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How much do you value being uninterrupted by commercials? Are you willing to pay money not to be targeted and pandered to while streaming your favorite films and series? Netflix will test your grit when they roll out their “Basic with Ads” plan in November. Netflix’s “Basic with Ads” plan will cost $6.99 in the U.S. and will launch in 12 countries starting in November. The program joins other options currently available to subscribers, including the ad-free plans: Basic ($9.99 per month), Standard ($15.49), and Premium ($19.99). Prices for the new plan will vary depending on the territory where you subscribe to the service.
“We believe that with this launch we will be able to provide a plan and a price for every Netflix fan,” says Netflix COO Greg Peters. “The most important thing for us is that we want to offer consumers choice and for them to figure out what is the best offering for them, and that could mean that some of our existing members shift off [of ad-free plans].”
Come on, Peters, we all know the most crucial aspect of the new plan is to gain information about the type of disposable crap we like to buy. You’re also losing customers at an alarming rate, making the new price point enticing for people looking to trim their bills.
“From a revenue perspective, we are relatively neutral or agnostic on it,” added Peters. “We have generally set out so that the revenue, subscription plus ad monetization is neutral to positive to subscription only with no ads.”
Here’s where things get dire. According to Netflix, the streamer will allow 4 to 5 minutes of ads per hour, including pre-rolls ads and commercials within its TV shows and movies. In addition to upselling you on products that may or may not appeal to you, the “Basic with Ads” plan does not allow subscribers to download TV shows or movies. It will also limit the number of titles available. “The new movies will just have a pre-roll, so we will try to preserve that cinematic model there,” Peters said.
While some customers will find today’s news disturbing, Netflix loves the response from corporations looking to get in on the action. According to Jeremi Gorman, Netflix’s president of worldwide advertising, Netflix nearly sold every spot available out of the gate. “It has been amazing to see the overwhelming interest in our ads,” Gorman said. Gorman also noted that Netflix would not support political ads of any sort.
What do you think about Netflix’s “Basic with Ads” program? I was on board until they mentioned inserting ads during films or TV series. I lived through the age when commercials ran rampant on broadcast television, and I refuse to return to that lifestyle. My time is too valuable to endure 4-5 minutes of advertising while I try to relax. If I need to pay a higher price, so be it. Let us know what you think about this situation in the comments.
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