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Catherin Bergan

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Aug 2, 2024, 8:49:36 AM8/2/24

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Netflix announced it will no longer offer the basic plan, its cheapest ad-free subscription tier, for U.S. and French users. The plan had already been phased out in Canada and the U.K. Justin Sullivan/Getty Images hide caption

The basic plan was $11.99 per month, and had already been phased out for subscribers in Canada and the U.K. The company stopped allowing new sign-ups for the basic plan in July 2023, but existing subscribers were allowed to keep the plan until now.

Netflix reported a record 277.65 million subscribers globally across all of its tier options in the earnings report. After a crackdown on password sharing, the company has seen a surge in new subscribers.

Netflix is also making basic plans unavailable to new customers in several countries, including the UK and US. Basic plans in those countries have now been replaced with standard subscriptions with ads. Ad-supported plans are much more affordable, costing 4.99 per month in the UK and $6.99 per month in the US.

Please note: the prices included in our study are the base price as advertised by Netflix. They do not include the various taxes and other charges users may face. We are aware that several countries, including Argentina, have these charges but our study focuses on the price charged by Netflix.

Second, we evaluated the cost per month in each country and how these shape up against others (based on current exchange rates at the time of writing). We have also analyzed the 13 countries with ad-based subscriptions (Australia, Brazil, Canada, France, Germany, Guernsey, Italy, Japan, Mexico, Spain, South Korea, UK, and US) separately to see how these plans compare.

At the other end of the scale are a number of African and European countries and Fiji where none of their plans are cost-effective, despite recent library growth across the majority of these countries. This is due to extortionate monthly costs (Liechtenstein and Switzerland) or library sizes that are more than three times below average (Zambia, Seychelles, Uganda).

The homeland of Netflix itself, the US, also features as one of the least cost-effective countries across all of its plans. This is, again, due to its average library size and above-average monthly costs. It ranks as the eleventh, twenty-first, and seventeenth least cost-effective country for its basic, standard, and premium plans respectively.

One of the biggest advantages of streaming platforms over standard TV channels is their lack of adverts. So are the cheaper plans with ads on Netflix worth it? And do they offer the best value for money when we compare them to basic plans without ads from around the world?

It probably goes without saying that all 13 countries save a reasonable amount of money per title when opting for the standard plan with ads. But as the above table demonstrates, some get a better deal than others.

One of the most expensive countries, Guernsey, saves the most per title when choosing the standard with ads plan (saving nearly $0.0018 per title), while Brazil (which boasts the most cost-effective standard with ads plan) saves a fourth of what Guernsey users do.

Here we can compare all of the countries Netflix is available in (245 in total) to see which countries pay the most and least for their subscriptions on a cost-per-month basis. We can also see just how the recent price hikes and cuts have affected these costs.

The basic subscription tier lets you stream content in 720p HD on one device at a time. Both standard plans (with ads and ad-free) support 1080p full HD streaming and up to two devices at once. Only a premium subscription allows you to watch Netflix in 4K UHD on four supported devices at a time.

Netflix discontinued the Basic plan in some countries (including the US and the UK) as part of its efforts to adapt to the latest market trends and enhance its service model. The strategy is aimed at simplifying the subscription offerings and encouraging users to opt for other plans like Standard with ads or Premium, which provide more features or content. Obviously, these plans bring more financial gain to the company too.

In 2023, Netflix lost customers. During the second quarter of the year, the company reported a loss of approximately 970,000 subscribers. This was the largest quarterly subscriber loss that Netflix experienced since it launched. The good news for Netflix is that this loss was less severe than expected. Netflix had initially projected that it was going to lose 2 million following unexpected growth caused by the pandemic.

During the early phase of the pandemic in 2020, Netflix gained nearly 26 million subscribers in the first half of the year. Following this explosion, a readjustment was always expected and the fact that it lost 1 million fewer subscribers than predicted actually demonstrates impressive retention.

Yes, Netflix content is different in every country. This is due to licensing restrictions. As such, you may find that when you travel abroad on vacation, you can no longer stream some TV shows and movies. This is one of the reasons why we recommend you use a VPN to securely access your Netflix account as normal.

While Netflix did used to offer free trials, this is unfortunately no longer the case. Its cheapest plan is Standard with ads which costs $6.99 a month in the US (prices vary by country). The Netflix password-sharing crackdown means that getting free Netflix from a friend or family member is no longer on the table either.

With the exception of the basic tier, all Netflix plans support at least two devices at a time. So you may be able to get Netflix for free if you live with someone who is happy to share their subscription.

Yes. If you are an expat or somebody who is living abroad for work or studying, you can easily take advantage of cheaper Netflix prices back home. As you already have a valid payment method in your home country, it is extremely easy for you to connect to a VPN server in your home country to purchase a cheaper subscription.

For this reason, it is a good idea to check the difference in cost between where you are now and your home country. If you are visiting the UK, the US, or some other country where Netflix is expensive, the savings could be pretty decent. Netflix might require a local form of payment.

The only caveat to all of this is that using a VPN to buy a cheaper Netflix subscription is technically against the terms of service. So, doing so, even if you are only living abroad because of your studies is technically a breach. For this reason, you should remember that you always use a VPN at your own risk and Netflix withholds the right to cancel an account if it believes its policies were breached.

The move comes as Netflix said it is seeing a boost in advertising revenue, as it began offering ad-supported plans 18 months ago. While Netflix says advertising is not a primary source of revenue, the amount it is getting from ads is quickly growing.

If you're looking for the cheapest ad-free option, Netflix's Standard Plan is available for $15.49 per month. The plan does not have advertisements, is in full HD, and allows users to watch content simultaneously on two different devices. The plan also allows users to add an extra member who does not live in the same household.

If you don't mind advertisements, its ad-supported plan goes for $6.99 per month. The plan is in full HD and allows users to watch content simultaneously on two different devices, but does not allow someone to add an extra member.

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I'd be (mildly) curious to know how many of these oft-reported "new" subscribers are people who used to keep a Netflix subscription 24/7/365, but (like me / my family) stopped that and now just sign up anew every year or so and binge for a month or two - like with other streaming services.

IMO netflix's problem is one of discoverability, their interface sucks, the best way to find something good on Netflix is to start googling sites and blogs about what's best on Netflix. There is good stuff on Netflix but good luck finding it amongst all of the endless uncreative dross.

Having said that, they discontinued the basic no-ads tier and I discontinued my Netflix subscription because I can't stand ads or steep price rises. Other services have cheaper no-ads tiers which I'll probably fire up for some

Netflix is implementing further changes to its subscription options, and this includes the phasing out of the least-expensive ad-free tier. People on social media are reporting that, at least in the UK and Canada, Netflix has begun to ask existing subscribers to the change plans to keep their subscription. Netflix originally dumped the plan for new and returning members in 2023, and now existing subscribers are affected as well.

None of this is surprising, as Netflix announced in January this year that it would remove the basic tier for existing subscribers in the second quarter of 2024, beginning with the UK and Canadian markets. Now, Netflix is following through.

Netflix, like other streaming companies, is continuing to drive people to its ad-based plan. At $7/month Netflix currently has the cheapest ad plan for any major streaming provider. For comparison, the cheapest ad-based plans for Max, Paramount+, and Disney Plus are $8/month.

In other Netflix news, the company is hosting a live hot dog eating contest in September, featuring none other than the two titans of the sport, Joey Chestnut and Takeru Kobayashi. And if you're looking for something new to watch, Netflix added all six seasons of Lost and the Back to the Future trilogy on July 1. Check out the gallery below to see all of the new shows and movies on Netflix for July 2024.