Netflix is reportedly now considering introducing new revenue options like in-app purchases and ads in its mobile games in an effort to monetize its service.
The Wall Street Journal reported that executives at Netflix have been discussing how to best generate money from its games, which can currently only be accessed if a person has a Netflix subscription. Netflix is considering additional forms of generating revenue, including microtransactions and in-game ads.
Currently, it seems like if Netflix elects to place ads, they will only show up for users subscribed to the ad-tier. However, it is also considering providing “sophisticated” games for an additional price on top of the current subscription fees.
Back in 2022, a CNBC report revealed that approximately only 1% of Netflix subscribers engage with the platform’s mobile game offerings. Since that report, Netflix has added a large number of games to its service and has offered games developed by other external studios, including recently several GTA games.
The WSJ stated that the discussions are currently only internal as of now, but did take place relatively recently. It also stated that the leaked news was by “people familiar with the discussions.” It’s unclear if Netflix will go through with these new monetization policies, but it has not shied away from introducing extra ways to make more revenue.
A few months ago, Netflix began rolling out a new monetization policy that would require households to charge extra people using a Netflix account outside of their homes. Netflix also introduced its new ad-tier that would allow people to pay less for a subscription in exchange for being served ads and lower resolutions for streaming.
Netflix is currently developing more games in-house, as explained by Netflix head of gaming Mike Verdu. 10 games are in development at its studios and 90 games are in development with external teams. Verdu explained recently that Netflix is not worried about the low number of users on its mobile game offerings.
