Netflix Ad-Based Subscription Confirmed; Will Netflix Plans Get Cheaper In India?

Netflix plans are on the expensive side of the OTT spectrum. It looks like the competition with other platforms is spiking and Netflix is working on a game plan. Rumors of ad-based Netflix plans have been around for a while. Now, the popular OTT platform has confirmed that it's working on an ad-supported tier.

Netflix Ad-Based Plans Incoming

The changing game plan could alter the dynamics of Netflix's strategy in India. So far, Netflix has strongly opposed the idea of ads on its platform. But with rising competition from Amazon Prime Video, Disney+, Sony Liv, and others, Netflix is changing its strategy.

"We are still in the early days of deciding how to launch a lower priced, ad supported option and no decisions have been made. So this is all just speculation at this point," a Netflix spokesperson said in an interview with Engadget.

This means that Netflix is working on an ad-based tier on its platform. Another report quoted Co-CEO Ted Sarandos, who confirmed the same plan at the Cannes Lions advertising festival. The report said that Netflix was leaving a huge chunk of customers who believed the OTT was too expensive for them.

Simply put, the ad-based plans on Netflix would make subscriptions a tad bit cheaper. Sarandos believes that more people would subscribe to Netflix if the plans were cheaper and they wouldn't mind watching a couple of ads for the curated content on the platform. Netflix would get additional revenue from advertisements.

Netflix Ad-Based Plans In India: Will Netflix Get Cheaper?

Reports also claim that Netflix is in talks with Google and other platforms to introduce ads. Also, Netflix is in talks with Roku to build an ad-based plan for subscribers to access it for lesser money. This would surely alter the OTT dynamics in India. Presently, the basic Netflix mobile plan starts from Rs. 149 in India.

Disney+ Hotstar, Amazon Prime Video, Voot, Sony Liv, and other such platforms are huge competitors to Netflix in India. Presently, it's unclear if Netflix will rollout cheaper plans or even free ad-based plans in India. Either way, it could boost Netflix's user base in the country, especially for its unique, original content.