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State of the Screens

Netflix tests pre-roll video ‘previews’ that are personalized to your interests

By May 2, 2018No Comments

Netflix is currently running 30-second pre-roll ads promoting it’s own content.

This is the 2nd time that they have tested this feature and is similar to how HBO/Showtime both promote their own content prior to a show starting.

Could this be the groundwork for an advertising offering?

The average Netflix user watches 1h, 33m of content per day.

If we assumed a 16-minute ad load per hour (similar to TV), then each Netflix customer could potentially receive 48 30-second spots per day or 336 per week.

At a $25/CPM that would generate $1.20 in ad revenue per day or $37.20 per month.

The most expensive Netflix plan is currently $11.99 per month.

Michael Beach

Michael Beach

Michael Beach is the Chief Executive Officer of Cross Screen Media, a media analytics and software company that enables marketers to plan, activate, and measure CTV and linear TV at the local level. Michael is also the founder and editor of State of the Screens, a weekly newsletter focused on video advertising that is a must-read for thought leaders in the advertising industry. He has appeared in such publications as PBS Frontline, The Wall Street Journal, The New York Times, Axios, CNBC and Bloomberg, and on NPR’s Planet Money podcast.