There are changes in the work – for the better and for the worse.
- Netflix has lost a lot of subscribers in recent months.
- Now the company is trying to introduce a cheaper subscription that includes ads.
While it may seem like every other person you know has a Netflix subscription, the reality is that the company has had a rough year. Netflix’s share price has plummeted after recent earnings fell short of expectations. Not only that, the streaming giant reported a loss of 200,000 subscribers last quarter, which unsurprisingly led to significant layoffs within the company.
Thus, Netflix is looking for a way to increase revenue and encourage consumers to try their services. And so the company is looking for a lower-priced option that consumers might enjoy at a time when inflation is skyrocketing and people are cutting back on their discretionary spending out of necessity.
But is this inexpensive option right for you? It depends on your tolerance for promotional content.
Earlier this year, Netflix raised prices for various levels of content. A basic non-HD Netflix subscription costs $9.99 per month and lets you stream on one device at a time.
Meanwhile, the standard plan costs $15.49 per month, and it gives you the option of streaming to two devices at the same time. The most expensive Netflix tier costs $19.99 a month, but it includes the highest quality picture and the ability to stream content to up to four devices.
However, none of these levels expose viewers to advertisements. But that will change soon.
Netflix is currently trying to roll out a cheaper tier that includes ads to expand its customer base. And this is certainly not a new concept. Other competing streaming services like Hulu, for example, have cheaper plans for customers who are willing to watch ads. So if it works for them, it could very well work for Netflix too.
Is it worth it to subscribe to Netflix with promotional content?
The new level of Netflix could end up saving you some money. But whether or not it’s worth watching ads all the time is something you need to think about.
If you don’t mind ads, you can try the new Netflix deal and save some money in the process. Similarly, if money is tight, then Netflix’s new tier could be a good solution for you, one that gives you access to content without forcing you to add too much to your monthly credit card bill.
But if you’re someone who doesn’t pay for cable and Netflix is your only streaming service, then you can stick with ad-free content, even if it means paying a little more. This is especially true if you’re not trying to pay your bills and can easily change your Netflix subscription.
Offering ad-supported content is a strategic move for Netflix at a time when it needs a major boost in subscribers and revenue. However, whether it works remains to be determined. But as a consumer, it’s good to have options to access entertainment at a relatively low cost, and if you’re willing to watch ads, you can save a decent amount of money.
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