Netflix Launches Ad-Supported Tier: New Era in Streaming

Netflix Launches Ad-Supported Tier

The landscape of streaming just shifted with the introduction of Netflix’s advertising model.

On Thursday, Netflix launched its new ad-supported subscription tier in the U.S. and eight other nations, following an initial rollout in Canada and Mexico just days earlier.

Netflix, once a pioneer of ad-free binge-watching, established itself as a leader in the streaming industry by providing uninterrupted access to shows and movies. While traditional television was inundated with commercials, Netflix positioned itself as the alternative—eliminating ad interruptions and allowing viewers to consume content at their own pace without delays between episodes.

However, the streaming environment has changed dramatically. Major media players have emerged with their own platforms—such as Apple TV+, Disney+, HBO Max, Peacock, and Paramount+—many of which have adopted ad-supported tiers to attract budget-conscious viewers.

In response to waning subscriber numbers earlier this year, Netflix has decided to embrace advertising, a move it had long resisted.

Here’s what you need to know about the new ad-supported option:

Starting this week, Netflix is integrating advertisements into its content for users who subscribe to the new "Basic with Ads" tier. If you prefer an uninterrupted viewing experience, the existing ad-free subscription options remain available.

Current Netflix subscribers will not see ads unless they opt for the new, lower-cost plan, which allows for a more budget-friendly way to enjoy content in exchange for watching ads.This month marks the rollout of Netflix's new ad-supported membership plan, known as Basic with Ads, across 12 countries.

The initial launch took place in Canada and Mexico on a Tuesday, followed by a wider release in the United States, Australia, Brazil, France, Germany, Italy, Japan, South Korea, and the UK on Thursday. Spain is set to join the lineup next Tuesday at 9 a.m. PT.

In April, Netflix signaled interest in introducing an ad-supported tier. By July, they aimed for an early 2023 launch. However, to stay competitive with Disney Plus's ad tier debut in December, Netflix expedited its timeline.

The pricing for the Basic with Ads plan in the US is $7 per month, providing a $3 discount compared to the lowest ad-free option. This represents the most affordable standalone streaming subscription Netflix has ever offered in the US.

For comparison, here are the current ad-supported and ad-free subscription rates in the US:

Disney Plus: $8/month with ads; $11/month ad-free starting December 8. Currently, it charges $8/month for ad-free.
Hulu: $8/month with ads; $15/month ad-free.
Paramount Plus: $5/month for the ad-supported tier; $10/month ad-free.
HBO Max: $10/month with ads; $15/month ad-free.
Peacock: Free streaming with ads for a limited selection; $5/month with ads for full access; $10/month ad-free.

For a detailed price breakdown by country for the Basic with Ads plan, refer to the end of this article.

Importantly, Netflix will not be raising prices for its existing subscription plans. This clarification comes in light of Disney Plus's decision to increase prices for its current ad-free subscriptions upon launching its ad-supported option.Historically, Netflix has adjusted its subscription prices approximately every two years, but recently, the frequency of these increases has accelerated. The most recent price increase in the United States was announced in January, occurring just over a year after the prior adjustment. This rapid succession of hikes may indicate a trend, but Netflix must also navigate the issue of churn, which refers to the rate at which subscribers cancel their memberships.

Typically, Netflix describes the churn experienced following a price increase as manageable, referring to it as an "adjustment period" characterized by "slightly higher churn." However, with the company's ongoing concerns about membership declines, including cancellations linked to the latest price hike, Netflix is hesitant to implement further increases in the near future.

As of last month, Netflix confirmed that the prices for its existing subscription tiers will remain unchanged. Previously, Netflix offered three ad-free subscription tiers: basic, standard, and premium. In addition to these, Netflix has introduced a fourth tier in select countries, including the United States, which includes advertising.

Here’s a breakdown of the current subscription options:

Basic with Ads: $7 per month. This tier mirrors the ad-free basic plan but does not allow offline downloads.
Basic: $10 per month. This plan permits one stream at a time, supports downloads on one device, and offers 720p HD video quality.
Standard: $15.50 per month. This option allows for two simultaneous streams, downloads on two devices, and provides 1080p HD video quality.
Premium: $20 per month. Subscribers can enjoy four simultaneous streams, downloads on four devices, and 4K HDR video quality.

While the standard and premium tiers remain unchanged, the ad-free basic plan will see an upgrade in video quality alongside the introduction of the ad-supported tier, with both basic plans now offering 720p HD video.

When the new ad-supported tier becomes available in your region, new users can subscribe directly. Existing subscribers have the option to switch to the basic with ads plan by logging into their account, clicking on "plan details," and selecting "change plan." If the new tier isn't visible, it may be due to third-party billing or package deals, in which case contacting the provider is necessary.

