The post Netflix Removes its Lowest-Priced Ad-Free Plan in the U.S. appeared first on theprimarymarket.com.
]]>According to the statement posted on the company’s website, the change will affect “new and rejoining members.”
“If you are currently on the Basic plan, you can remain on this plan until you change plans or cancel your account,” the company added.
The move is likely part of Netflix’s push to promote its ad-supported plan. At a cost of $6.99 per month, the “Standard with ads” plan is now the most affordable option for new users. The Standard plan, which offers ad-free streaming, costs $15.49 and gives users an option to add an extra member to the plan for $7.99 each.
Elimination of the “Basic” plan comes ahead of Netflix’s quarterly earnings results release. The streaming service gained the trust of investors in recent months thanks to the ad-supported plan and its initiative to crack down on the practice of password sharing. As a result, Netflix shares have recovered after challenging the second part of 2022 and are now up almost 62% year to date.
The post Netflix Removes its Lowest-Priced Ad-Free Plan in the U.S. appeared first on theprimarymarket.com.
]]>The post Netflix Announces New Phase Of Growth appeared first on theprimarymarket.com.
]]>According to Netflix Co-CEO Ted Sarandos, the streaming giant’s new growth phase will include expanding the platform’s international content. Sarandos announced earlier in the week that Netflix would invest $2.5 billion in its Korean content over the next four years.
The company is also looking to expand its foothold in sports. While Sarandos has reiterated that the company is not yet looking into streaming live sports, the company is continuing its foray into docuseries and other sports content such as “Formula 1: Drive to Survive,” “Full Swing,” and “Break Point”.
In addition to expanding its content offerings, limiting losses has also been a priority for Netflix. While the company’s ad-supported tier provides a new avenue of profitability for the company, Netflix is also looking to cut costs, with the company announcing a flat year-over-year spend of $17 billion.
The post Netflix Announces New Phase Of Growth appeared first on theprimarymarket.com.
]]>The post Netflix to Feature Electric GM Vehicles in Programming appeared first on theprimarymarket.com.
]]>The streaming giant announced on Thursday that it has reached an agreement with General Motors to feature vehicles such as the Chevrolet Bolt, the electric GMC Hummer pickup, and the Cadillac Lyriq in multiple TV shows and movies so long as there is a “relevant” opportunity to do so. The financial terms of the deal remain undisclosed.
General Motors and Netflix have agreed to introduce their new partnership by launching a commercial featuring Will Ferrell that is scheduled to air during the Super Bowl on February 12. Viewed by the two companies as a “part of a commitment to a more sustainable future,” Netflix affirms that the commercial will help creators “better understand how EVs can complement and enhance their stories.”
Among the shows that will feature GM vehicles are “Love is Blind,” “Queer Eye” and “Unstable.” Netflix added that it is open to exploring opportunities to feature other electric vehicles in TV series and films in the future.
The post Netflix to Feature Electric GM Vehicles in Programming appeared first on theprimarymarket.com.
]]>The post Netflix CEO Steps Down Following Q4 Earnings Report appeared first on theprimarymarket.com.
]]>Hastings’ decision comes after the company’s fourth-quarter financial results were released on Thursday. While the addition of 7.66 million new subscribers far exceeded forecasts of 4.5 million, adjusted earnings of $0.12 versus missed expectations of $0.58 per share.
The platform’s growth is believed to be driven by the introduction of a new, ad-supported tier as well as the release of a range of high profile content, including Glass Onion, All Quiet on the Western Front, and Wednesday.
The post Netflix CEO Steps Down Following Q4 Earnings Report appeared first on theprimarymarket.com.
]]>The post Investors Anticipate Subscriber Gains Ahead of Netflix Q4 Earnings appeared first on theprimarymarket.com.
]]>While subscriber numbers declined during the first three quarters of 2022, investors expect them to have risen over Q4. The company’s crackdown on password sharing is also at center stage.
Estimates for Netflix’s fourth-quarter financial results include revenue of $7.85 billion, adjusted earnings per share of $0.58, and an addition of 4.5 million net subscribers. Several analysts polled by Bloomberg expect Netflix to beat revenue expectations following the release of highly popular content such as Glass Onion, Troll, and Wednesday.
