Netflix Considers Fully Advertising-Supported Plan
On June 25th, TapTechNews, citing Bloomberg, reported that Netflix is considering introducing a fully advertising-supported plan, where users can watch video resources on this platform for free, but this plan will not be extended to the US market.
Netflix had piloted providing free ad-based services for mobile devices in Kenya in 2021, but this attempt ended in 2023.
TapTechNews, citing Bloomberg, said that Netflix may introduce a free, advertising-supported plan in Germany and Japan to attract more users who are not willing to pay for subscriptions, and also have the opportunity to access Netflix's growing collection of original series and movies.
Bloomberg reported that although Netflix is second only to Google's YouTube in terms of global video streaming playback minutes, it is only in the 10th place in terms of generating streaming revenue through advertising.
TapTechNews reported in May that Netflix's advertising-supported subscription tier currently has more than 40 million monthly active users worldwide, and in the markets with an advertising tier, 40% of registered users are to purchase a cheaper plan.
The company will also introduce its own advertising platform and no longer work with Microsoft to provide this technology. Microsoft will still be a programmatic advertising partner, but other advertising technology companies will also join in, including TheTradeDesk, Google Display & Video 360, and Magnite.
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