Amazon and Netflix are joining forces in a new advertising partnership that will bring the streaming giant’s ad inventory to Amazon’s demand-side platform (DSP), giving marketers broader reach and more flexibility in their campaigns.
The partnership will activate later this year, and will allow ad buyers to use Amazon DSP to directly access Netflix’s premium, ad-supported inventory across 11 countries — the United States, Canada, United Kingdom, France, Spain, Mexico, Japan, Brazil, Italy, Germany and Austria.
“We’re delighted to enter into this partnership with Netflix, enabling brands to reach their subscribers and extensive library of premium content with Amazon DSP,” said Paul Kotas, the Senior Vice President of Amazon Ads. “Our goal is to remove the guesswork for advertisers by making it simple to manage all of their TV planning and buying with Amazon Ads.”
Amy Reinhard, the President of Advertising at Netflix, called the deal a milestone in the company’s effort to broaden its advertising reach.
“This partnership with Amazon perfectly aligns with our commitment of bringing advertisers even greater flexibility in their buys to achieve their marketing goals,” Reinhard said. “By integrating Amazon DSP and enabling even more advanced capabilities together over time, we’re making it easier than ever to connect with Netflix’s global engaged audience.”
The agreement helps solidify Amazon’s dual role in streaming and advertising — the tech giant operates its own streaming service, Prime Video, which introduced advertising
The agreement is significant given Amazon’s dual role in streaming and advertising. Amazon operates its own ad-supported service, Prime Video, which reaches 130 million streaming households in the United States alone. By comparison, Netflix has just north of 90 million ad-supported streaming subscribers.
Amazon and Netflix’s approach to advertising have been different — Netflix launched a cheaper, ad-supported tier to complement its commercial-free streaming plan, while Prime Video integrated ads into the default plan that comes bundled with its membership and charged customers $3 per month to remove them — but the goal is the same: Earn additional revenue off streaming content.
