Netflix recently made a significant change to its subscription plans, leaving some users disappointed. Previously, there was a basic plan available for $9.99 per month, which allowed users to stream content in high definition on one device at a time. However, without any prior announcement, Netflix quietly removed this option from its offerings in Canada, and started hiding it from new users in the US and UK as well.
It seems that Netflix wants to prioritize its ad-supported and more expensive ad-free plans. Currently, the available subscription plans are the $6.99 (£4.99) per month ad-supported tier, the $15.49 (£10.99) per month standard plan, and the $19.99 (£15.99) per month premium plan. The basic plan, which used to be a middle-ground option between the ad-free and ad-supported plans, is no longer available for new users to choose.
For current subscribers who are already on the basic plan, they can continue using it as long as they don’t cancel or change their plan. However, this change means that those who were hoping to downgrade their subscription to a cheaper ad-free plan will no longer have that option. It remains unclear when exactly Netflix implemented this change and whether it plans to do the same in other countries. The Verge reached out to Netflix for more information, but the company has yet to respond.
The removal of the basic plan signals a shift in Netflix’s strategy and focus. By eliminating this option, Netflix is likely trying to encourage users to choose either the ad-supported plan, which comes at a lower cost, or the more expensive ad-free plans. This move could be driven by the company’s desire to maximize its revenue and strengthen its advertising strategy.
The basic plan’s disappearance was foreshadowed by its removal in Canada, where users could no longer select it as an option. In the US and UK, new users had to click on a “see all plans” button to even find the basic plan as an available option. Additionally, the basic plan had its limitations, such as not allowing the addition of extra members to the account as part of Netflix’s paid sharing policy.
This change in subscription offerings comes just before Netflix is set to report its earnings, leading some to speculate that the company might share more information about this decision during its earnings announcement. It will be interesting to see how this change affects Netflix’s subscriber base and if it leads to any significant shifts in user behavior.
Overall, Netflix’s decision to remove the basic plan and restructure its subscription options reflects the company’s evolving strategy and commitment to its advertising offerings. While some users may be disappointed by the loss of a more affordable ad-free option, Netflix is clearly focusing on maximizing its revenue and strengthening its position in the streaming market.
