January 25, 2023
Netflix Ad-Supported MAUs Surpass 23M
- by Karlene Lukovitz @KLmarketdaily, January 11, 2024
Netflix’s ad-supported subscription plan now has about 23 million monthly active users (MAUs) globally, according to Amy Reinhard, the company’s president of advertising.
That’s up from 15 million reported by the streamer in November.
In addition, more than 85% of subscribers on the “Standard with Ads” tier are streaming on the platform for at least two hours per month, Reinhard said at a Variety summit held during CES in Las Vegas.
Building the ad-supported user base is Netflix’s biggest priority at present, but the company is taking the time to work with advertisers and test and monitor response to content and ads to ensure that subscribers remain engaged, she said.
The ad-supported tier — priced in the U.S. at $6.99 per month, versus $15.49 for the ad-free tier — was launched in November 2022, just eight months after Netflix reported its first quarterly subscriber decline since 2011. That 200,000 Q1 loss was followed by a 1 million loss in Q2, before the streaming service began turning the numbers around in second-half 2022.
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In October, Netflix reported that Standard with Ads accounted for 30% of all new Netflix subscriptions through this year’s third quarter within the 12 countries where the option is currently offered (U.S., U.K., Australia, Brazil, Canada, France, Germany, Italy, Japan, Korea, Mexico and Spain).
That claim that 85% of the ad-supported tier's "subscribers" are viewing two or more hours of Netflix content per month is a rather odd way of defining the audience of this service. So what's the average amount of tiime spent per day, week or month and how many subscribers watch any content per day, week or month? As for the number of subscribers who use the service, how many are in the U.S.? Also any info on the demographics? Do younger subscribers use the service more often than older ones? What about distinctions by income or education?I assume that such informatuion is readily available to Netflix so why not include some of it to provide a fuller picture?
Spot on Ed.
In AU the standard way to report on digital video usage is 'per month' and released around the middle of the following month. I bet that 'per-day' (i.e. the same basis as TV's day-after data) viewing duration per person during that month would shock most people.
And put another way Ed ... I bet a lot of MediaPost readers would also rack up more than 2+ hours in a month.