How to Advertise on Netflix: A Step-by-Step Overview

Netflix’s entry into advertising with its ad-supported tier in 2022 has created a new opportunity for brands to reach engaged streaming audiences. With over 15 million monthly active users on this plan by late 2023, advertisers now have access to a premium content environment that includes top-tier originals and fan-favorite classics.

However, advertising on Netflix isn’t as simple as launching a campaign on a self-service platform. The process involves working with Microsoft’s Xandr ad network, negotiating placements, and ensuring that creative aligns with Netflix’s high production standards. This guide walks marketers through how to advertise on Netflix and the step-by-step process to build and execute effective campaigns on Netflix.

Step 1: Define Your Campaign Goals and Audience

The first step is to establish clear objectives for your Netflix campaign. Are you aiming to:

Introduce a new product?
Increase brand awareness?
Drive seasonal sales or special promotions?

Your goal will influence decisions around creative execution, audience targeting, and budget allocation.

Netflix’s ad-supported tier attracts a diverse audience, including:

Younger viewers looking for a budget-friendly alternative.
Families watching movies and kid-friendly programming.
Global users across 190+ countries, offering a mix of local and international content.

Marketers should define their target audience early. For example:

A tech brand might focus on 18-34-year-olds who stream sci-fi and tech-related content.
A retail company could target parents watching family-friendly shows.
A luxury brand may align with high-end dramas like The Crown.

Netflix’s data-driven ecosystem allows for precise audience segmentation, so honing in on the right viewer profile ensures higher engagement and campaign success.

Step 2: Connect with Netflix’s Ad Sales Team

Unlike other streaming platforms with self-serve ad dashboards, Netflix requires direct collaboration with its ad sales team through Microsoft’s Xandr platform.

How to Get Started:

Visit Netflix’s advertising contact page or connect with a Microsoft Xandr representative.
Provide campaign details, including:
- Budget (e.g., a $20,000 campaign for a seasonal launch).
- Target audience (e.g., urban millennials in the U.S.).
- Desired timeline (e.g., running in December for holiday shoppers).

Expect an initial consultation where Netflix’s team will:

Assess campaign goals.
Align ad placements within the ad-supported tier’s content.
Discuss expected reach and cost estimates.

Since Netflix’s ad inventory is curated, the process can take a week or more—marketers should plan ahead and communicate proactively with their sales representative.

Step 3: Develop High-Impact Creative Content

Netflix’s premium content environment means ad creative must meet high standards. Your ad will run alongside high-quality productions like Bridgerton, Stranger Things, and The Witcher, so it must be polished and compelling.

Creative Requirements:

Video ads only – Netflix does not support static image ads.
15- or 30-second spots – The standard ad length.
High resolution (1080p or better) – Ads must blend seamlessly with Netflix’s cinematic content.
Strong storytelling – Every second counts, so ads should be concise and visually engaging.
Clear audio and professional production – Poor-quality ads may be rejected.

Best Practices:

Test your creative internally before submitting.
Use storytelling techniques to make your brand memorable.
Include a call-to-action (CTA) – Since Netflix is a lean-back experience, direct CTAs (e.g., “Visit our website”) should be easy to remember.

Once your ad creative is finalized, submit it to Netflix’s ad review team for approval.

Step 4: Set Your Budget and Targeting Parameters

Budgeting Considerations:

Netflix advertising costs vary based on target audience, geography, and content alignment. Pricing follows a negotiated model, with minimum spends typically starting in the tens of thousands.

CPM (Cost Per Thousand Impressions): Ranges from $20 to $65, depending on audience and targeting.
Example: A $30,000 campaign might generate 600,000 impressions.

Targeting Options:

Netflix’s ad platform allows for precise audience segmentation based on:

Demographics – Age, gender, income, and location.
Viewing behavior – Genres and shows watched (e.g., targeting drama lovers with a luxury fashion ad).
Contextual placement – Ads can appear before or between episodes of relevant content.

Netflix’s ad team will optimize targeting based on its first-party viewing data, ensuring ads reach the right users at the right moments.

Step 5: Schedule and Launch Your Campaign

Once your budget, creative, and targeting are finalized, the ad sales team will schedule your campaign. Placement options include:

Pre-roll ads – Shown before movies or episodes.
Mid-roll ads – Appearing between binge-watching sessions.

Key Timing Considerations:

Seasonal campaigns should launch ahead of key shopping windows (e.g., Black Friday, back-to-school, or New Year’s resolutions).
Major show releases create high-demand slots (e.g., running an ad around a Wednesday season drop).

Once approved, your ad will start appearing across Netflix devices (TVs, smartphones, tablets, and desktops).

Step 6: Analyze Performance and Optimize

After launch, Netflix provides performance reports via Xandr, detailing key metrics such as:

Impressions – How many times your ad was displayed.
Completion rate – The percentage of viewers who watched the full ad.
Click-through rate (if applicable) – If using QR codes or a direct response CTA.

Example Metrics:

A $15,000 campaign may generate 300,000 impressions, with a 75% completion rate and 1% click-through.
If certain demographics outperform others, future campaigns can shift budget allocation accordingly.

Use this data to refine future campaigns, adjusting creative, targeting, and budget for improved ROI.

Step 7: Integrate with Broader Marketing Efforts

Netflix advertising works best when integrated into a larger marketing strategy. Consider:

Social media retargeting – Re-engage Netflix viewers with follow-up ads on Instagram or YouTube.
Email marketing synergy – Reinforce messaging with personalized email campaigns.
Influencer partnerships – A beauty brand running Netflix ads can amplify impact with TikTok collaborations.

Leveraging Cultural Moments:

Running ads around a viral Netflix series can spark organic social buzz.
A holiday-themed ad campaign can coincide with Netflix’s seasonal movie lineup.

This multi-channel approach ensures that Netflix ads serve as a launchpad, extending reach across multiple digital platforms.

Final Thoughts: Building a Winning Netflix Ad Strategy

Advertising on Netflix requires a strategic, data-driven approach, balancing creative excellence, precise targeting, and smart budget allocation. As Netflix expands its ad offerings, including interactive ads and live content, advertisers who master the process early will be well-positioned to capitalize on this evolving opportunity.