Netflix studies a new subscription model with ads after the fall of customers

After announcing the loss of 200,000 subscribers in the first quarter of this year and a drop of 28% in their actions, Netflix studies to implement a new subscription model more economical. This new offer would include advertisements in exchange for a reduction in the costs of their services, a proposal that already works on other platforms such as Hulu either hbo max.

For now, Reed Hastingsco-founder of the American company, has already anticipated that this option would be available “along the next year or within two”.

The first descent of subscribers in 10 years has forced the platform of ‘streaming’ Netflix to rethink its business model. As stated by its co-founder Reed Hastings, who has always been “in against of the complexity of the advertising“, the company based in Los Gatos (California) I would be willing to add new offer plus cheap for those clients who tolerate the advertisements.

It would, therefore, be a change of principles by Netflix, which is trying to cope with the decline of more than 100 million dollars in net benefits compared to the figures recorded last year.

From Netflix, the collapse of the company’s figures with the emergence of new competitors, such as AppleTV+ either Disney+. In turn, they have also justified the decline with the cancellation of its services in Russia for the invasion of Ukraine.

This withdrawal would have meant the suspension of 700,000 accountswith which Netflix adds that, if they had not been produced, they would have 500,000 new users compared to the first quarter of 2021; a number closer to 2.5 million that had been set as a goal for the beginning of the year.

Another reason that could explain the debacle of Netflix is ​​the step to a more restrictive about those clients who share their account, almost the half of the 222 million active payment accounts, according to data collected by the platform itself.

Last month, the company started a pilot program in Chile, Costa Rica and Peru, where they began charging a additional amount to all those users who divide the costs of services with people from other households.