Dream Wired
No Result
View All Result
  • Home
  • Celebrity
  • DramaAlert
  • Gossip
  • Movie
  • TV
  • Music
  • Comics
  • Shop
  • Home
  • Celebrity
  • DramaAlert
  • Gossip
  • Movie
  • TV
  • Music
  • Comics
  • Shop
No Result
View All Result
Dream Wired
No Result
View All Result
Home DramaAlert

Netflix Co-CEO Greg Peters On Possible Price Hike For Advertising Tier

rmtsa by rmtsa
July 18, 2024
in DramaAlert
0
Netflix Co-CEO Greg Peters On Possible Price Hike For Advertising Tier
74
SHARES
1.2k
VIEWS
Share on FacebookShare on Twitter


You might also like

Judge Sets Diddy’s Sentencing Date For October 3rd • Hollywood Unlocked

Bianca Censori Spreads Legs in New Sultry Photos Shot by Kanye West

Kenyan Family Who’s Grandfather Went Missing Left Heartbroken

Netflix‘s 18-month-old advertising subscription tier could well see its price ($7 a month in the U.S.) rise in the not-too-distant future, but Co-CEO Greg Peters says execs “love” the strategic advantages of the current level.

“In terms of raising that price, we think about it similar to pricing in general,” he said on the company’s second-quarter earnings call when asked whether the company might consider a rate hike. “We love having an entry price that’s lower. That means we are more accessible to more people in our ads markets. That’s a great thing because they can have access to all of the great storytelling we are doing there.”

In its quarterly numbers, Netflix posted a better-than-expected increase of 8 million total subscribers over the prior quarter, reaching almost 278 million globally. In its letter to shareholders, the company said its ad tier grew 34% over the first quarter and now accounts for 45% of all subscriptions in the territories where it is available. The company does not formally break out numbers by subscription tier, but said in May that it had reached 40 million monthly active users, up from 23 million in January. (MAUs is a common metric in ad-supported streaming.)

“It’s our job to increase the value to all of our members,” Peters explained. “When we have signals from our members – the amount of acquisitions that we’ve got going on, engagement, what our retention and churn looks like – then we find the right moment to ask our members to pay a little bit more to help us keep that flywheel spinning. We’ll think about that in the ads context the same way we would think about it in the non-ads context.”

Engagement on ads tier is similar to that in ad-free, Peters said, approaching two hours per subscriber per day.

Across the streaming landscape, prices are rising steadily, with many of the players in the same neighborhood as Netflix recently leapfrogging it to higher entry points for customers. Peacock and Paramount are jumping to $7.99 a month from $5.99 and both are below the lowest tiers of Disney+ and Max. Prime Video this year began inserting ads on all originals unless Prime subscribers opt to pay $3 extra per month to avoid ads. Apple TV+ remains the only major streaming service with no cheaper, ad-free option.

In the shareholder letter, Netflix said it is “on track to achieve critical ad subscriber scale for advertisers in our ad countries in 2025, creating a strong base from which we can further increase our ad membership in 2026 and beyond.” While ad revenue is “growing nicely and is becoming a more meaningful contributor to our business,” the letter continued, it won’t be a primary revenue driver this year or in 2025.

Netflix is barely two years into its pivot toward advertising, which was hastily unveiled in early 2022 as the company encountered major turbulence, shedding subscribers for the first time in a decade. After years of steadfastly insisting it would never accept ads, mainly for privacy reasons, the company executed a dramatic left turn and made the ad effort a strategic cornerstone. While results have been encouraging, “building a business from scratch takes time,” the letter noted.



Source link

Tags: AdvertisingCoCEOGregHikeNetflixPetersPriceTier
Share30Tweet19
rmtsa

rmtsa

Recommended For You

Judge Sets Diddy’s Sentencing Date For October 3rd • Hollywood Unlocked

by rmtsa
July 9, 2025
0
Judge Sets Diddy’s Sentencing Date For October 3rd • Hollywood Unlocked

Judge Sets Diddy’s Sentencing Date For October 3rd Amid Prostitution Conviction Judge Arun Subramanian has set October 3rd as the sentencing date for Diddy’s federal prostitution conviction. The...

Read more

Bianca Censori Spreads Legs in New Sultry Photos Shot by Kanye West

by rmtsa
July 9, 2025
0
Bianca Censori Spreads Legs in New Sultry Photos Shot by Kanye West

Bianca Censori I'm Spreading My Legs For Ye Published July 8, 2025 6:04 PM PDT Bianca Censori and Kanye West are calling out for more attention ... with...

Read more

Kenyan Family Who’s Grandfather Went Missing Left Heartbroken

by rmtsa
July 9, 2025
0
Kenyan Family Who’s Grandfather Went Missing Left Heartbroken

by Jeroslyn JoVonn July 8, 2025 A local family in Calera, Alabama is getting support in their search for a beloved patriarch who vanished shortly after arriving from...

Read more

Ramona Singer Told Emma Roberts to ‘Get Away’ from Her In Embarrassing Moment

by rmtsa
July 8, 2025
0
Ramona Singer Told Emma Roberts to ‘Get Away’ from Her In Embarrassing Moment

"You need to immediately go fix this because you have no idea who you just shooed away," Singer's daughter said, as the RHONY alum and Roberts both address...

Read more

‘Squid Game’ Breaks More Ratings Records For Netflix

by rmtsa
July 8, 2025
0
‘Squid Game’ Breaks More Ratings Records For Netflix

Squid Game’s Korean adventures might be over but the dystopian drama won’t stop blowing up records for Netflix. After the third season of the show amassed 60.1M views...

Read more
Next Post
Soulja Boy Sues Tasha K & William The Baddest For M Over Claims

Soulja Boy Sues Tasha K & William The Baddest For $16M Over Claims

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Browse by Category

  • Celebrity
  • Comics
  • DramaAlert
  • Gossip
  • Movie
  • Music
  • TV
  • Uncategorized

CATEGORIES

  • Celebrity
  • Comics
  • DramaAlert
  • Gossip
  • Movie
  • Music
  • TV
  • Uncategorized
No Result
View All Result

Recent News

  • Some Believe She Was Late For Essence Fest
  • Doomsday Wraps Podcasters Cameo, Will Return in Secret Wars
  • How Much the Ex-Red Bull Racing CEO Made – Hollywood Life

Copyright © 2023 DramaWired.
DramaWired is a content aggregator and not responsible for the content of external sites.

No Result
View All Result
  • Home
  • Celebrity
  • DramaAlert
  • Gossip
  • Movie
  • TV
  • Music
  • Comics
  • Shop

Copyright © 2023 DramaWired.
DramaWired is a content aggregator and not responsible for the content of external sites.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In