Given its release in November, investors are not likely to see the full impact of Netflix’s ad tier. According to data from third-party research firm YipitData, Ad-based gross subscriber additions consist of 15% of total subscriber gross additions.
Wells Fargo’s Steve Cahall expressed the bank’s belief that password sharing will be a major focal point to consider when assessing the streaming platform’s performance going forward. “While much of the sellside and buyside focus of late has been the [advertising video-on-demand] launch, we actually think disclosure will be limited as will the impact on estimates. Instead, we think password sharing is the bigger catalyst near term,” he explained
The post Investors Anticipate Subscriber Gains Ahead of Netflix Q4 Earnings appeared first on theprimarymarket.com.
]]>The post Netflix Shares Details and Price of Its Ad-Supported Plan appeared first on theprimarymarket.com.
]]>The ad-supported plan will officially roll out in Canada and Mexico on November 1st before making its way to the United States, UK, and other big markets on November 3rd. The price of the plan for U.S. users will be $6.99 on a monthly basis, which is $3 cheaper than the Basic tier ($9.99), Netflix’s cheapest option without ads.
Netflix also shared more info about the way ads will be presented to the users. According to Netflix COO Greg Peters, ads will be played before and during shows and movies. There will be “four to five minutes of ads per hour,” with each ad running from 15 to 30 seconds.
“We believe that with this launch, we’ll be able to provide a plan and a price for every Netflix fan,” said Peters.
The ad-supported plan will come with a lower price but also several limitations. Certain TV shows and movies won’t be available, with the streamer projecting that five to 10 percent of its library will be locked for the users of this tier. Also, the download for later watching option also won’t be included.
Netflix objected to the introduction of ads to its platform for years, but disappointing earnings results, loss of subscribers, and increasing competition forced the company to change its stance. Netflix stock is currently going for $231.77 per share, which is 61.20 percent down year to date.
The post Netflix Shares Details and Price of Its Ad-Supported Plan appeared first on theprimarymarket.com.
]]>The post Investors Express Positive Growth Outlook On Netflix Ad-Supported Tier appeared first on theprimarymarket.com.
]]>Citigroup bank raised its price target for Netflix shares from $275 to $305 with Citigroup analyst Jason Bazinet estimating a significant rise in subscribers for the streaming platform. “Netflix doesn’t have a natural shareholder base. It’s not adding subs, so it’s not a growth stock. It doesn’t have a lot of cash flow, so it’s not a value stock…[But] if 65 million new customers sign up, we could go back into growth mode,” Bazinet observed.
Oppenheimer analyst Jason Helfstein agreed with Bazinet’s sentiment, adding that Netflix is able to control the timing of series launches and can use this to command premium ad costs from top-tier advertisers. Helfstein has set a target cost of $325 per share, based on his expectation for Netflix to generate $4.6 billion by 2025. This would see Netflix boost its total revenue to $42.4 billion with 282 million subscribers.
Since the streaming giant’s stock market struggles in May, Netflix’s shares have gained 40%, however, this is still 60% down from the start of the year.
The post Investors Express Positive Growth Outlook On Netflix Ad-Supported Tier appeared first on theprimarymarket.com.
]]>The post Netflix Partners With Microsoft for Its Ad-Supported Plan appeared first on theprimarymarket.com.
]]>Netflix announced on Wednesday that tech giant Microsoft would be its partner for the technology and sales part of the ad business. Microsoft itself previously reached $10 billion in advertising sales in 2021.
Netflix previously engaged in talks with NBCUniversal and Google about the exclusive partnership that would provide the company with a smoother introduction of ads.
“Microsoft offered the flexibility to innovate over time on both the technology and sales side, as well as strong privacy protections for our members,” said Netflix COO Greg Peters.
After the news was made official, Netflix’s shares jumped close to 2% and closed at $176.56 on Wednesday. In this year alone, Netflix stock lost more than 70% of its value as the company struggled to deal with the loss of subscribers.
Netflix’s decision to introduce an ad-supported plan was announced in June. According to the company, the decision won’t affect current users. Instead, its main aim is to attract customers who are willing to watch ads for a lower subscription price. The ad-supported plan should become available by the end of the year.
The post Netflix Partners With Microsoft for Its Ad-Supported Plan appeared first on theprimarymarket.com.
