Comment by fullshark

3 years ago

Well its inevitable to have an ad-tier and an ad-free tier at least. One of the benefits of digital ads v. linear TV ads.

7 comments

fullshark

Reply
Msw242  3 years ago

What do you do when you find out that you make more per ad-tier user than you do for ad-free user[0]?

The incentives go in the wrong direction from a UX perspective

[0] https://www.cordcuttersnews.com/hulu-makes-about-15-in-reven...

  • smeyer  3 years ago

    Can the answer not just be to charge more for the ad-free tier? The gap between what I'm willing to pay for a streaming service with and without ads is a lot more than what the current going rate is.

    • moreira  3 years ago

      The problem is that if you increase the price too much, the bad PR and hit to your reputation will likely offset any extra revenue. If a service like Hulu released a $50/mo ad-free tier people would freak out, even if they still had access to the same free ad-tier experience they do now. I don't know that it'd be beneficial.

    • lp0_on_fire  3 years ago

      This is boiling the frog though? These services were sold to us as something without ads. Seems really mob-like for the services to say to me: pay more or we're going to start showing ads on the thing we sold to you with the promise you wouldn't have any ads.

      Rinse and repeat another year later.

      1 reply →

  • Schroedingersat  3 years ago

    They'll just make the ad free price higher or the ads more obnoxious (or turn the ad free tier into a slightly less ads tier)