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Ad-Supported Tiers on Netflix

The video world is constantly changing and can be complex and crowded. Streaming services have seen a rapid evolution and are seemingly everywhere nowadays. By 2026, an estimated 73% of the US will consume content via streaming platforms. Identifying your target audience and how they consume video is crucial to building efficient campaigns.

Netflix recently announced a new ad-supported option for their platform, and we know many may have questions about this new tier. While information is still rolling out, here is what we know so far:

The current plan from Netflix is to launch in 6 markets by November 3rd with the goal of reaching all markets by the spring of 2023. The Cost Per Thousand (CPM) is expected to run around $65 – 80 (in comparison, most targeted video – including Hulu – is more in line with $30 – 50).


of the United States will consume content via streaming platforms by 2026.

The Netflix ad-supported tier will have about 4 minutes of ads per every hour of TV programming, while movies will feature pre-roll ads (like a movie theater). Cable TV, for example, runs a typical range of 10-20 minutes of ads per hour and network TV runs about 18-23 minutes of ads per hour.

The ad-supported tier will cost consumers $6.99 per month. Some ad verticals will not be accepted including political, gambling or cryptocurrency (Netflix is still weighing whether or not to accept pharmaceutical ads). There is also a good chance that the ad-supported tier probably won’t have access to the same shows.

Whether through Netflix or another streaming option, video is a great way to get your message seen by the right audience!

We’d be happy to talk with you more about how streaming video can help you reach your business goals!

Have a question about marketing? We would love to chat.

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