]]>The post Netflix Removes its Lowest-Priced Ad-Free Plan in the U.S. appeared first on theprimarymarket.com.
]]>According to the statement posted on the company’s website, the change will affect “new and rejoining members.”
“If you are currently on the Basic plan, you can remain on this plan until you change plans or cancel your account,” the company added.
The move is likely part of Netflix’s push to promote its ad-supported plan. At a cost of $6.99 per month, the “Standard with ads” plan is now the most affordable option for new users. The Standard plan, which offers ad-free streaming, costs $15.49 and gives users an option to add an extra member to the plan for $7.99 each.
Elimination of the “Basic” plan comes ahead of Netflix’s quarterly earnings results release. The streaming service gained the trust of investors in recent months thanks to the ad-supported plan and its initiative to crack down on the practice of password sharing. As a result, Netflix shares have recovered after challenging the second part of 2022 and are now up almost 62% year to date.
The post Netflix Removes its Lowest-Priced Ad-Free Plan in the U.S. appeared first on theprimarymarket.com.
]]>The post Netflix Announces New Phase Of Growth appeared first on theprimarymarket.com.
]]>According to Netflix Co-CEO Ted Sarandos, the streaming giant’s new growth phase will include expanding the platform’s international content. Sarandos announced earlier in the week that Netflix would invest $2.5 billion in its Korean content over the next four years.
The company is also looking to expand its foothold in sports. While Sarandos has reiterated that the company is not yet looking into streaming live sports, the company is continuing its foray into docuseries and other sports content such as “Formula 1: Drive to Survive,” “Full Swing,” and “Break Point”.
In addition to expanding its content offerings, limiting losses has also been a priority for Netflix. While the company’s ad-supported tier provides a new avenue of profitability for the company, Netflix is also looking to cut costs, with the company announcing a flat year-over-year spend of $17 billion.
The post Netflix Announces New Phase Of Growth appeared first on theprimarymarket.com.
]]>The post Netflix to Feature Electric GM Vehicles in Programming appeared first on theprimarymarket.com.
]]>The streaming giant announced on Thursday that it has reached an agreement with General Motors to feature vehicles such as the Chevrolet Bolt, the electric GMC Hummer pickup, and the Cadillac Lyriq in multiple TV shows and movies so long as there is a “relevant” opportunity to do so. The financial terms of the deal remain undisclosed.
General Motors and Netflix have agreed to introduce their new partnership by launching a commercial featuring Will Ferrell that is scheduled to air during the Super Bowl on February 12. Viewed by the two companies as a “part of a commitment to a more sustainable future,” Netflix affirms that the commercial will help creators “better understand how EVs can complement and enhance their stories.”
Among the shows that will feature GM vehicles are “Love is Blind,” “Queer Eye” and “Unstable.” Netflix added that it is open to exploring opportunities to feature other electric vehicles in TV series and films in the future.
The post Netflix to Feature Electric GM Vehicles in Programming appeared first on theprimarymarket.com.
]]>The post Netflix CEO Steps Down Following Q4 Earnings Report appeared first on theprimarymarket.com.
]]>Hastings’ decision comes after the company’s fourth-quarter financial results were released on Thursday. While the addition of 7.66 million new subscribers far exceeded forecasts of 4.5 million, adjusted earnings of $0.12 versus missed expectations of $0.58 per share.
The platform’s growth is believed to be driven by the introduction of a new, ad-supported tier as well as the release of a range of high profile content, including Glass Onion, All Quiet on the Western Front, and Wednesday.
The post Netflix CEO Steps Down Following Q4 Earnings Report appeared first on theprimarymarket.com.
]]>The post Investors Anticipate Subscriber Gains Ahead of Netflix Q4 Earnings appeared first on theprimarymarket.com.
]]>While subscriber numbers declined during the first three quarters of 2022, investors expect them to have risen over Q4. The company’s crackdown on password sharing is also at center stage.
Estimates for Netflix’s fourth-quarter financial results include revenue of $7.85 billion, adjusted earnings per share of $0.58, and an addition of 4.5 million net subscribers. Several analysts polled by Bloomberg expect Netflix to beat revenue expectations following the release of highly popular content such as Glass Onion, Troll, and Wednesday.
