The Netflix subscription plan Basic with Ads will be officially launched tomorrow, three weeks after theofficial announcement to compete with Disney’s plans. However, the component with advertising which is already effective in Canada and Mexico is still quite shaky due to a lack of important content.
All this for €5.99/month instead of €9.99/month.
A history of retention
It is increasingly difficult to make money in the video streaming industry. Netflix, Disney+ and AppleTV+ have all increased their subscription rates in an attempt to correct this situation.
But while Apple brags about doing so to improve content, Netflix and Disney have to contend with losing subscribers. For the first time, Netflix has lost millions of customers at the beginning of the year. Besides the gaming service, Netflix is about to introduce a cheaper package. And Disney+ had announced the same thing this summer.
Netflix Basic with ads
The package NetflixBasic with advertising will launch tomorrow and will cost €5.99 ($6.99) per month.
Must-have entertainment at an unbeatable price: The Basic with Ads service will cost just $6.99 per month in the US and will launch November 3 at 9am PT. Available in 12 countries: Basic with Ads will be available in Australia, Brazil, Canada, France, Germany, Italy, Japan, Korea, Mexico, Spain, United Kingdom and United States.
For that price, you’ll only get mediocre 720p video quality, with ads lasting 4-5 minutes per hour. But above all, you will not have the entire catalog of the streaming giant.
A catalog problem
Indeed, this new offer requires new agreements with content owners, something that apparently takes time. If Netflix had claimed that the “vast majority” of the content would be available at launch, it is clear that a report from the wall street journal questions this assertion. He indicates that Netflix has not yet reached an agreement with five major studios.
Netflix continues to haggle with several major studios for the right to run ads against their content in the new service or put their content on the ad side, according to people familiar with the matter. […].
Among the studios that Netflix has yet to finalize revised licensing deals with include Walt Disney, NBCUniversal, Sony Pictures, Warner Bros. and Lions Gate Entertainment, according to people familiar with the negotiations.
Without these agreements, a lot of popular Netflix content could be unavailable, including famous series like:
- breaking Bad
- Grey’s Anatomy
- How to Get Away with Murder
- The Crown
- Cobra-Kai
Who’s willing to sacrifice video quality and content for a more affordable price?
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Cheaper Netflix with ads is available but without some content