Netflix is now expected to pull in $700 million in U.S. and Canada advertising revenue, growing to $1.7 billion by 2025, driven by its new, ad-supported service set to launch by the end of this year,
according to MoffettNathanson Research -- higher than its previous estimates.
This will be driven …
We ran the numbers for our MDI Direct subscribers recently and it all depends on whether Netflix is able to motivate advertisers to spend premium CPMs to potentially reach very small average minute audiences who look, more or less like the total population, demo-wise. Moreover, they are saying "trust us" regarding audience measurement and most, if not all, of the commercials will be in pre- or post-roll positions, not in-show breaks---not good for attentiveness. Add to that, the demand that buyers have virtually no say in what programs their spots appear in---what happened to "targeting"?--- and that Netflix ---as yet---does not have a national TV -experienced sales and packaging staff that the buyers have confidence in and it's all very problematic to say the least.