Netflix Could Lose Up to a Quarter of Its Subscribers If It Adds Commercials
In August, Netflix quietly began rolling out ads promoting its own content. The promos are skippable, only play at the end of episodes, and have been tested on just a select group of subscribers so far. None of that alone is a cause for panic, but the experiment has gotten some Netflix users thinking: Would the service still be worth it if it's no longer commercial-free? For about a quarter of them, the answer is no, according to a new study reported by IndieWire.
The entertainment trend researchers at Hub surveyed 1612 U.S. TV viewers between the ages of 16 and 74. When asked if they would continue paying the same price for Netflix if the service introduced ads, 23 percent said no, 41 percent said definitely or most likely yes, and 37 percent were unsure.
The answers looked different when the participants were asked if they'd settle for ads if the subscription price was lowered to $3 a month. In that scenario, only 16 percent would leave Netflix while 50 percent would continue their subscriptions.
Netflix is still technically commercial-free for the time being, which users report as one the service's most appealing features, according to Hub. And even if Netflix does eventually interrupt your binging sessions with a few ads, the price will still likely be worth it over cable.