Verizon is making its latest aggressive push to bundle up streaming packages — offering ad-supported versions of Netflix and Warner Bros. Discovery’s Max for $10 per month to wireless subscribers on unlimited plans. That’s about a 40% discount on the services compared with the $17/month it would cost to purchase them separately.
Under such reseller deals, Verizon typically pays a per-subscriber wholesale rate to its service provider partners. The telco treats the discounted bundles as customer-acquisition costs as it fights for share in the highly competitive wireless sector. For Netflix and WBD, the deal represents a new mechanism for them to incrementally grow targetable audiences on their advertising tiers.
The Netflix-Max bundle offer is available starting Dec. 7 to Verizon mobile customers with certain unlimited plans. For the first time, Netflix and Max services will be offered together, available to Verizon wireless customers on Unlimited Welcome, Unlimited Plus or Unlimited Ultimate plans.
VIP+ Analysis: Telecom Is Key to Bundling’s Next Phase
“Verizon is the first provider to offer a bundle of Netflix & Max (with ads) and it’s available to all myPlan customers,” the telco said Monday in announcing the deal. “Verizon is using its strategic relationships with the biggest players in the content industry to continue to unlock more value for its wireless customers.”
According to Verizon, after enrolling in the Netflix and Max (With Ads) perk, customers will need to complete account setup separately for each service and will need to access content from each service separately. Verizon added that “Managing subscriptions may be required to avoid multiple subscriptions and corresponding charges.”
The savings are based on the current $6.99-per-month price for Netflix Standard With Ads and $9.99-per-month for Max (With Ads) plan in the U.S.
Verizon offers 10 discounted packages available for $10 monthly through the telco’s myPlan program, including the Disney bundle (with the ad-supported Disney+, Hulu and ESPN+ services), Apple One (Apple TV+, Apple Music, Apple Arcade and iCloud+), Walmart+, TravelPass and more. One of the myPlan options is a $15 monthly credit toward select services available through Verizon’s +play subscriptions hub.
Now dig into the data-filled VIP+ subscriber report …
