Netflix and Microsoft

2022 will stand out as the year that AVOD took center stage. Ad-supported video viewership growth surpassed subscription-only streaming and overall streaming viewership overtook cable for the first time.

Here’s today’s AdExchanger.com news round-up… Want it by email? Sign up here. Be There In A Snap Snapchat is an example of how having huge engagement and high user numbers can’t necessarily offset an online ad platform that isn’t seen as a performance channel.  “Overall investment with Snap has been light, considering many of our clients […]

In mid-July, Netflix announced a partnership with Microsoft, selecting the tech giant for its new advertising and sales agency. Odd, right? The obvious choice was Google, especially with the push for cookieless data. But there’s more than meets the eye to this partnership. Clearly, there’s something in it for both players, writes Humphrey Ho, managing director of Hyperlink Digital’s Americas business.

Flexibility to innovate is part of the reason Netflix teamed up with Microsoft – but the potential of the match goes beyond ads. With studio costs for original content soaring and subscribers willing to drop subscriptions based on the attractiveness of a content library, a marriage with the owner of Xbox offers scope for diversification far beyond ad dollars, writes Joseph Lospalluto, US country manager of ShowHeroes Group.

Netflix’s biggest hope for its imminent ad tier is increasing revenue not from ads themselves, but by attracting new sign-ups with a cheaper subscription option. It chose Microsoft as its ad sales partner for flexibility in building out the tech, and it hopes new plans for password sharing enforcement will help keep up subscriber monetization, too.

Just three months after Netflix surprised the world with the news that it plans to launch an ad-supported tier, the streaming leader has settled on its third-party vendor of choice: Microsoft. But why Microsoft? It wasn’t considered a serious programmatic contender until it acquired Xandr from AT&T (and that deal only closed last month). Still, something made Microsoft stand out from the crowd.

Here’s today’s AdExchanger.com news round-up… Want it by email? Sign up here. Get The Net! Corks are popping in Redmond, Washington, home of Microsoft, after news that Netflix selected Microsoft Advertising as the global sales and technology partner for its ad business.  “Microsoft has the proven ability to support all our advertising needs as we work […]