
THE Netflix confirmed that it will implement a cheaper ad-supported plan. According to O Globo, the platform is creating strategies to prevent users of the new model from downloading content on cell phones, notebooks and other mobile devices to watch offline.
If the impossibility of downloads is confirmed, the platform may face a new low in the number of subscribers, since many users make use of the feature.
Remembering that the cheapest plan was designed precisely to attract new subscriptions, but preventing access to offline content will certainly cause problems.
In addition, the algorithm also suggests that subscribers will be able to skip ads, as on YouTube, and will not have access to all the content available in the catalog.
Apparently, the company is investing heavily to distinguish the future new service from the current ones, and the idea is to launch the model until the beginning of the next one.
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During the Cannes Advertising Festival, Ted Sarandosthe company’s content director, said the platform has already contacted potential partners and may even manage its own ad division in the future.
“If the idea becomes important, we want to have control over it, maybe we can,” he said. Sarandos about the creation of its own sector for the advertisements.
The idea has been under discussion since April, when it was revealed that Netflix lost more than 200 thousand subscribers in Q1 2022, marking the first negative number on the platform since October 2011.
Throughout the communiqué, Sarandos said that the company has already met with the Google, NBCUniversal and rock to organize the best marketing model and ad testing.
Despite having dominated the streaming market for the last decade, Netflix has been facing some obstacles, mainly with the launch of competing services, such as HBO Max it’s the Disney+as well as the exponential increase in the price of the subscription and an offer not as interesting as the other platforms.
Previously, co-CEO Reed Hastings had already advanced that the plan with ads should be launched in the next two years.
“It’s a quick and ambitious plan, and it’s going to require us to sacrifice some things. Think of us as open to offering even lower prices with ads, like consumer choice,” he said.
“Those of you who have followed Netflix know that I have always been against the complexity of ads and a big fan of the simplicity of subscription. But despite your being a big fan of it, I’m an even bigger fan of consumer choice. Allowing consumers who would like to pay less and don’t care about ads to get what they want makes a lot of sense. So it’s something we’re exploring right now, trying to figure out over the next year or two.”
Currently, the service now has 221.64 million members. Through a results meeting, the Netflix reported that it is even more bearish about the second quarter of this year, expecting another loss of 2 million subscribers.
The curious thing is that the company’s initial expectation was to gain 2.5 million members at the beginning of 2022, however the company reported that the war between Russia and Ukraine, the strength of the dollar and the increase in subscription price were the main reasons for this result.
The platform of Warner Media, HBO Maxended 2021 with 73.8 million global users, an increase of 13.1 million users over the same period in 2020. Total revenue increased by 15.4% in the quarter to $9.9 billion.
While the streaming Walt Disney CompanyO Disney+, closed the year 2021 exceeding growth forecasts for the service. The platform ended the last year with a total of 129.8 million paying subscribers worldwide. In other words, this is really the streaming war!
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