Netflix just made its ad-supported plan so much better

Netflix’s ad-supported plan has been around for a full year now, believe it or not, and it’s grown up quite a bit since its launch. The Standard with Ads plan started out by allowing subscribers only one concurrent stream at 720p resolution with no ability to download programs for offline viewing. Things have changed, and they will continue to change – one such shift is rolling out now, with yet another on the way shortly.

What does the Netflix Standard with Ads plan offer now?

Netflix’s Standard with Ads plan costs $7 per month, or just under half of what the Standard plan without ads is priced at. For the money, customers today can stream “all but a few” movies and shows in the catalogue on up to two devices simultaneously at 1080p resolution. They can also play all they want on the cloud-based Netflix Games platform.

Again, this is an improvement from the single 720p stream that was allowed in the early days, but you do miss out on a select few titles and the downloads on two devices with the Standard plan. There is also the fact that you can add extra members who live outside your household to your plan for $8 per month, but the discussion of that is for another story.

What features are getting added to the Standard with Ads plan?

In a corporate blog post, Netflix shared a couple of tidbits about what it would do for its ad-viewing subscribers. For starters, the company is letting them download shows and movies, with every user gaining this option by the end of this week. Engadget notes Netflix’s claim that it is the only streaming service to offer downloads to its ad-supported subscribers. Then, starting in the first quarter of 2024, the company will reward binge watchers by withholding advertisements on every fourth consecutive episode. We’re expecting more details as these items head to customers.

What other changes are coming to Netflix’s advertising?

In addition to the 15- and 30-second ad formats, you should expect to see 10-, 20-, and even 60-second formats if you haven’t already. Clients from new product categories, including pharmaceutical, dating, and financial firms, will also be thrown into the existing mix. Also, in Q1 2024, you’ll see QR codes integrated into ad experiences. And if that’s not enough, you’ll see title sponsors for specific series, seasonal campaigns, and live events. Frito-Lay popcorn brand SmartFoods, for example, has been recruited as the lead sponsor for the latest season of “Love is Blind.” Other names will be tagged to other items on the upcoming roster, including “Squid Game: The Challenge,” “The Crown,” and “The Netflix Cup.”

What does this all mean for Netflix?

As we’ve noted above, these announcements from Amy Reinhard, president of advertising for Netflix, serve to expand the company’s ability to cater to advertisers’ demands with regard to reaching the very specific types of viewers they want. As the platform collects data about viewing habits and partners with the likes of Microsoft and Nielsen for organizing and reporting, the company is hoping it will be able to garner enough business-to-business revenue to be able to shrink or even close the price gap in its plans.