Netflix will eventually need ads, advertisers say

Netflix will eventually need ads, advertisers say

Netflix has racked up much of the goodwill (and money) of subscribers by refusing to run third-party advertising through its streaming TV platform. But that might not be the case forever. BGR reported this week on a roundtable discussion of advertising executives, held at New Content, New Content of the IAB, New York. Some, like Tara Walpert Levy, who runs agency and brand solutions for Google and YouTube, predict they will "eventually need more growth." Others, like Kristin Lemkau, chief marketing officer at JP Morgan Chase, have speculated that a cheaper, ad-supported subscription option for Netflix might be the way to go. Netflix currently supports monthly subscriptions from its vast user base (more than 130 million worldwide) to fund the production, marketing, and licensing of its library of content. It's not hard right now to make ad-free profit: the rise of competing services (Disney Plus, Apple TV Plus, etc.) will encourage viewers to combine multiple subscriptions or choose one.

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It may just be hot air. After all, Netflix is ​​a company that has always defied expectations, growing from a DVD rental company to a huge original content production studio and the de facto streaming platform for online TV and movies. . There may be ways to serve ads that are less intrusive than viewers fear. If mid-episode interruptions can cause fury, a quick call between episodes could be a compromise. Netflix has tried to show the trailers of other Netflix titles while waiting for a new episode to be stored. He wants his trailers to play automatically when you hover over the content on his home page. But Netflix would be surprised to risk paying subscribers out of nothing else, or driving its own traffic to other websites or retailers, as ads often do. via BGR

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