The cheapest ad-free Netflix plan ($11.99/month) is going away،
Netflix has a gift, but are you ready to unwrap it? Instead of givingThis is the kind of gift that takes from you – Netflix will soon discontinue the cheapest ad-free plan (the one that costs $11.99/month).
In October 2023, Netflix made another no-no: the price increase then broke the psychological barrier of $20 for the Premium plan and went from $19.99/month to $22.99/month.
Also in October 2023, the price increase applied to the Basic plan – it went from $9.99/month to $11.99/month. At the time, the Basic plan was no longer available to new subscribers. Only existing Netflix users could access it.
What were the plans so far?
- Standard with Ads – $6.99/month
- Basic (available to existing subscribers only) – $11.99/month
- Standard – $15.49/month
- Premium (it offers 4K content) – $22.99/month
What will the projects look like in the near future?
- Standard with Ads – $6.99/month
- Standard – $15.49/month
- Premium (it offers 4K content) – $22.99/month
The move is the result of Netflix's shift to ad-supported streaming after relying solely on subscription revenue for years (via 9to5Google). Netflix wants subscribers to its basic ad-free plan to instead become ad-viewing subscribers or pay more for the streaming service. There is a letter to Netflix shareholders, here is an excerpt:
The development of our advertising business represents an opportunity to exploit significant new sources of revenue and profits in the medium and long term. In Q4 2023, like the previous quarter, our advertising memberships increased by almost 70% quarter over quarter, driven by improvements to our offering (e.g. downloads) and the phasing out of our plan basic for new members and those joining our advertising markets. .
The ad plan now represents 40% of all Netflix signups in our ad markets and we are considering retiring our base plan in some of our ad countries, starting with Canada and the UK in Q2 and then from there. On the advertiser side, we continue to improve the targeting and measurement we offer to our customers.
So, for now, US users are “safe” – the first to see their Basic plans disappear will be those in the UK and Canada.
