How Your Brand Can Cozy up With Netflix Ads

Digital Marketing / September 14, 2023

[Updated June 2025]

With millions of daily users and over 40% of all signups in the country now coming from its ad plan, Netflix is undeniably a goldmine for advertisers seeking to reach a vast audience.

Since the platform introduced ads in late 2022, marketers have been eager to tap into its vast viewership. But for a while, the rollout was slow and clunky. Targeting was limited. Measurement lacked depth. Programmatic options were scarce.

That’s changing — fast.

Let’s walk through what you need to know to advertise on Netflix in 2025.

Why Does Netflix Have Ads?

Netflix introduced ads because the streaming landscape is changing—and so are viewer habits. As growth slowed and competition increased, Netflix needed a way to keep subscriptions affordable while still supporting the quality content it’s known for. So, Netflix got ads in late 2022. It gives people the option to pay less in exchange for a few ads, and it opens the door for brands to reach an audience that was previously off-limits. It’s not about flooding the platform with ads—it’s about making them feel like a natural part of the experience, for everyone’s benefit.

How To Advertise on Netflix

At first, Netflix sold ads exclusively through Microsoft via private marketplace (PMP) deals. Now, inventory is available through Magnite, and accessible via platforms like The Trade Desk and DV360. This expanded programmatic access improves both targeting and measurement capabilities and gives brands more flexibility to run smarter campaigns.

Netflix Ad Formats, Specs, and Details

Netflix video ads are crafted to be cinematic, seamless, and effective, appearing before or during the content viewers are already invested in. These placements feel less like interruptions and more like previews, helping brands become part of the story.

Ads can be either 15 or 30 seconds, with formats ranging from 10 to 75 seconds depending on the placement. They are delivered as MP4 or MOV files, each with a single video and audio track. The required 16:9 aspect ratio ensures a native look and feel, with supported resolutions at 1920×1080 or 1280×720. For best results, avoid letterboxing or pillarboxing, your ad should look as clean and immersive as the show it’s paired with.

These video ads are proven to deliver results: 30-second spots on Netflix drive 1.5x higher recall than linear TV ads, making them one of the most effective tools in today’s ad landscape.

Pause ads bring impact without intrusion. After five seconds of uninterrupted viewing, a brand-safe visual appears when a viewer presses pause, capturing attention when engagement is at its peak. In fact, according to Netflix, 77% of viewers keep a Pause Ad on screen for 15 seconds or more.

Looking for premium placement? Single title sponsorships offer front-row access to Netflix’s cultural juggernauts. Brands can own the moment with exclusive first-ad positioning, a custom :06 bumper, and a non-skippable pre-roll, driving 2.8x higher recall compared to traditional TV ads.

And for brands that want to turn curiosity into action, QR codes can be layered into both video and pause ads, transforming attention into clicks, purchases, or exclusive content experiences in just one scan.

What does Netflix’s targeting options look like?

Netflix has evolved beyond basic demos. While its targeting capabilities aren’t as advanced as those of some social or search platforms, there are still smart ways to increase relevance and personalize your message.

Geotargeting on Netflix Ads

Netflix offers precise geotargeting options, allowing advertisers to target audiences down to specific postal or ZIP codes. Whether you’re running a nationwide campaign or zeroing in on regional markets, this level of granularity ensures your ads show up in the right place, at the right time.

Demographic Targeting on Netflix

Whether you’re speaking to viewers who grew up with Saturday morning cartoons or those discovering iconic shows for the first time, Netflix lets you target by age group (18 to 24, 25 to 34, 35 to 49, 50 to 54, 55 to 64) to ensure your message resonates. From Gen Z to Boomers, connect with audiences in the moments that matter most to them.

Refine your message and speak directly to your audience. With gender-based targeting, you can tailor your creative to align with viewer interests, behaviors, and content preferences — helping your brand show up with relevance and authenticity.

Contextual Targeting on Netflix

Netflix’s Targeting Media products (TMP’s) are another targeting tactic that brands can leverage. We suggest looking into the following TMP’s:

• Netflix Top 10: Get your brand into Netflix’s hottest shows and movies with guaranteed placement among the top 10 titles from the previous day, at a 40% higher cost.
• Content Genre (3+ & Single): Target either a single content genre or choose three or more genres for your ad placement, with a 20% premium for Single and a 15% premium for 3+.
• First Impression: Be the very first brand a member sees in a day by buying the initial pre-roll impression. Reach an engaged audience with this premium opportunity, priced at a 200% higher cost.

How Much Does It Cost to Advertise on Netflix?

When it comes to pricing, programmatic inventory is based on floor rates, with a small margin typically applied. There’s no official minimum spend for PMP (Private Marketplace) deals, but providing a forecasted budget is highly recommended, it helps with troubleshooting, pacing, and campaign optimization.

For direct buys, CPM rates can vary based on factors like ad length, placement, and targeting layers. As Netflix continues to expand its offering in 2025, advertisers benefit from more flexible entry points and smarter spend control across both programmatic and direct buying paths.

What Makes Netflix Advertising So Great?

Creating compelling ads on Netflix is essential. Think of it like those exciting previews you see in a movie theater before a highly anticipated film – that’s the feeling we aim to recreate with Netflix advertising.

When viewers are genuinely interested and curious, it not only makes their streaming experience better but also makes the ads more effective. In a world where people have short attention spans, making Netflix ads captivating is how we reach a larger and more engaged audience. We want viewers to actively enjoy these ad moments as part of their streaming journey, so they actually want to watch them instead of skipping.

So, what’s next for Netflix advertising?

The platform is moving full speed ahead, expanding beyond entertainment into live sports, with WWE already rolling out in Canada and NFL content. These events open the door to high-impact, in-show integrations and global reach.

On the data front, Netflix is rapidly enhancing its ad tech infrastructure. Brands can now match their own first-party data with Netflix viewer data through LiveRamp, and even access third-party data via new partnerships with Experian and Acxiom. Clean room integrations with Snowflake, InfoSum, and LiveRamp provide privacy-safe ways to activate audience strategies with precision.

Looking ahead, Netflix is also developing interactive ad formats (including personalized mid-roll and pause ads featuring product details and call-to-action buttons). As Netflix’s President of Advertising Amy Reinhard put it:

“The foundation of our ads business is in place and, going forward, the pace of progress is going to be even faster.” – Amy Reinhard

Generate Netflix Revenue With Bloom!

At Bloom, we were among the first Canadian agencies to launch Netflix campaigns. We’ve stayed on top of every update, every beta test, and every innovation, and we’re ready to help you take full advantage of this unique channel.

Want to reach an engaged, growing audience in a premium streaming environment? Let’s build your next breakthrough Netflix ad campaign together.

Contact us today!