Netflix says that it has a variety of ads covering different industries which won’t bore viewers
Netflix says that its Basic with Ads tier is doing well
Gorman says that the initial ads in Netflix’s mix for “Basic with Ads” includes automotive spots, ads for consumer packaged goods, and commercials for retail and luxury marketers. Because Netflix originally launched without an ad-supported tier of service, many of the deals it made for content to stream didn’t include AVOD rights (advertising video on demand). This gives Netflix limited ad inventory limiting revenue opportunities although the company is working on the licensing situation.
Netflix executive says the company is justified in charging premium rates for ads
“From a supply-demand perspective, the premium CPMs are reflective of two things: one is that we just couldn’t take that many advertisers. We certainly didn’t want to disappoint anybody.” She continues, “Then secondarily, the premium content environment in which the ads run I think warrants a high CPM.” She also states, “I think we’re certainly humble enough to very much understand we’re top of market, and in addition to that, the market will more or less dictate to us what are reasonable CPMs.”
Right now Netflix is running traditional 15-second and 30-second ads but is considering offering other types of sponsorships in the future. For example, eventually a particular show could have a single sponsor. Netflix could also allow advertisers to target the placement of certain ads depending on the content or based on demographics such as age and gender.
The “Basic with Ads” service is $6.99 per month and video streams in HD (720p) resolution over a single device. The company describes it by writing, “Basic with ads is a great way to enjoy movies and TV shows at a lower price. You can stream your favorites on any device with limited ad breaks. This plan does not allow downloads and a limited number of movies and TV shows are not available due to licensing restrictions. Some location and device restrictions also apply.”
Read original article here
Denial of responsibility! Gulehri.com is an automatic aggregator of the all world’s media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials, please contact us by email – firstname.lastname@example.org. The content will be deleted within 24 hours.