Thursday, July 21, 2022
HomeAdvertisingThe Massive Story: Why Netflix Picked Microsoft

The Massive Story: Why Netflix Picked Microsoft


Stranger issues have occurred than Netflix going AVOD.

Netflix, which has lengthy prided itself on an ad-free expertise, is creating this upside-down model of its service to scale back churn and appeal to extra price-conscious subscribers.

Microsoft, not recognized for its video advert tech chops, ended up successful the deal, shocking the advert tech world. Why Microsoft? Nicely, not solely did Microsoft scoop up Xandr in December, which had already constructed video chops for WarnerMedia when it was nonetheless a part of that conglomerate, however it’s the one video advert tech participant that’s not a full-on frenemy. Google and Comcast, whereas robust in video advert tech, additionally run streaming providers of their very own.

On this case, Netflix is definitely the one encroaching on Microsoft’s turf by buying its approach into the video gaming house. TBD on whether or not that enlargement continues.

We talk about why the deal is smart and what would possibly occur within the lead-up to Netflix’s 2023 AVOD launch.

Then, one different to third-party cookies, seller-defined audiences, has gained robust assist from publishers, however consumers aren’t biting. Publishers are nonetheless ready on the purchase facet to check the answer and refine it.

Many components are contributing to the gradual takeoff of seller-defined audiences, from the abundance of third-party cookies (they ain’t lifeless on Chrome but) to the spec’s complexity, its lack of standardization (by design) and lack of integration by advert tech distributors to make it simply accessible to consumers.

We speculate on a doable future the place seller-defined audiences take off – and one during which it languishes.

 

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