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Netflix’s ad-supported plan ganners 40 million users worldwide

Modupeoluwa Olalere by Modupeoluwa Olalere
May 16, 2024
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Netflix's ad-supported plan ganners 40 million users worldwide
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Netflix, a streaming movie production company, has said that its plan with ads now has 40 million monthly active users worldwide.
During a meeting on Wednesday, Amy Reinhard, Netflix’s President of Advertising, revealed this to marketers.

The company says this is a significant increase from the 5 million recorded a year ago. He also said that the ad plan now brings in more than 40% of all new members in the ad countries. This proves the business’s plan to get more people by offering a cheaper ad plan is working.

The streaming business has a lot of competition, so players are developing new packages to keep customers.

Read also: Netflix profit soars after a crackdown on password sharing

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The Rise of Netflix’s Advertising Technology

To give marketers new ways to buy, new insights, and new ways to measure effect, Reinhard also said that Netflix would start its advertising technology platform by the end of 2025.

“This summer, Netflix will also expand its buying capabilities to include The Trade Desk, Google’s Display & Video 360, and Magnite, who will join Microsoft as the main programmatic partners for advertisers,” said Reinhard.

Nielsen, a global audience measurement tool, says that over 70% of Netflix’s ad-supported members watch for over 10 hours a month. This is 15% more than the next closest rival. Nielson also said that Netflix members pay more attention two hours into a show than they do at the beginning.

What you need to know

Additionally, Ted Sarandos, Netflix’s co-CEO, recently said that the video-streaming company will begin trying its plans with ads in other areas, such as Nigeria. Commercials will be added to the ad system.

Before and during movies, they should last 15–30 seconds. The plans have been revealed in the US, UK, and Canada. Ad-watchers have lower payment options. Nigeria hasn’t received them yet.

Read also: South Africa tops Netflix’s most-watched movies in Africa

As happened in other markets, Netflix recently raised the price of its subscriptions in Nigeria. Starting April 1, 2024, the Premium Plan went from N4,400 to N5,000, and the Standard Plan went from N3,600 to N4,000. The mobile plan went up from N1,200 to N1,600. Still, the Basic costs N2,900.

Netflix changed the prices because it’s part of its world plan to look at how much subscriptions cost in different areas to make more money.
This approach combines regular price reviews with adding more material. Netflix has already changed prices in major global markets like the UK, the US, and France. In October 2023, both the Basic and Premium Plans cost more.

Tags: Netflix
Modupeoluwa Olalere

Modupeoluwa Olalere

Modupe is a tech content writer with 3+ years of experience turning complex ideas into clear, engaging stories. She covers innovation, digital trends, and emerging technologies. When she’s not writing, she’s exploring new tools or tracking trends shaping Africa’s tech ecosystem.

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