Highlights:
- Netflix anticipates selling nearly 4 minutes of commercials per hour.
- Netflix would show ads before and during some shows.
- Currently, the ad-free plan costs $15.49.
According to reports, Netflix is thinking about charging $7 to $9 (approximately Rs. 550 to Rs. 700) per month for its new advertising-supported tier, which is 50 percent less than the price it currently charges for its most popular plan. Currently, Netflix’s plan for watching content without advertisements costs $15.49 each month. The price reduction is intended to attract more customers who are ready to see some ads in exchange for a lower monthly charge. For the ad-supported service, the streaming service is claimed to sell four minutes of ads per hour.
As per a recent report by Bloomberg, streaming giant Netlflix is planning to reduce the prices for its ad-supported tier. The ad-supported plan may cost between $7 and $9 per month due to the low rates.
Note, this is still only going to cost you around half of what Netflix is now charging for its most popular plan, which is $15.49 per month without any ads.
Simply attracting new customers to the service who don’t mind watching some ads by paying less to watch the content is the objective of the reduction in price.
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As was already known, Netflix anticipates selling around four minutes of ads for each hour of the ad-supported service. According to reports, the company airs commercials before and during some programmes, but not after.
The streaming behemoth Netflix is probably hoping to keep kid-friendly movies and TV episodes commercial-free, as its rival Disney+ stated in May of this year. According to TechCrunch, Netflix will continue to offer kid-friendly content without advertisements. But it’s expected that original shows like “Stranger Things,” “Bridgerton,” and “Squid Game” would still have commercials.
Advertising to children should be subject to strict restrictions, according to the American Psychological Association and other organisations. Analysts estimate that Netflix sells $4 billion worth of advertisements each year, making it a significant player in the online video advertising market.
