Netflix does not consider advertising
Since Disney+ unveiled its lower-cost, ad-supported subscription plan, all eyes have been on Netflix, waiting for a response from what is still the most popular video-on-demand service on the market. Not in vain, many of the remainders of the services' moves serve the obvious purpose of boosting their involvement in this market, "stealing" consumers from other platforms, primarily Netflix, if possible.
As we reported less than a week ago, Disney+ will offer this new type of subscription all over the world beginning next year, but if we look at the US market, we can see that there are already other services with this type of subscription, or that they are seriously considering adding it to their subscription plans. To put it another way, outside of the United States, this may appear to be a little change, but in that market, it can make a significant difference.
However, as Variety reports, Netflix is not currently in the business of launching a cheaper package with advertising. They do not, however, end the band and, on the contrary, demonstrate a great deal of wisdom by remembering a slogan relevant in almost any context: « Never say never ». And it is because, in a sector as dynamic and fluid as content on-demand, no one knows what movements they will have to make in order to remain competitive and avoid losing subscribers.
Thus, Netflix's chief financial officer, Spencer Neumann, declared at a platform investor conference:
« To be clear, we are not engaged in a theological war against advertising. But, for the time being, it is not in the cards… We have a very solid scalable subscription company, and while nothing is ever certain, it is not in our plans.
In other words, there are currently no cheaper plans with advertising included, but the door is not closed to considering it in the future. We can understand this depending on the evolution of this type of plan in the rest of the services, and if the price difference between the same and Netflix plans begins to pose a serious threat to its market share.
The US market, where Hulu, HBO Max, and Paramount Plus already offer similar plans, and Disney + will be added soon.
Thus, we are discussing what appears to be a general tendency, and if this is the case, it would be a tremendous mistake on Netflix's behalf to avoid the new price range provided by these programs.
What are your thoughts? Would you be willing to accept advertising inserts on Netflix in exchange for a lower fee? Would you be interested in signing up for other services if they had this option?
