The leading online series and movie streaming platform Netflix may undergo a significant change in its revenue model. It has been reported that the company plans to offer free, ad-supported packages in some countries to increase its revenue. This information was leaked from sources close to the matter. This strategy could particularly increase the number of users in countries with low purchasing power and expand Netflix’s market share.
Ad-Supported Free Netflix Packages
A similar application was tested in Kenya last year. In this pilot project, users had the chance to use Netflix for free accompanied by ads. It is thought that the company has decided to enter new markets encouraged by this experience. However, it is still unclear which countries will be included in this plan and the details remain uncertain.
Netflix’s Global Market Strategy and Ad-Supported Packages
This new initiative by Netflix could intensify competition especially in markets outside the USA. Since the company already has a high number of customers in the USA, it does not consider implementing such a plan in America. The list of countries, including whether Turkey will be involved or not, seems to focus on regions with lower income levels.
In conclusion, Netflix’s strategic move aims to increase its global user base and maximize advertising revenues. However, whether this plan will be successful will be better understood as the implementation details become clearer.
