Netflix launches a package with advertising for 5.99 euros.

Aimed at targeting consumers on modest incomes, this new subscription will be marketed in France from November 3rd.

The countdown is running. Within three weeks, Netflix will launch a new cheaper bundle including ads in 12 countries including the US, Brazil, Australia, Germany, Spain, UK, France, Japan and Korea. In France, this new offer is called Essential with ad, will be offered starting Thursday, November 3 at 5 p.m. Its price: 5.99 euros per month or 3 euros less than the currently lowest tariff on Netflix. This corresponds to a discount of 33%.

Previously, consumers had a choice of three ad-free plans: Significant (8.99 euros per month), default (13.49 euros per month) and Bonus (17.99 euros per month). You now have a fourth option, but with ads.

The formula is primarily intended to attract new households with more modest financial means Essential with ad comes close to the package Significant. A single simultaneous stream, access to a wide range of series and films in high definition on all screens and the ability to cancel or change your subscription at any time. However, users cannot download offline programs.

In fact, 85% of the catalog will be available. If all iconic Netflix series, documentaries and films such as stranger things, The crown, money robbery included are some titles, for issues of “Rights Restrictions“, cannot be broadcast for the time being, specifies the platform, which is negotiating with the rights holders.

SEE ALSO – Amazon will increase the price of its Prime subscription in France

No more than 5 minutes of advertising per hour

In exchange for this cheaper package, subscribers must accept commercial breaks at the beginning (pre-roll) and during broadcasts (mid-roll) of 4 to 5 minutes per hour. Against a maximum of twelve minutes on French television channels. No banners or thumbnails, just video, in the form of short spots, 15 or 30 seconds. Commercial breaks inserted into television series, for example, may not exceed 30 seconds pre-roll and 60 seconds mid-roll. For newer films, the interruption occurs at the beginning of the program and for a maximum duration of 75 seconds.

The streaming giant will also prevent the same ad from being broadcast on a loop. The experience must remain fluid for users. To reassure parents, “kids” profiles are excluded from any advertising.

Netflix’s arrival in the advertising market is a new playground for advertisers. The latter can appeal to a partially advertising-sensitive audience and in particular young target groups that they can no longer necessarily reach via traditional television. “Advertisers are very interested‘ assures Netflix. Big brands like L’Oréal or the car manufacturer General Motors have already registered with the streaming platform.

Certification of Hearings

Netflix, which has delegated the technical management and marketing of this new advertising offer to Microsoft, promises them a “premium” setting. Brands can refuse to have their advertising appear on programs that contain images of sex or violence, for example. The targeting initially remains very broad and essentially focuses on the platform’s program offering: French women who watch Emily in Parislover of stranger things in Japan and UK etc. However, this alignment may change in the future. Starting in Q1 2023, Netflix will use a trusted third-party provider to validate its viewership data in all countries where its new formula arrives with ads. Hence, it has agreements with DoubleVerify and Integral Ad Science.

In France, Médiamétrie, which in principle plays this role of trustworthy third party, spoke out against the self-measured viewership of platforms such as Netflix, Amazon Prime Video or Disney+.

As evidence that things are changing, its English equivalent, the BARB (Broadcasters Audience Research Board), will release a measurement of daily viewership from November 2nd for Netflix, but likely also Disney+ and Amazon Prime. It is the first time since the advent of the video streaming industry that an independent body has measured the ratings of the industry giants on the same basis used for television broadcasters. This novelty is therefore being carefully studied by all audiovisual professionals around the world. Netflix has prepared for this revolution by scheduling the launch of the long-awaited fifth season of The crown. An event that Britons would be watching just two months after the death of Queen Elizabeth II.

After losing subscribers in previous quarters, Netflix is ​​hoping for a rebound thanks to its new bundle of ads. The streaming giant has no goal. In its latest results in July, it indicated that it expects a modest start in ad revenue. “But we believe we can grow and make it substantial over time‘ said Greg Peters, Netflix’s director of marketing and operations. According to the specialist company Ampère Analysis, the American streaming giant could rake in another $5.5 billion in advertising revenue in five years.

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