Netflix has announced to launch the Basic with Ads plan starting November 2022. The new lower priced ad-supported plan will be available in 12 countries including Australia, Brazil, Canada, France, Germany, Italy, Japan, Korea, Mexico, Spain, the UK and the US.
Basic with Ads also represents an exciting opportunity for advertisers — the chance to reach a diverse audience, including younger viewers who increasingly don’t watch linear TV, in a premium environment with a seamless, high-resolution ads experience.
- Ad Format: At launch, ads will be 15 or 30 seconds in length, which will play before and during shows and films.
- Advertiser Controls: To help advertisers reach the right audience — and ensure our ads are more relevant for consumers — we’ll offer broad targeting capabilities by country and genre (e.g. action, drama, romance, sci-fi). Advertisers will also be able to prevent their ads from appearing on content that might be inconsistent with their brand (e.g. sex, nudity or graphic violence).
- Verification Tools: We have partnerships with DoubleVerify and Integral Ad Science to verify the viewability and traffic validity of our ads starting in Q1 2023.
- Audience Measurement: To enable advertisers to understand how Netflix can reach their target audience, Nielsen will use its Digital Ad Ratings (DAR) in the U.S. This will become available sometime in 2023 and eventually be reported through Nielsen ONE Ads.
Netflix priced the service so that any customer who switches to the ad-supported service from the ad-free basic plan will have a “neutral to positive” effect on the company’s revenue, according to Peters. Video resolution for Netflix’s advertising tier will be 720p rather than 1080p, the quality of Netflix’s standard plan that costs $15.49 per month.
Meanwhile, Netflix has not yet announced any plans to launch Basic with Ads in India. In India, Netflix provides four subscription plans currently — Mobile, Basic, Standard and Premium. The Mobile plan is the cheapest of all and comes at Rs. 149 a month.