Netflix is setting up to introduce a free ad-based plan for particular regions. It’s not the first time, since it has experimented with free plans before. Now a new rumor claims the brand is considering doing it again to enhance the watching experience.
As of the first quarter of 2024, Netflix had around 269.6 million paid subscribers worldwide, which is a huge number in itself. To maintain its legacy, Netflix is now experimenting with new facilities as it considers a free ad-based plan for selected markets. To ensure the enhanced experiment within a couple of years Netflix has gone through, password sharing crackdowns and price hikes, Netflix mulls a free, ad-supported tier to stay competitive.
As reported by Bloomberg, Netflix is looking forward to the rollout of a free tier with limited content as compared to the paid experience for European and Asian markets to win over new users, following a similar test run in Kenya. It is reported that Netflix is not aiming this new option at emerging markets this time around but would instead focus on countries like Japan and Germany. The aim behind this plan would be to target markets where Netflix has yet to reach its full subscriber potential for reasons including lack of affordability or even no easy means of payment.
A major percentage of Germany still relies on cash, so credit cards are not nearly as common. This might make a free version beneficial. A free plan could also win over new customers who might be interested in paid tiers as they grow hooked on the Netflix experience. It will be interesting to see when this new facility will go live.