Netflix’s Ad-Supported Plan Grows to 15 Million Users, Surpassing Expectations

Netflix has reported a significant increase in the popularity of its ad-supported subscription tier, revealing that it now boasts 15 million monthly active users worldwide. This marks a threefold growth from the figures disclosed in May and demonstrates notable progress as Netflix approaches the one-year mark since introducing this more affordable option.

In response to slowing subscriber growth, Netflix launched this ad-supported plan alongside efforts to curb password sharing, effectively aiming to boost its revenue. This strategy has yielded positive results, with Netflix surprising Wall Street by adding 8.8 million subscribers in its third-quarter report, and similar growth is anticipated for the fourth quarter.

Netflix is further enhancing its ad tier by introducing new features for both advertisers and users. Advertisers can now select from 10-, 20-, and 60-second ad formats in addition to the existing 15- and 30-second options. This expanded choice provides advertisers worldwide with multiple formats to utilize.

Ad tier members can also look forward to improvements such as higher 1080p streaming resolution and the ability to download movies and series to their devices, starting at the end of the week. Netflix plans to cater to binge watchers by offering an ad-free episode after viewers watch three consecutive episodes of a series, starting in the first quarter of 2024.