It seems like Hulu is finally feeling the pressure from some of its stream competitors like Netflix and Amazon Prime Video because the company has decided that it’s also going to offer its customers an ad-free experience. Although, that isn’t entirely true.
SPLITTING THE FARM
On Wednesday, Hulu announced that it would let users watch movies and TV shows without ads, but they’ll need to fork up an extra bit of cash every month for the convenience. How much? Only around $11.99. Users who are paying for the $8 subscription will still have the same Hulu experience they’ve always had, but if they’re willing to part with an extra $4 a month then they can have an ad-free Hulu, too.
HULU OFFERS FRESH CONTENT
The extra bump in price isn’t much when you consider the price of cable. Hulu is a joint venture from NBCUniversal, Fox, and ABC, which means it’s able to stream content not found anywhere else, and people can usually follow on-air content with a slight delay. That said, the new price tier is more expensive than Netflix’s $8/month and Amazon Prime’s $99/year.
But that’s why Hulu has been gearing up its content game over the past few months. Earlier this week, Hulu and Epix came to an agreement just as its agreement with Netflix is ending. Epix will be able to offer movies like Hunger Games: Catching Fire, World War Z, and others. Seinfield was added back in April, and Hulu is putting a greater emphasis in creating and producing original content, just like Netflix and Hulu.
STIFLING THE COMPETITION
Hulu has been offering ad-filled content since 2010, and was the only streaming service to have ads, which turns off a lot of would-be customers.
“I’ve heard all of the arguments for it, but I’d never pay for Hulu and still sit through ads. Nope,” tweeted a North Dakota woman.
The numbers speak for themselves. Netflix is currently boasting a bewildering 41 million paid subscribers while Hulu is struggling with 9 million subscribers.
“We knew that we had to make a lot of investments in content so that we could stand apart and make some headway against the competition,” said Hulu CEO Mike Hopkins.
