A. Guttmann
Research Lead covering media
Netflix advertising - statistics & facts
Netflix, a long-time denier of advertising as a revenue source, caved in. In November 2022, the company kicked off its ad-supported tier in 12 markets, including the U.S., the UK, France, Germany, Brazil, Australia, and Japan. Adopting Netflix's Basic With Ads plan, users allow their viewing to be interrupted by 15-30 seconds ads while paying lower prices for a subscription. The company started hinting at this development earlier in 2022, hoping to attract more subscribers and increase revenue. However, as Netflix enters the ad business, the streaming giant will have to balance new subscribers without losing premium-tier customers. Simultaneously, the company will have to provide an attractive environment with an extensive enough reach for advertisers to be willing to spend their money.