Additionally, some devices are not compatible with the basic with ads plan, meaning Netflix may not stream on those devices. For instance, Apple TV and PlayStation 3 are not supported, though PS4 and PS5 users can still access the service. Netflix provides a support page outlining compatibility by device.

Netflix Ad-Supported Tier Details

Netflix has announced that its ad-supported tier will have an ad load of approximately four to five minutes per hour.

Advertisements will be integrated into the viewing experience through preroll ads before shows start and midroll ads during scene transitions.

Greg Peters, the Chief Operating Officer, emphasized that the platform will implement strict frequency caps to minimize the chances of viewers seeing the same ad multiple times.

For context, HBO Max, when it launched its ad-supported option, committed to less than four minutes of advertising per hour.

Disney Plus has set a similar goal, aiming for an average of four minutes of ads hourly. Meanwhile, Peacock indicated that its ad-supported tiers would feature five minutes of ads each hour.

This is notably lower than traditional television networks, which can have ad loads reaching up to 15 minutes per hour.

Users will be able to pause during ad breaks, but skipping or fast-forwarding through ads is not an option on Netflix.

While the ad-supported tier does not lock away any specific content behind a paywall, approximately 5% to 10% of titles may be unavailable due to licensing issues, with the exact percentage varying by region.

Additionally, subscribers to the basic plan with ads will not have the ability to download content for offline viewing.

Children's profiles will be ad-free, ensuring that young viewers do not encounter advertisements.

The pricing for the basic with ads tier varies by country:

Australia: AU$7/month
Brazil: R$18.90/month
Canada: CA$6/month
France: €6/month
Germany: €5/month
Italy: €5.50/month
Japan: ¥790/month
Mexico: MX$99/month
South Korea: ₩5,500/month
Spain: €5.50/month
United Kingdom: £5/month

To check the pricing specific to your country, Netflix provides a plans and pricing page with a dropdown menu for easy navigation.

What is a Netflix VPN and How to Get One

A Netflix VPN is a virtual private network that enables users to access region-restricted content on Netflix by connecting to servers located in different countries. By choosing a reliable VPN provider that supports streaming, users can create an account, download and install the VPN application, and connect to a server in the desired region. This allows them to log in to Netflix and enjoy content that may not be available in their own country.

Why Choose SafeShell as Your Netflix VPN?

If people want to access region-restricted content by Netflix VPN, they may want to consider the SafeShell VPN . One of the compelling advantages of SafeShell VPN is its high-speed servers, which are optimized explicitly for seamless Netflix streaming. This ensures that users can enjoy their favorite shows and movies without interruptions, thanks to the lightning-fast connection speeds and buffer-free playback. Additionally, SafeShell VPN supports multiple devices, allowing users to connect up to five devices simultaneously across various operating systems such as Windows, macOS, iOS, Android, Apple TV, Android TV, and Apple Vision Pro. This ensures that no matter what device you are using, you can enjoy uninterrupted streaming.

Another key benefit of SafeShell VPN is the exclusive App Mode feature, which allows users to unlock and enjoy content from multiple regions simultaneously. This provides access to a diverse range of streaming services and libraries, offering a world of entertainment without restrictions. Furthermore, SafeShell VPN boasts lightning-fast speeds with no bandwidth limitations, ensuring that buffering and throttling are a thing of the past. Security is also a top priority, with the proprietary "ShellGuard" VPN protocol ensuring top-level security for private browsing sessions. Advanced encryption and robust security features protect users' data from prying eyes, offering peace of mind when accessing content. With these advantages, SafeShell VPN provides a reliable solution for those who find their netflix vpn not working effectively.

A Step-by-Step Guide to Watch Netflix with SafeShell VPN

To fully leverage the capabilities of SafeShell Netflix VPN and enjoy Netflix content from different regions, follow these detailed steps: - Start by subscribing to SafeShell VPN. Visit their website at https://www.safeshellvpn.com /, select a plan that suits your needs, and click on "Subscribe Now" to proceed.

Next, download and install SafeShell VPN on your preferred device. Navigate to the website again, choose your device type (like Windows, macOS, iOS, or Android), and download the corresponding app or software version.
Once installed, launch the SafeShell VPN app. Click on "Log In" to access your account. SafeShell offers two modes, but for the best Netflix experience, opt for the APP mode.
Afterward, browse through the list of available VPN servers. Select a server located in the region whose Netflix content you want to access, such as the US, UK, or Canada, and click on "Connect" to set up a connection.
Finally, open Netflix by launching the app or visiting their website. Log in with your Netflix credentials and start enjoying the diverse content available from the chosen region.