Netflix executives are considering a more TV-like version of Netflix: always-on channels built around particular shows and movies, according to The Wall Street Journal.
The idea, as described by the Journal, would give subscribers streams they can put on without choosing a specific episode or film. That would push Netflix closer to services such as Pluto TV and Tubi, which run scheduled-feeling channels funded by advertising. The awkward bit for Netflix is pricing: those services are free to watch because ads pay the bill, while Netflix’s ad-supported plan costs $8.99 a month after a recent price increase reported by The Verge.
The Journal also reported that Netflix is looking at selling bundles that include other streaming services. Apple TV and Prime Video already offer streaming bundles, according to The Verge’s prior reporting, so Netflix would be following a pattern that competitors have already tested rather than inventing a new distribution trick.
A lean-back fix for a choose-everything service
The reported discussions come as Netflix is seeing signs that viewer engagement is weakening, according to the Journal. That is the part customers should care about: if Netflix thinks people are spending less time inside the app, it has an incentive to make the service behave less like a library and more like old television with better recommendation plumbing.
Always-on channels would change the job Netflix asks viewers to do. The current app mostly requires a choice: search, scroll, select, then commit. A channel model does more of that work for the viewer by placing content into a running stream. It is a small interface change with a large behavioral bet behind it. Netflix would be betting that some users want less ceremony before something starts playing.
Netflix has also been adding material that fits that lower-attention use case. The company has recently brought in video podcasts and videos from digital media brands, including BuzzFeed and Condé Nast, according to The Verge. That kind of programming is easier to leave on in the background than a high-gloss scripted series that asks viewers to remember which fictional kingdom betrayed which other fictional kingdom last season.
The engagement problem is showing up elsewhere
The Journal’s report follows Bloomberg reporting that Netflix has been examining why second seasons of its shows are seeing notable audience drop-offs. The two reports point to the same pressure point: Netflix has an enormous catalog, but keeping people returning to specific shows and spending time in the app remains a separate problem.
Netflix’s ad tier has been gaining traction, according to The Verge, which gives the company another reason to experiment with formats that can carry advertising more naturally. A scheduled channel packed with older episodes or themed movies can create more predictable ad inventory than a viewer wandering through the catalog and quitting after six minutes of indecision.
None of this is a confirmed product launch. The Journal described the channels and bundles as ideas under consideration. Netflix spokesperson Adrian Zamora declined to comment, according to The Verge.
This story draws on original reporting from The Verge.
