Last July, Netflix announced it would be phasing out its most affordable ad-free subscription option, the Basic plan, forcing users to choose between paying more or embracing commercials. This strategic move comes as the streaming giant aims to boost revenue through its ad-supported tiers.
Now, Netflix has started to move customers off of its basic plans to more expensive ad-free standard plans unless they decide to switch to cheaper ad-supported plans. Several readers reached out to Cord Cutters News over the weekend to inform us that they received emails from Netflix about the upcoming price hike.
This decision follows a similar move in January, where Netflix discontinued the Basic plan in the U.K. and Canada, offering subscribers a choice between upgrading their plan or switching to an ad-supported version.
With the Basic plan eliminated, current subscribers are faced with three options:
- Standard with Ads ($6.99/month): The new cheapest option, ideal for budget-conscious viewers who don’t mind commercials.
- Standard Plan ($15.49/month): The ad-free alternative for those willing to pay a premium.
- Premium Plan ($22.99/month): The top-tier option offering ad-free viewing and 4K content.
Netflix’s motivation behind this move is likely financial. Ad-supported accounts have proven to be more profitable than ad-free ones, and the company is looking to capitalize on this growing revenue stream.
The news has sparked a wave of discontent among subscribers, who are expressing their frustration on social media platforms like Facebook. Many lament the loss of a budget-friendly, ad-free choice.
If you’re currently on the Basic plan you should be receiving an email soon if you have not already with details on when you will be switched over to Standard.