At CES 2023, Netflix returned to the controversial debut of its new formula with ads. If we can not really say that the subscription is a success with users, the streaming service is pleased to have been able to attract various advertisers, while promising that the problem of missing content will soon be resolved.
Last November, Netflix launched its first subscription with ads. This is a first for the streaming giant, which has long prided itself on offering a radically different experience from television, before falling back on more traditional methods after a difficult period. As expected, the news received a rather cold reception from the public. Although less expensive than the standard formulas, the majority of users simply refuse to have their viewing interrupted by advertising.
Two months after the launch, it is therefore time for Netflix to take stock of the situation. At CES 2023, Jeremi Gorman, president of global advertising at the firm, spoke to defend its strategy. According to her, the first success is first to be sought from the side of the advertisersdiversified enough to offer users “a wide variety of advertisements” and so that they find themselves faced with advertisements for the same type of product or service.
Netflix will continue to develop its subscriptions with advertisements
That being said, not everything is rosy in the land of advertising at Netflix. Even advertisers, although visibly seduced by this new space for expression, complain about the company’s strategy, in particular prices that they consider too high to appear on the platform. For its part, Netflix maintains its position and justifies it by its leading position in the streaming market.
On the same subject: Netflix will offer other formulas with advertisements to adapt to all wallets
The main problem with this new formula remains: lack of content. Indeed, due to a question of rights, Netflix cannot broadcast advertising on all the films and series available on its platform, even for some of its own creations. Results, many cult works are not offered within the formula,
On this point, Jeremi Gorman promises thata solution is in development. “We are making progress on the issue“, she assures. “We are renegotiating agreements that we made a long time ago“. And this one to add that at present, 85% to 95% of the content is available in the subscription with advertisements.
Source : TechCrunch
