Netflix has decided to introduce advertisements on the streaming site and people are furious. Netflix's CEO, Reed Hastings said that even though he is against the complexity of advertising and a big fan of the simplicity of subscription, he has to respect the consumer choice. Hastings added that if they are able to offer the Netflix services at lower prices with advertising as a consumer choice then they will go ahead with the plan.
Netflix Announces That It Will Be Officially Introducing Commercials For Some Subscribers
Netflix is planning on big changes for its viewers and not everyone is happy with its recent announcement.
From changing their library rules to switching algorithms, the entertainment channel is known for keeping things new and fresh.
In its recent update from the steaming platform, Netflix has made people unhappy after announcing the new changes in viewing advertisements. This has received a lot of criticism from the public, especially when the site is known for its biggest feature and that is the lack of commercials and advertising.
I mean the rule is simple. You pay a basic fee and in return, you get to choose what to watch and enjoy with no hassle of advertisements. But it seems like the streaming website is about to change this soon.
Netflix's CEO, Reed Hastings, has opened up about the platform's decision to introduce a subscription tier that includes advertising.
"One way to increase the price spread is advertising on low-end plans and to have lower prices with advertising," Hastings said. "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," he went on.
"Allowing consumers who would like to have a lower price and are advertising-tolerant get what they want makes a lot of sense. So, that's something we're looking at now, we're trying to figure out over the next year or two. Think of us as quite open to offering even lower prices with advertising as consumer choice," he said.
"I don't think we have a lot of doubt that it works," Hastings went on.
"I'm sure we'll just get in and figure it out as opposed to testing it," Hastings went on, adding that it is "not a short-term fix, because once you start offering a lower-priced plan with ads as an option, some consumers take it."
What do you think about these recent changes? Do you think Netflix should be allowing advertisements while streaming shows? Let us know your opinion in the comments section.
