Ads, or rather ads, will come to Netflix. The platform, which broadcasts for series, movies and documentaries, decided to choose this path despite the complaints of many users on social networks. And the path Netflix will follow shows that it will solve one of the biggest problems of the platform.
We’ve seen what the service will look like in recent months. series or movies have increased their price significantly, even users have repeated this on social networks like Twitter or Facebook. However, these price increases are not the solution Netflix has in mind to survive.
Looks like the big plan Netflix Getting back the economic results is advertising. In fact, thanks to data presented by stock analyst Michael Nathanson at MoffettNothanson and collected by our colleague Elaine Low in Business Insider, everything shows that ads will generate the revenue Netflix needs.
Forecasts show quite interesting data and that subscribers will decrease due to the new direction of Netflix. But the decrease in subscribers will not be a problem for the drama platform, and indeed thanks to advertising, this loss does not cause loss of revenue, as ads will compensate for it.
Ads on Netflix will allow the platform to make more money from subscriptions
Among the data presented by Michael Nathanson, thanks to ads on Netflix, platform will enter $1,000 million through 2023. The main revenue generating market will be the United States and Canada with a figure of $700 million.
Other markets such as European countries including the UK, France or Germany will make up the remaining $300 million, along with the market for South American countries such as Brazil. Moreover, this initial amount of income would continue to increase as the years passed..
It turns out that ads could be Netflix’s big savior, but for that we’ll have to wait until November of this year, which is the date the TV series and movie platform gave for the cheap plan with ads to arrive. Netflix’s cards are on the table and subscribers are less and less important, or at least it seems.
Source: Computer Hoy
