Netflix is making a decision that many users of the platform will not like. In the future, we will either watch ads or pay more.
Netflix is already one of the most expensive streaming services. Although it offers the most content, it is not always of the highest quality. However, this does not prevent the company from continuing to raise prices. Netflix has communicated its latest plans to shareholders. Users are unlikely to like the idea of the website.
Netflix will be more expensive
Netflix is going to remove its cheapest plan, which has no ads. Thus, all users will be forced to either move to a more expensive package or choose a cheaper one, but with ads. Initially, in the second quarter of 2024, this will happen in Great Britain and Canada, but ultimately the change will also be introduced in other markets in the future.
It is worth mentioning that the cheapest plan has not been available to new and returning users in selected countries for some time now. For some time now, only people who have purchased it earlier and continue to pay for it can use it. Soon this option will also be taken away from them.
Why this decision? The ad-supported plan was a huge success for Netflix. Quarter by quarter it gains several dozen percent of new users, so it’s no wonder that the website wants to develop it further. Apparently, the lower price of the package combined with profits from advertisers looks good in the company’s calculations and brings it high profits.
This means that Netflix will have three packages: the cheapest for $6.99. with ads, basic for $15.49 and the most expensive one for $22.99. At the moment, we do not know when the changes (including the introduction of the advertising package) will reach Poland, but we should assume that it will happen sooner rather than later.