BATON ROUGE, La. (BRPROUD) — According to one source, more than 100,000 Louisianans use Netflix’s streaming services and the majority of these individuals earn less than $100,000 annually.
In view of the recent financial strains that many households are navigating, Netflix’s new low-cost subscription service may be a viable option for families who are making an effort to tighten their belts.
And the service may be available sooner than many expected, according to the New York Times, Netflix’s new lower-priced ad tier could be available by the end of 2022.
The new service, which would feature ads along with entertainment, would not only allow viewers to save money but it might help Netflix out of its own financial bind.
According to CNN, the company’s shares plunged in April, with Netflix reporting its first quarterly subscriber loss in more than a decade.
This motivated the streaming service and production company’s CEO to change his viewpoint on an unwavering stance he’d held for years.
CEO Reed Hastings had been adamantly opposed to putting ads on Netflix. But he changed his tune last month.
CNN quotes him as saying, “Those who have followed Netflix know that I’ve been against the complexity of advertising and a big fan of the simplicity of subscription. But as much as I’m a fan of that, I’m a bigger fan of consumer choice. And allowing consumers who like to have a lower price, and are advertising tolerant, get what they want makes a lot of sense.”
The company’s new lower-priced ad tier aims to satisfy both the needs of its subscribers and Netflix’s financial situation.