FAST Talk: Netflix Says Its Ad Tier Is Reaching 1 Million 'Active Users'

By Daniel Frankel
( NextTV )
published

Benchmark accounts for multiple users in a household using a single subscription

Netflix
(Image credit: Getty Images)

After a slow first two months in the market, Netflix's $6.99-a-month partially ad-supported tier started reaching around 1 million active users per month in January, according to internal Netflix data shared with Bloomberg. 

Netflix hasn't disclosed how many subscribers it has for its new discounted tier, which debuted in early November. 

The "active users" benchmark, which is a commonly cited metric among free ad-supported streaming operators, includes multiple members of the same household using one account. 

Also read: Netflix Pondering Ways to Move on From Microsoft on Ad Tech (Report)

Also, Bloomberg noted that the majority of signups for the new tier are for new customers or those who cancelled the service earlier and are returning to the fold. 

Antenna reported earlier that around 20% of Netflix signups are for Netflix With Ads. 

The research company also reported that signups for Disney Plus' new ad-subsidized tier were 20% in its first month. That outpaced the first-month performance of both Netflix (9%) and HBO Max (15%).

Daniel Frankel
Daniel Frankel

Daniel Frankel is the managing editor of Next TV, an internet publishing vertical focused on the business of video streaming. A Los Angeles-based writer and editor who has covered the media and technology industries for more than two decades, Daniel has worked on staff for publications including E! Online, Electronic Media, Mediaweek, Variety, paidContent and GigaOm. You can start living a healthier life with greater wealth and prosperity by following Daniel on Twitter today!