Netflix's cheapest plan will cost R$19 and will have ads

The company announced this Thursday (13) a new subscription plan for your catalog. The cheapest plan Netflix, the “Basic with ads”, will cost R$18,90 per month in Brazil and subscribers will enjoy the series and movies in the catalog for a more economical price, however, with advertising at the beginning of the content. 

The new plan arrives on the day November 3 at 13pm (Brasilia time) and will be available in 12 countries: Brazil, Germany, Australia, Canada, South Korea, Spain, United States, France, Italy, Japan, Mexico and United Kingdom. Therefore, this new Netflix with ads promises that current plans and subscribers will not be impacted by the change, with “Basic with ads” being just a complement to existing plans.

The first countries to receive the novelty will be Canada and Mexico, with the plan becoming available on November 1, 2022. Meanwhile, in Spain, the plan will be available to users a week later, on the 10th of the same month.

of the plans of NetflixThe "Basic with ads” will feature a wide variety of series and movies with availability to watch on various TV devices, cell phones and tablets maintaining the standard user experience of the “Basic” package. However, streaming video quality will be limited to 720p/HD on both “Ads Basic” and “Basic”, with an average of 4-5 minutes of ad per hour of content watched and no option to download to to watch offline.

Due to licensing restrictions, the Netflix commented on some movies and series in its catalog not being available in the “Basic with ads” plan without specifying what that content would be and informed that it is working on it so that its customers have access to the largest possible catalog.

The new plan will feature 15- or 30-second ads at launch and will feature a control for advertisers. In order to reach a certain audience, ads will use user data, such as the content that person watches the most, to target advertisements that are appropriate for them. For example, a person who consumes science fiction is likely to be impacted by ads related to technology.

The change in TV consumption is happening at an ever-increasing speed, with the streaming now surpassing open and cable TV. We are confident that, with prices starting at R$18,90 per month, Netflix has a price and plan for all fans. This initiative is just getting started, but we're happy with the interest from both consumers and advertisers, and we're very excited about what's to come.

Greg Peters – Netflix COO

The Co-CEO already announced a few months ago about the possibility of implementing this new model, justifying that it would be a solution to make the service more accessible to people with less income to be able to maintain the collection in their productions to maintain the level of quality. The cheapest plan Netflix with ads will be launched six months after the idea of ​​offering a more cost-effective plan to users was communicated. According to the company, none of this would have been possible without the dedication of the Netflix and the partnership they currently have with Microsoft.

However, this possibility to attend Netflix with ads can also be caused by the amount of new streaming on the market like HBO Max, Disney+ and Star, since since the beginning of 2022 there has been a loss of subscribers in the Netflix continuously. Therefore, the opening of new plans is an outlet to find a new audience.

According to the company, the feasibility of this new plan is guaranteed by partnerships with DoubleVerify and Integral Ad Science, companies that work to verify the visibility and validity of the traffic of ads on the platform.

This model is implemented by services as in the case of crunchyroll, being seen favorably by other streaming companies at the moment as a possibility to reduce the price of the cheapest package. in the case of Crunchyroll, the plan with ads is free and available to everyone with limited content, the cheapest plan being the “Fan” for R$14,99 per month without advertisements.

In addition to the announced “Basic with ads” plan, Netflix will continue to offer other plan options with prices from R$25,90, R$39,90 and R$55,90 for “Basic”, “Standard” and “Premium”respectively.

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Source: Netflix