During the presentation of the disappointing results for the first quarter of 2022, the co-CEO of netflix Reed Hastings has for the first time paved the way for a potential implementation of advertisements on the video streaming service for users wishing to pay less for their subscription.
The SVoD platform is seeking to bring home the thousands of customers who have canceled their subscription in recent months.
A first in 10 years
For the first time in a decade, Netflix lost users. If the platform has seen the number of new subscribers worldwide explode with the COVID-19 crisis, the trend is now quite different. The streaming giant expected to gain more than two million additional subscribers between the first quarter of 2021 and the start of 2022, but ultimately lost 200,000 during this quarter. A major setback for the service to 221 million subscribers worldwide.
To win back market, Netflix co-CEO Reed Hastings said the company is now open to new, cheaper prices, but with advertising in return within one to two years. to come. Significant news since in Hastings’ own words, Netflix has always been opposed to advertising on its service: ” We were against the complexity of advertisements and very fond of the simplicity of the subscription “.
But times are changing and Hastings now believes that offering this kind of subscription cheaper to consumers who are tolerant of advertisements would have ” a lot of sense “. He is not the only one to think this since other services want to set up this kind of process or have already taken the plunge, such as HBO Max or Disney +.
Other lines of thought
But offering a less expensive subscription is not the only idea in the boxes of Netflix to attract subscribers again. Co-CEO Ted Sarandos, in an interview with Deadlinehas put on the table the possibility of the arrival of live sports broadcasting, as Amazon can do for example with Ligue 1 on Prime Video.
Finally, the SVoD platform has already started tests in a few countries to charge a small additional amount to the owners of accounts to which they share access with other people outside their household. This practice being very widespread, thus distorting both the number of total subscribers and the income that can be generated, Netflix wants to encourage the creation of accounts for those who benefit from that of a friend or relative.
On the same subject :
Disney +: soon a cheaper subscription, but with advertising
From €8.99
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- The most complete on the market
- Often excellent original series
- Impeccable video compression
The American service is not the most popular in the world for nothing. With an offer of content enriched each week, an always optimal video quality and a very worked user experience, the platform is an essential choice for entertainment. Our only regret remains the constant increase in subscription prices, which makes the service a little less attractive than when it was launched… Fortunately, the number of series and films compensates for this increase.
The American service is not the most popular in the world for nothing. With an offer of content enriched each week, an always optimal video quality and a very worked user experience, the platform is an essential choice for entertainment. Our only regret remains the constant increase in subscription prices, which makes the service a little less attractive than when it was launched… Fortunately, the number of series and films compensates for this increase.
Source : The Verge
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