Netflix to run a $7-plan with ads
Last Updated on: 14th October 2022, 03:22 am
Netflix is stirring the pot as they downsize their monthly plan to $7 a month for a plan that includes ads. The move is expected to happen next month.
Currently, Netflix runs an ad-free package that ranges from $10 a month for users who prefer to use the subscription for one screen at a time to $20 a month for up to four screens simultaneously, with an additional feature of high-definition screen time.
With the congestion of the streaming competition as these plan-based subscriptions continue to drown the consumers, this strategy appears to be the best way to go to keep the company afloat.
Compared to their biggest competition, it’s $3 a month lower compared to Warner Bros. Discovery Inc. and HBO Max. This is also $1 less than Disney+. All of which have a certain number of advertisements.
This business strategy of the streaming giant will debut in the US together with 11 other countries. Some of these countries include Brazil, Japan, and France. Netflix also confirmed that there would be certain limitations under the new plan.
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Netflix’s $7-subscription plan details
According to an article from Times, the plan “will include four to five minutes of commercials per hour and offer a lower video quality than higher-priced tiers.” Aside from this, there will also be some limitations on the programs that are available for the plan, as Netflix “does not have the rights to show them with commercials.”
If you check the official website of Netflix, it has already been updated with some of the details of the new subscription plan. Here are some of the details of the subscription:
| Basic with ads (available November 2022) | Basic | Standard | Premium |
|---|---|---|---|
| Watch on 1 supported device at a time | Watch on 1 supported device at a time | Watch on 2 supported devices at a time | Watch on 4 supported devices at a time |
| Some movies and TV shows are unavailable (learn more), and unlimited mobile games | Unlimited movies, TV shows, and mobile games | Unlimited movies, TV shows, and mobile games | Unlimited movies, TV shows, and mobile games |
| Watch in HD | Watch in HD (available November 2022) | Watch in Full HD | Watch in Ultra HD |
| Ad-free TV shows and movies | Ad-free TV shows and movies | Ad-free TV shows and movies | |
| Download on 1 supported device at a time | Download on 2 supported devices at a time | Download on 4 supported devices at a time |
If you would like to compare the pricing of the subscriptions you can get for the streaming website, here are the available plans, including the one with ads:
- Basic with ads* (available November 2022): $6.99/month
- Basic: $9.99/month
- Standard: $15.49/month
- Premium: $19.99/month
Here are the scheduled release dates of the new plan based on location:
- November 1, 2022 (Canada, Mexico)
- November 3, 2022 (Australia, Brazil, France, Germany, Italy, Japan, Korea, United Kingdom, United States)
- November 10, 2022 (Spain)
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A comparison of the streaming giants
If you want to see a closer look at how the top competition looks like compared to this move of Netflix, you can take note of the details below.
| Netflix | Disney+ | Hulu | Amazon Prime Video | HBO Max |
| $6.99/month for with ads | $7.99/month for Disney+ (only) | $6.99/month for Hulu with ads | $6.99/month for Amazon Prime for EBT / Medicaid Recipients | $9.99/month with ads |
| $9.99/month for Basic | $13.99/month for Disney Bundle (Ad-Supported) | $12.99/month for Hulu with no ads | $7.49/month for Amazon Prime as Student Membership | |
| $15.49/month for Standard | $69.99/month for Hulu with Live TV, Disney+ and ESPN Plus | $8.99/month for Prime Video only | $14.99/month with no ads | |
| $19.99/month for Premium | $19.99/month for Disney Bundle (Ad-Free Hulu) | $75.99/month for Hulu with no ads, Live TV Disney+ and ESPN Plus | $14.99/month for Amazon Prime |
