Netflix is planning to introduce adverts

20 April 2022, 13:04

Watch the trailer for Stranger Things 4 Vol. 1

By Katie Louise Smith

Following a big loss, the streaming platform is looking at ways to improve its subscriber numbers – including adding adverts to a new, cheaper subscription plan.

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Some more big changes are coming to Netflix. Earlier this year, the streaming service announced that it would be upping its pricing and putting an end to password sharing in multiple households.

Now, thanks to a drop in subscriber numbers, Netflix is considering adding an ad-supported subscription to its service, available to customers for a cheaper fee than it's standard subscription charge.

The news comes after Netflix announced that it lost 200,000 subscribers during the January-March quarter. It's also the first time the streamer has lost subscribers in 10 years.

Netflix is planning to introduce an ad-supported subscription plan. Picture: Netflix

Despite the platform seeing huge success with its latest release of Bridgerton season 2 (which managed to overtake the record-breaking first season in total hours viewed), and an upcoming summer slate that includes the return of some of their most popular shows such as Stranger Things, Netflix has also reported that it expects to lose millions more subscribers in the spring.

In order to help rebuild the subscriber losses, Netflix executives have now said they are now open to adding advertising to the service – in return for a cheaper subscription – despite co-founder and chairman Reed Hastings long being opposed to adding ads or other promotions to the service.

It's not currently clear if or when they will be implementing it to the service. But if you're hoping to pay less for your Netflix account, you may now have to sit through ads.

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Netflix also blamed the drop in subscribers on the apparent password sharing issue. Back in March, Netflix announced that it would be putting an end to people sharing their passwords between multiple households by testing a new feature.

In a blog post, Director of Product Innovation Chengyi Long said: "We’ve always made it easy for people who live together to share their Netflix account, with features like separate profiles and multiple streams in our Standard and Premium plans. While these have been hugely popular, they have also created some confusion about when and how Netflix can be shared. As a result, accounts are being shared between households - impacting our ability to invest in great new TV and films for our members. So for the last year we’ve been working on ways to enable members who share outside their household to do so easily and securely, while also paying a bit more."

Standard and Premium subscription users will be able to set up 'sub accounts' for up to two people they don't live with. It will cost an additional $2.99 on top of the subscription fee.

So, even if you are a university student living away from home, watching Netflix from your family's joint account, you will likely end up paying extra to stay on that subscription plan.