Netflix's ad-supported plan already has nearly five million active monthly users after just six months, and that rapid growth looks set to continue.
The number of users happy to watch Netflix with ads was confirmed at the company's first Upfront presentation. The stats surrounding advertising are also encouraging, with Netflix stating the number of with-ads members has more than doubled "since early this year."
What may surprise some is that nearly 80% of ad-supported members view the service using a TV rather than a mobile device. Netflix also divulged that more than 70% of the ad plan users are aged 18 to 49, and the global median age is 34.
Advertisers will be encouraged to hear that more than 25% of new sign ups to the streaming service are selecting the ad-supported plan. Netflix claims engagement is high, with users being four-times as likely to engage with an ad compared to other streaming services.
Netflix is planning to start its password sharing crackdown in the US before the end of June, which is sure to frustrate some existing viewers (a.k.a. freeloaders) when they find out how it limits access. However, a well-received ad plan is good news for the streaming service because a study earlier this year found that 71% of those freeloaders are willing to subscribe if access is cut, and the cheapest plan is likely where they'll land first. Although, that won't be the case everywhere it seems.