Netflix May Reportedly Introduce a Free Ad-Supported Plan in Select Asian, European Markets

Netflix may introduce a free plan, enabling users to consume its content without having to pay for it, but with ads, according to a report. The video-streaming platform is said to be considering introducing a free plan in select markets around the world. If it comes to fruition, this new tier would sit below the ad-supported plan that is currently the most affordable way to watch Netflix, but only in certain regions.

Netflix’s free ad-supported plan

According to a Bloomberg report, the video-streaming platform has discussed offering a free plan in Asian and European markets where other free TV networks also have free plans. This plan is speculated to offer free viewing of Netflix’s content but with ads. Citing people familiar with the company’s plans, the report suggested that this move aimed at increasing the video-streaming platform’s audience.

If true, it wouldn’t be the first time Netflix will offer free video streaming. In 2021, a free plan was introduced in Kenya for Android smartphones. However, it was discontinued last year. While it may target users in Asia and Europe, the report suggests Netflix has no plans to introduce this free tier in the US. Notably, it already offers an ad-supported plan which is the most affordable way to watch Netflix, priced at $6.99 (roughly Rs. 600) per month.

According to Amy Reinhard, Netflix’s President of Advertising, this ad-based plan has currently 40 million active users globally, compared to the 5 million user mark last year. Furthermore, the company claims that 40 percent of all its sign-ups come from the ad-supported plan, in countries where it is available.

Apart from gaining more viewers, the rumoured free plan may also help bring in more advertising for the video-streaming platform, as per the report. If true, it would go hand in hand with the company’s plans for an in-house advertising technology platform that is confirmed to launch by the end of 2025. According to Netflix, this would open up new ways for advertisers to “new ways to buy, new insights to leverage, and new ways to measure impact.”