resolution.
Current Netflix Turkey membership fees;
- Basic Plan: 45.99 TL – Single device, 480p Resolution
- Standard Plan: 69.99 TL – Two devices, 1080p Resolution
- Special Plan: 93.99 TL – Four devices, 4K + HDR Resolution