Netflix, the streaming giant, is phasing out the basic ad free plan. The company has been transitioning into ad supported viewing lately, it’s success is the reason behind slashing this basic tier.
According to reports, Netflix wants subscribers of its basic ad-free plan (which used to cost $11.99 USD) to instead become ad-viewing subscribers or pay more for the ad-free streaming service.
Once eliminated, Netflix will go from four to three price points:
Ads – $6.99 / £4.99 / 5.99€
Standard (HD) – $15.49 / £10.99 / 13.49€
Premium (4K) – $22.99 / £17.99 / 19.99€
Netflix informed its shareholders that “in Q4‘23, like the quarter before, our ads membership increased by nearly 70% quarter over quarter, supported by improvements in our offering (e.g., downloads) and the phasing out of our Basic plan for new and rejoining members in our ads markets.”
The company also noted that “The ads plan now accounts for 40% of all Netflix sign-ups in our ads markets and we’re looking to retire our Basic plan in some of our ads countries, starting with Canada and the UK in Q2 and taking it from there.”