The Basic with Ads plan will launch in November and will cost $7 per month in the U.S., 55% less than Netflix's most popular $15.50-per-month plan, which is ad-free. Peters said the "Basic with Ads" plan option "will bring in a lot more members," and "lead to a significant incremental revenue and profit stream." Customers will be able to pay for a basic version of the streaming platform that costs less but comes with ads. "And so they're able to create a sub-account, which we're calling extra member, to enable that model, too."Ĭharging for sub-accounts isn't the only new revenue stream for Netflix launching in 2023. "Another component of this, though, is allowing account owners to be able to pay for Netflix for some friend or family, somebody they want to share the service with," Peters said. Netflix accounts payable for 2021 were 0.837B, a 27.63 increase from 2020. People who shared their passwords with others can now easily create and manage sub-accounts with the new model. Netflix accounts payable for 2022 were 0.672B, a 19.82 decline from 2021. "I mean there's obviously situations where you can imagine like you have a kid at home who is going to go off and become an adult and get their own account, and it supports those ones," he said. The profile transfer has several different uses, COO and Chief Product Officer Gregory Peters said during a Netflix earnings call Tuesday.
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