📺 Netflix Doubles on Ads

Today’s Insights

Feature

Netflix Doubles Down on Ads. And Viewers Don't Seem to Mind.

Netflix's ad-supported tier now boasts 94 million monthly active users across just 12 countries (that's a lot of untapped markets still to come). Ad revenue? Netflix says it's on track to double this year.

Behind the scenes, Netflix has been building its Netflix Ads Suite, its in-house first-party ad tech platform designed to "offer better measurement, enhanced targeting, innovative ad formats and expanded programmatic capabilities."

With advertisers able to buy directly through Netflix or plug in programmatically via the likes of DV360 and The Trade Desk.

Netflix also released viewership data for the first half of the year of titles, which brands can sponsor via one of the ad formats.

Bottom Line

Netflix's ad-supported tier was seen as a desperate move to boost subscriber numbers, but they're building out a meaningful Connected TV ad proposition and proving that giving customers the choice of ads could be good for business. There’s more planned for 2025. Netflix co-CEO Greg Peters confirmed that the company will roll out "interactive ads" in the second half of the year.

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🤖 Google adds AI Mode button to homepage

Google is increasing the roll out of AI Mode with a new button displayed on the right-hand side of the Google.com homepage search field.

🤳 Google launches virtual try-on feature to all U.S. users

Shoppers can now upload full-body photos to see how clothes fit them directly in Google Search, Shopping, or product results on Google Images.

📱 Perplexity is in talks to preinstall Comet browser on smartphones

The AI search startup is negotiating with phone makers to preload its new browser, attempting to chip away at Google's Chrome market share of about 70% in mobile devices.

🔍 Perplexity tests ‘sponsored follow-up questions’ ads

Perplexity is showing "sponsored follow-up questions" that appear alongside AI-generated responses. The company says the format supports user intent without disrupting answers and helps users "figure out the next question they need to ask".

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