Netflix's new plan will not have download option

In the new ad-supported subscription plan of the OTT platform Netflix, users will not be able to download movies and web series and watch them offline. This plan is going to launch soon to attract Netflix users. Netflix believes that more people will sign up for the streaming service through this plan.
This action suggests that Netflix is ​​trying to set the new service apart from its existing services. The OTT platform, which had been avoiding advertisements for years, is now going to launch ad-supported plans by early 2023. The download option will be available on all plans except 'Netflix with Ad'. The download feature is very useful for subscribers travelling with connectivity issues on trains and flights.
Some of Netflix's competitors use a similar system. Disney Plus Hotstar is also bringing ad-supported plans from December at the same price as for the ad-free version. Netflix is ​​partnering with Microsoft to create its first ad-supported subscription option.
A steadily declining user base and disappointing Q1 performance have forced Netflix to introduce subscription plans with ads. Netflix has always been against ads on its platform. However, the ad-supported subscriptions that the company is now bringing will be in addition to the existing plans. Microsoft will design and manage the platform for the advertisers. Netflix said in April that it planned to launch ad-supported subscriptions, which would cost consumers less.
Currently, there are OTT platforms in India like Disney Hotstar, Voot, Sony Liv, G5, Discovery Plus, MX Player, which run ads. The ad-supported plans of all these platforms are quite cheap. For example, the annual plan of Disney Hotstar is only Rs 899. In this one can watch ad-free movies and shows, but ads run on sports. Disney also offers some shows on its platform for free, on which ads run.
Netflix has been facing competitive pricing ever since it entered India. Netflix is ​​getting tough competition from OTT platforms like Disney+ Hotstar, Amazon Prime Video, Sony Liv, and ZEE5. For example, Disney Hotstar's premium annual subscription costs Rs 1,499, while Netflix's HD streaming plan costs Rs 499 per month. The price of 4k + HDR is Rs 649. In such a situation, it is expected that the price of Netflix's ad-supported plan will compete with the plans of other platforms.
Netflix plans cost more than other OTT platforms. For this reason, many people prefer other platforms than Netflix. With the launch of Netflix's ad-supported plan, the price of the plan will come down. OTT users will get the benefit of this. Users will have the option to choose Ad-Supported and Ad-Free subscriptions.
According to the report of MICA's Center for Media and Entertainment Studies (CMES), OTT consumption minutes in India increased from 181 to 204 billion minutes in 2021. This data shows that OTT users are increasing rapidly in India. Digitalization has increased rapidly in India in the last few years. The corona pandemic has also helped OTT platforms increase their subscriber base.
The number of OTT consumers in India is expected to increase tremendously by 2023. At present, there are about 350 million users of OTT in India. It is expected to reach 50 crores next year. Most of the OTT users are in the age group of 15-35 years. Disney + Hotstar currently dominates the OTT market in India. This platform accounts for close to 29% of the total viewership.
The biggest challenge for Netflix will be data privacy when it comes to ad subscription plans. According to the interest of the users, the data of the users can be harvested by serving the ad. At the same time, Netflix is ​​already facing the challenge of password sharing. Some plans of Netflix offer streaming on multiple screens at the same time.
For this reason, people share passwords with people other than their families as well. This is hurting Netflix. Pilot projects have been launched to tackle this problem in Chile, Costa Rica and Peru. According to a 2020 study by Magid, about 33% of all Netflix users share their passwords with at least one other user outside their home.