For everyone in the advertising and marketing industry, by next April, there is a tectonic shift expected to be witnessed in the streaming and video on demand segment.

Few weeks ago, Netflix announced it is launching its ad-supported version of its subscription-based streaming service. In partnership with another tech giant, Microsoft, the former will leverage the inventory and privacy strength of the latter to work with advertisers in serving ads to its subscribers who will for the first time watch content on the platform without paying.

While Netflix’s pivot is not the first time a major premium content provider will be offering advertising on its platform, it is a milestone given the 220.67 million paying users and another 100 million households who have access to the platform through password sharing. This means advertisers and agencies will be getting access to these huge audiences for the first time and it is bound to open new opportunities for engagement and brand affinity building.

Also, as Netflix takes this step, we expect that next April and the quarters ahead could see more streaming services such as HBO Max and Apple TV+ joining the likes of Disney+ to open all their inventory for an ad-supported option. All these point to one conclusion – that advertising is still one of the most sustainable marketing communications tools and the streaming segment will become better for it as it gives customers and audiences better choices on how they want to consume content.

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