Given its release in November, investors are not likely to see the full impact of Netflix’s ad tier. According to data from third-party research firm YipitData, Ad-based gross subscriber additions consist of 15% of total subscriber gross additions.
Wells Fargo’s Steve Cahall expressed the bank’s belief that password sharing will be a major focal point to consider when assessing the streaming platform’s performance going forward. “While much of the sellside and buyside focus of late has been the [advertising video-on-demand] launch, we actually think disclosure will be limited as will the impact on estimates. Instead, we think password sharing is the bigger catalyst near term,” he explained
The post Investors Anticipate Subscriber Gains Ahead of Netflix Q4 Earnings appeared first on theprimarymarket.com.
]]>The post Netflix Shares Details and Price of Its Ad-Supported Plan appeared first on theprimarymarket.com.
]]>The ad-supported plan will officially roll out in Canada and Mexico on November 1st before making its way to the United States, UK, and other big markets on November 3rd. The price of the plan for U.S. users will be $6.99 on a monthly basis, which is $3 cheaper than the Basic tier ($9.99), Netflix’s cheapest option without ads.
Netflix also shared more info about the way ads will be presented to the users. According to Netflix COO Greg Peters, ads will be played before and during shows and movies. There will be “four to five minutes of ads per hour,” with each ad running from 15 to 30 seconds.
“We believe that with this launch, we’ll be able to provide a plan and a price for every Netflix fan,” said Peters.
The ad-supported plan will come with a lower price but also several limitations. Certain TV shows and movies won’t be available, with the streamer projecting that five to 10 percent of its library will be locked for the users of this tier. Also, the download for later watching option also won’t be included.
Netflix objected to the introduction of ads to its platform for years, but disappointing earnings results, loss of subscribers, and increasing competition forced the company to change its stance. Netflix stock is currently going for $231.77 per share, which is 61.20 percent down year to date.
The post Netflix Shares Details and Price of Its Ad-Supported Plan appeared first on theprimarymarket.com.
]]>The post Investors Express Positive Growth Outlook On Netflix Ad-Supported Tier appeared first on theprimarymarket.com.
]]>Citigroup bank raised its price target for Netflix shares from $275 to $305 with Citigroup analyst Jason Bazinet estimating a significant rise in subscribers for the streaming platform. “Netflix doesn’t have a natural shareholder base. It’s not adding subs, so it’s not a growth stock. It doesn’t have a lot of cash flow, so it’s not a value stock…[But] if 65 million new customers sign up, we could go back into growth mode,” Bazinet observed.
Oppenheimer analyst Jason Helfstein agreed with Bazinet’s sentiment, adding that Netflix is able to control the timing of series launches and can use this to command premium ad costs from top-tier advertisers. Helfstein has set a target cost of $325 per share, based on his expectation for Netflix to generate $4.6 billion by 2025. This would see Netflix boost its total revenue to $42.4 billion with 282 million subscribers.
Since the streaming giant’s stock market struggles in May, Netflix’s shares have gained 40%, however, this is still 60% down from the start of the year.
The post Investors Express Positive Growth Outlook On Netflix Ad-Supported Tier appeared first on theprimarymarket.com.
]]>The post Netflix Partners With Microsoft for Its Ad-Supported Plan appeared first on theprimarymarket.com.
]]>Netflix announced on Wednesday that tech giant Microsoft would be its partner for the technology and sales part of the ad business. Microsoft itself previously reached $10 billion in advertising sales in 2021.
Netflix previously engaged in talks with NBCUniversal and Google about the exclusive partnership that would provide the company with a smoother introduction of ads.
“Microsoft offered the flexibility to innovate over time on both the technology and sales side, as well as strong privacy protections for our members,” said Netflix COO Greg Peters.
After the news was made official, Netflix’s shares jumped close to 2% and closed at $176.56 on Wednesday. In this year alone, Netflix stock lost more than 70% of its value as the company struggled to deal with the loss of subscribers.
Netflix’s decision to introduce an ad-supported plan was announced in June. According to the company, the decision won’t affect current users. Instead, its main aim is to attract customers who are willing to watch ads for a lower subscription price. The ad-supported plan should become available by the end of the year.
The post Netflix Partners With Microsoft for Its Ad-Supported Plan appeared first on theprimarymarket.com.
]]>