Advertising and surcharges: how Netflix strives to survive


Advertising and surcharges
How Netflix is ​​fighting for its survival

Netflix wants to focus on advertising in the future, among other things.

Netflix wants to focus on advertising in the future, among other things.

© xalien / Shutterstock.com

At first, the spirit of optimism prevailed, but in the meantime there was disappointment. Netflix is ​​losing subscribers and wants to retaliate.

The golden year is over. Regardless of whether Netflix., Disney, Apple, Amazon, Sky, ProSiebenSat.1, Mediengruppe RTL or other vendors – they all want a big piece of stream cake. It should be clear that many consumers do not like this.

one inside Germany In recent years, millions of people have enjoyed the hits of the series and popular movies. They enjoyed the Squid Game, laughed at LOL: Last One Laughing, or got upset about the Game of Thrones finale. Many also wanted to purchase multiple subscriptions to enjoy much of the world of modern entertainment. However, more and more service providers have emerged in recent years. 2022 Paramount + will also launch in Germany. Great choice for a low price? fluffy cake!

hundreds of euros a year

Meanwhile, consumers have to choose raisins, otherwise they will be expensive. Trial periods or individual special service offers are not included, it amounts to hundreds of euros per year. For example, who simultaneously uses Netflix, Amazon Prime Video, Disney+ and Apple TV + subscribe for a total annual price of at least € 315. If a Disney and Amazon user opts for a monthly debit instead of the cheapest Netflix package and opts for a premium account, that’s almost $ 480 a year.

Netflix, a cherry on the cake for a long time for many consumers, is clearly feeling the effects. For the first time since 2011 streaming service In the first quarter, the lowest number of paying customers was about 200,000. And yet 2.5 million new customers were expected. According to forecasts, two million other users are also expected to relocate in the coming months.

According to media reports, the entertainment giant, among other things, blamed the withdrawal from Russia after the war in Ukraine. In addition, there are many customers who share their accounts with family and friends outside of their homes, even if this has always been prohibited in the terms of use. It is estimated that about 100 million households worldwide use the service without paying.

Pay less for Netflix.

The streaming service cannot continue like this in the long run. Accordingly, there are some considerations on how to increase the number again. Citing anonymous sources The New York Times recently reportedthat Netflix may introduce a new discounted ad-supported subscription option later this year.

On paper, for some, it really sounds good, and it’s unclear how advertising could be accurately included. However, paying for gum or shower gel ads that can break an attractive scene should have a gentle hue. By the way, Disney + is also developing a cheaper subscription with advertising, which is expected to be introduced in the US in 2022 and internationally next year.

Pay more for Netflix.

In recent years, meanwhile, the service has made an effort to allow users to share their accounts with people outside their household without violating the terms of use. They will then have to “pay a little more”, as Netflix explained in mid-March.

Adding additional members to your account is currently being tested in Chile, Peru, and Costa Rica. In the latter country, this “extra member” without a standard or premium subscription should cost about three dollars a month. The surcharge is likely to come to Germany as well. However, it is not known at this time when it could be prepared and how much it will cost.

Further price increases also seem almost inevitable. In the United States, Netflix raised prices again just a few months ago. Since launching in Germany in 2014, Netflix has repeatedly increased costs for customers in Germany. Years…

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