Netflix ad ambitions grow as low-cost plan surges to 190 million viewers

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Netflix announced a significant increase in subscribers to its cheaper, ad-supported streaming plan, signaling its growing interest in advertising revenue.

The popular streaming service announced it now has over 190 million viewers each month who are using its ad-supported plan, which costs $7.99 monthly. Its most affordable plan without ads costs $17.99 per month.

Netflix reported in May that 94 million people were using its ad-supported plan each month. Including all viewers, the company said it had around 170 million monthly active users at that time.

The company, based in Los Gatos, California, has changed how it counts viewers who see ads, so it’s hard to directly compare current numbers with previous ones.

Netflix recently changed how it counts monthly viewers. Now, they consider anyone who watches at least one minute of ads each month as an active viewer. They then estimate how many people live in that viewer’s household to get a total viewership number. Before, Netflix counted viewers simply by how many Netflix profiles streamed content with ads.

The streamer explained that their earlier count didn’t accurately reflect the total number of viewers present.

Netflix is now measuring how many people are watching its content, not just how many accounts are accessing it. According to Amy Reinhard, Netflix’s head of advertising, this change will give a more accurate picture of how many viewers are actually gathered with loved ones, enjoying their favorite shows, movies, games, and live events. She announced this update in a post on the Netflix website on Wednesday.

On Wednesday, Netflix executives said the growth in ad viewers was in line with their expectations.

Reinhard stated in a press briefing that they are pleased with their current progress. They believe there’s significant potential for global expansion of their plan and will continue focusing on providing customers with excellent advertising experiences and purchases.

Hollywood Inc.

Netflix announced its revenue increased by 17% in the third quarter, reaching $11.5 billion. This growth was largely driven by the success of its animated film, “KPop Demon Hunters.”

In 2022, Netflix started offering plans with ads. This change came after investors pushed the company to find new ways to make money, as Netflix had historically relied almost entirely on subscriptions and avoided advertising for a long time.

Last month, the company announced it’s on pace to more than double its advertising income by 2025, though it didn’t share exact numbers. In an October presentation, Netflix Co-CEO Greg Peters explained that while ad revenue is currently small compared to subscription income, advertisers are optimistic about Netflix’s expanding reach.

“We see plenty of room for growth ahead,” Peters said.

Netflix announced on Wednesday that it’s giving advertisers more ways to reach specific audiences, now including targeting based on things like education level, marital status, and household income.

Netflix has been collaborating with brands like Peroni Nastro Azzurro to promote shows such as “Emily in Paris” through advertising. They’ve also been testing the ability to insert ads into programs like WWE Raw, and will expand this to include NFL Christmas Gameday in the U.S. and other locations.

Hollywood Inc.

The cost of streaming services like Netflix and HBO Max is going up as these companies try to increase profits. To save money, many people are now considering options like combining subscriptions or choosing plans that include advertisements.

More and more streamers are raising their subscription prices to earn more money. Just recently, Netflix increased the cost of its plans.

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2025-11-05 20:31