Digital marketing study: Netflix reduces prices
Digital marketing study: Netflix reduces prices: Netflix, the popular streaming website, has announced that it will be reducing prices for its new low-cost service in Australia. This service is for its newest basic plan, “Basic with Ads.” This plan involves four to five minutes of ads for every hour of streaming. It will cost users up to $6.99 a month and have a resolution rate of 720p/HD. This new plan is a part of Netflix’s updated digital marketing scheme in Australia.
This has been done to attract users who cannot afford other subscription plans. Users with this plan will only be able to stream certain titles, and certain titles will not be available for this plan. According to Netflix, this will be a fantastic opportunity for advertisers to reach a larger audience and grow business online.
Why has Netflix taken this step?
Recently, Netflix lost a number of its subscribers. They saw a huge decline in their customers for the first time in years. This decline came right after Netflix announced that it would start charging accounts for password sharing. Even the company’s brand value has declined.
With the introduction of an affordable basic ad plan, Netflix aims to increase its brand outreach and attract new or existing customers by using this brand marketing strategy. With numerous streaming options available, Netflix aims to provide an alternative that is cheaper compared to those of other companies.
Along with attracting customers, Netflix also aims to earn an alternate source of revenue with such plans. Not only will this basic plan with ads be beneficial to customers and advertising companies, but it will also generate revenue for Netflix. It will help the streaming giant overcome the losses it experienced this year.
Moreover, with this plan being gradually introduced all over the world, it will put Netflix in direct competition with other streaming websites. As most streaming websites have started similar plans with ads for the same reason of improving their brand outreach.
Will it do any good for Netflix?
Netflix has been suffering losses for quite a while, and at the same time, the competition with other streaming platforms has been continuously rising. With all this happening, it is quite potent for Netflix to develop a new digital marketing strategy. Netflix Australia’s basic plan with ads is a reflection of this.
Netflix’s new plan, a part of its brand marketing strategy, will appeal to more customers as they struggle with choosing to pay for several services. It will also enable Netflix to form partnerships with similar brands, leading to maximum gains for each organization.
Ad streaming will also allow the advertising brands to grow and reach a larger audience. Partnering with a streaming giant like Netflix will introduce them to a variety of customers all over the world. Netflix’s claim to only show quality advertisements will also help increase its customer base. Quality advertisements appeal to viewers rather than annoying them. With the promise of only four to five minutes of advertisement, Netflix not only provides an affordable premium service but also helps open new avenues for viewers through its newest brand marketing solution.
Netflix’s new user-friendly and affordable brand marketing solution in Australia is aimed at retaining customers that they have lost in the last year. A high-quality experience with a quality advertisement is a smart marketing scheme, that will only help Netflix in the long run. Netflix now has something for all types of customers, resulting in an overall customer satisfaction experience.