Netflix has yet to share much information about its upcoming ad-supported plan, but details are slowly starting to leak out. For example, Bloomberg reported last Friday that Netflix won’t always show commercials on the new plan.
Sources claim that the streaming service will not run ads during kids’ shows or on new original movies.
According to the report, Netflix already told its content partners that it won’t run ads during original kids’ programs. Some studios that own kids’ shows licenses have also told Netflix that it can’t run commercials with them.
Additionally, Netflix will not show ads during original movies upon their release. The service might opt to add commercials to older movies. But you shouldn’t see ads if you watch a new Netflix original movie the week it comes out.
Bloomberg’s Lucas Shaw notes that this might be a concession to apprehensive filmmakers.
The report also notes that Netflix can’t simply start showing ads everywhere on its platform. Netflix licenses thousands of shows and movies from third-party studios. Many third-party studio deals don’t allow Netflix to show ads alongside them.
Netflix commercials licensing deals
If Netflix wants to show ads during a licensed movie or show, it will have to renegotiate the deal and pay more. Shaw says that Netflix is already in talks with Sony, Paramount, Warner Bros, and Discovery. This will enable Netflix to secure rights to show ads while its content is streaming on its ad-supported plan.
The licensing deal explains why the entire Netflix library won’t be available on the ad-supported plan. Some studios will refuse to allow Netflix to show ads alongside their TV shows and movies. Netflix might remove its content from the library altogether.
This might pay them than allowing subscribers to watch that content without commercials on the ad-supported tier,
There is still plenty that we don’t know about Netflix’s new ad-supported plan, but it should launch in early 2023. We’re not entirely certain that it will be enough to stop the bleeding. Viewers will look elsewhere for entertainment if the price isn’t low enough. There are far too many competitors for Netflix to aim too high on the price.
FAQ
You’ll need to pay for a more expensive plan to stop seeing Netflix ads. If you pay for Netflix’s ad-supported tier, you will start to see ads when they are introduced in 2023. With that being said, any ad you are seeing now isn’t a part of Netflix’s proposed ad plans.
Existing plans on Netflix will remain ad-free till 2023. Any ad you see at the moment on your computer is most likely malware or adware. You’ll need to use a trusted anti-virus, anti-malware, or anti-adware to get rid of these ads and popups.
No, Netflix with ads will not be free. However, Netflix’s ad-supported tier will be a lower-priced option than existing plans. Consumers will still be able to watch all the content available on Netflix. However, the content will come with periodic advertising that is played before, during, and after movies and shows.
Netflix has announced that it will launch cheaper ad-supported plans. Netflix’s Chief Operating Officer and Chief Product Officer, Greg Peters, announced that Microsoft will be Netflix’s global partner for ads.
Netflix expects that the ad-based plan will lead to a substantial increase in membership due to lower prices.
Netflix plans to bring ads to its streaming service in 2023, even though it announced its plans in 2022. So, you won’t get any ads until 2023.
Netflix’s decision to introduce ads is intended to boost its profit and revenue growth through associated ad revenue. It expects brand advertisers to have significant advertising spends targeting Netflix’s very engaged audience.
HBO Max, Hulu, and some other streaming services now have advertisements with others like Disney+ to introduce ad-supported plans soon. Netflix also plans to discourage password sharing among consumers.
You are going to get commercials on Netflix because the company wants to boost its profit growth through ad revenue. Also, Netflix intends to increase subscription numbers by introducing lower prices for its ad-supported tier.
Netflix’s subscriber count fell in the first and second quarters of 2022. So, the company feels that it makes sense to introduce ads in early 2023 at a lower cost to subscribers. Everyone will still get high-quality content, but most of the content people watch will have ads.
Yes, Netflix is partnering with Microsoft as a sales partner to bring commercials to its premium streaming service. Netflix hopes its partnership with Microsoft will attract premium CPMs from top brands.
Microsoft is investing heavily in premium television video ads while optimizing for consumer choice and experience. Microsoft says it will structure the ads for a better streaming platform experience than linear TV.
Netflix had trial runs of its ad service in Latin America before it introduces commercials fully in 2023.
Netflix doesn’t offer free trials. But you can get Netflix for free if a paid subscriber shares their login details with you. But that may soon stop, as Netflix has announced plans to prevent password sharing as much as possible.
You can also get Netflix for free along with your mobile phone subscription plan if you have certain wireless carrier plans.
Netflix hasn’t announced a pricing plan for their ad-supported plan. But the company said it would be cheaper than existing plans. So, expect to pay less than what you do currently if you want to watch Netflix with ads.
The ads might show in-between TV show episodes or on the sidebar Netflix has.
