September 7th, 2022, Lesley Simeon
Netflix may price its ad-supported tier between $7 and $9 a month with an ad load of four minutes per hour. Currently, the streaming service offers users ad-free monthly plans at $9.99, $15.49 and $19.99.
With its new offering, Netflix is looking to shore up its customer base. According to YouGov BrandIndex - which tracks consumer sentiment towards thousands of brands daily – the subscription streaming service’s US Current Customer metric was 47.6% at the start of 2021 but fell to 45.7% by 30 August 2022.
But as Netflix prepares to roll out its ad-supported tier later this year, are audiences okay with ad interruptions?
According to YouGov Profiles – which covers demographic, psychographic, attitudinal and behavioral consumer metrics - more than half (58%) of the general US population feel it is fair to watch ads in exchange for free content. On the other hand, about 28% of Americans don’t.
The potential trouble for Netflix is that its users are (very slightly) more inclined to agree with this bargain than the general American population (59%). How many of them will choose to downgrade their subscriptions and sit through the ads in exchange for the saving remains to be seen.
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Methodology: YouGov BrandIndex collects data on thousands of brands every day. Netflix’s Current Customer score is based on the question: Are you a current subscriber or have you purchased services from any of the following brands in the past 12 months? and delivered as a percentage. The Index score is based on the average of General Impression, Customer Satisfaction, Quality, Value, Corporate Reputation, Recommendation scores and delivered as a net score between –100 and +100. Scores are based on an average daily sample size of 2802 US adults between 1 January 2021 and 30 August 2022 based on a four-week moving average. Learn more about BrandIndex.
YouGov Profiles is based on continuously collected data and rolling surveys, rather than from a single limited questionnaire. Profiles data for the US is nationally representative and weighted by age, gender, education, region, and race. Learn more about Profiles.