If for some reason you got kicked off your friend or family members’ Netflix plan, but you are yet to get your own, this announcement may be for you. The streaming service has launched a new subscription plan for UK customers that would see them paying less to access shows and movies on the platform. There is a catch though, you would have to be okay with seeing ads.
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Basic plan
This is the first time the streaming giant is introducing ads since launching in 2007. The move is response to dwindling subscriptions; the number of subscribers fell by more than a million in the first half of the year. Although that’s barely a small fraction of its over 220 million global accounts, the company has been looking for ways to increase revenue amidst rising costs and stiff competition from rivals.
Starting November 03, 2022, the Netflix Basic with ads plan has been available to the UK market staring from as low as £4.99 per month. Announcing the move, Netflixsaid in a statement:
Unlike our other ad-free plans, ads will be shown before or during most TV shows and movies. You can expect to see an average of about 4 minutes of ads per hour (this may vary based on the title you're watching).
Additionally, some TV shows and movies are no longer available to watch on the Basic plan. These shows will have a lock icon when you search or browse the streaming service, Netflix said.
Time to switch?
The Basic plan will not automatically affect current subscribers unless they opt for it. Some industry watchers don’t see many users making the switch to the new plan. For instance, analysts at Enders Analysis, said they did not think many of the company's current viewers would find the savings worth switching for, nor was it likely to draw in large numbers of new subscribers. Writing in a recent note, they said:
We find it bizarre that some have opined that there will be a material quantity of Netflix subscribers that will actively pursue ad-supported video to save a couple of pounds a month
The Basic with Ads plan is being rolled out in 12 countries around the world in November, including Australia, the US and the UK.
Sources used:
Liverpool Echo: Netflix introduces change to its UK subscription plans
BBC: Will people sign up for Netflix's cheaper ad service?
Guardian: Netflix is introducing a new subscription with ads. Here’s what you need to know
