A Amazon plans to introduce advertisements on its service streamingo Prime Video, starting in 2024, a measure that seeks to invest in the creation of TV programs and films. Prime customers in the UK, US, Germany and Canada will be the first to notice the change, unless they subscribe to an ad-free plan for an additional cost. By the end of next year, the standard will also be adopted in France, Italy, Spain, Mexico and Australia. For now, Brazil is not on the list released by the company.
Ad-free plan prices will vary from one country to another. With this change, Amazon follows in the footsteps of competitors, such as Disney+ e Netflixwhich also introduced options for streaming with advertising display.
The introduction of advertisements on paid advertising services streaming It’s a trend that has become common in the industry, allowing companies to generate additional revenue and offer lower subscription prices to customers willing to deal with advertising. Amazon, with its broad suite of services for Prime members, may be able to make this change without a major impact on its subscriber base, as the convenience offered by the package is still a strong attraction. However, some customers expressed disappointment with the decision because they already pay for a subscription to avoid advertisements.
For analyst Hanna Kahlert, from Midia Research, some people may accept the practice if it makes the plan streaming cheaper.
Not equal competition. Audiences are not just making the decision to subscribe because of your content or video experience, but because of a number of convenience factors. With or without ads, Amazon still wins in convenience, and its content is, without a doubt, a bonusExplain.
Insider Intelligence senior analyst Max Willens believes that ad-supported levels have become standard in the advertising industry. streamingsetting the stage for Amazon’s move.
It’s a little unusual for Amazon, which tirelessly positions itself as a customer-first company, to downgrade a service it offers to those customers, especially a service that has increased in price by 75% since it was first introduced, but that’s not surprising, he says. .
In a statement, Amazon emphasized that its objective to have significantly fewer ads than linear TV and other broadcast providers streaming of TV. The company alsohas agreed to contact Prime members before the ads launch to show them how they can sign up for the ad-free option if they wish. It is worth noting that broadcasts of live events, such as sports matches, will still include advertisements, even for those who subscribe to the ad-free plan.
* With information from the BBC
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