Netflix is reportedly discussing the idea of offering free versions of its streaming service in some markets. According to a report by Bloomberg, the US streaming giant plans to offer these free versions in Europe and Asia. With these versions, the company is looking for more ways to grow its audience, the report said, citing people familiar with the company’s plans.
These countries may receive a free version of Netflix
According to the report, Netflix has already experimented with a free plan in Kenya. However, the company stopped the free service in the African country last year. The report also mentions that the company’s top executives have discussed the need to offer a free version of the service in much larger markets, especially those with popular free-to-air TV networks that also sell advertising, such as Germany or Japan.
However, the company has no plans to offer a free service in the US, the report added. The report said Netflix has already reached most of its potential customer base in the market. People familiar with the matter also revealed that the company’s plans are still in the early stages. Netflix has also not made any official announcements about the free plans in any market and is only discussing them, the report said.
How these free services can help Netflix
A free service is designed to help the company reach more people who either can’t afford the service or don’t have the means to pay for it. These free plans would also address one of the biggest current challenges for the company – creating additional advertising inventory.
Alongside YouTube, Netflix is the biggest player in video streaming. However, when it comes to advertising, it still lags far behind Google’s own streaming service.
The report also quotes Neal Zuckerman of the Boston Consulting Group as saying that major customers of subscription-based companies such as Netflix and Spotify are looking for new ways to generate revenue.
Advertising-based companies like Google now sell subscriptions to services like YouTube Premium and YouTube TV. Companies like Netflix and Spotify, which are more dependent on subscribers, are now fully relying on advertising, the report adds.
These countries may receive a free version of Netflix
According to the report, Netflix has already experimented with a free plan in Kenya. However, the company stopped the free service in the African country last year. The report also mentions that the company’s top executives have discussed the need to offer a free version of the service in much larger markets, especially those with popular free-to-air TV networks that also sell advertising, such as Germany or Japan.
However, the company has no plans to offer a free service in the US, the report added. The report said Netflix has already reached most of its potential customer base in the market. People familiar with the matter also revealed that the company’s plans are still in the early stages. Netflix has also not made any official announcements about the free plans in any market and is only discussing them, the report said.
How these free services can help Netflix
A free service is designed to help the company reach more people who either can’t afford the service or don’t have the means to pay for it. These free plans would also address one of the biggest current challenges for the company – creating additional advertising inventory.
Alongside YouTube, Netflix is the biggest player in video streaming. However, when it comes to advertising, it still lags far behind Google’s own streaming service.
The report also quotes Neal Zuckerman of the Boston Consulting Group as saying that major customers of subscription-based companies such as Netflix and Spotify are looking for new ways to generate revenue.
Advertising-based companies like Google now sell subscriptions to services like YouTube Premium and YouTube TV. Companies like Netflix and Spotify, which are more dependent on subscribers, are now fully relying on advertising, the report adds.
