00:00It's Benzinga, bringing Wall Street to Main Street.
00:02Netflix is increasingly prioritizing viewer engagement over subscription price
00:07as streaming companies expand ad-supported models
00:11that generate revenue from both subscriptions and advertising.
00:14Netflix raised the price of its standard ad-free plan
00:18to about $20 a month while keeping its ad-supported tier at $9.
00:23The company said advertising remains a major monetization priority
00:27and expects ad revenue to reach $3 billion in 2026,
00:32up two times year over year.
00:35EDO estimated that an ad-supported subscriber paying about $8.99 per month
00:40can generate roughly $12.89 in monthly revenue
00:43after 10 hours of viewing and about $20 after 28.5 hours.
00:49After about 41 hours of viewing,
00:51that subscriber can generate nearly $25 in monthly revenue,
00:55exceeding Netflix's $19.99 ad-free subscription plan.
01:00AI Digital Chief Strategy Officer Mary Gabrielian said
01:04ad-supported plans have become the primary entry point
01:07for new streaming subscribers rather than just a lower-cost option.
01:11For all things money, visit Benzinga.com.
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