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Given that direct-to-customer is pretty much a done deal, my interest is what will happen to the advertising space given that they will have much less primetime

Given that direct-to-customer is pretty much a done deal, my interest is what will happen to the advertising space given that they will have much less primetime exposure. Cord cutters with Netflix aren't going to be exposed to ads. Yet as the world becomes more competitive, brands need advertising more than ever. Is all of their budget going online? But even online they are facing pressure - privacy, adblocking, Apple, etc. Lets say I only view Netflix, I run an adblocker and use an iPhone. What are the opportunities of a brand to reach me now? It's pretty much limited to Facebook or Google at this point. Then consider that the person profile I just described is probably a high earner with significant spending potential.

koolba 8y ago
On the flip side with less points of entry to your mind the ones that do get presented have less competition for your consciousness.
elorant 8y ago
They will embed advertising in movies. It's already happening in the web with native advertising. Or they could propose new payment models, say 50% off of subscription price for more ads in your program.
- CharlesW 8y ago
  > They will embed advertising in movies. FWIW, native advertising has long been part of film as a medium.[1] [1] https://en.wikipedia.org/wiki/Product_placement#Movies_and_television https://en.wikipedia.org/wiki/Product_placement#Movies_and_t...
michaelt 8y ago
Ads on YouTube, sponsored videos, shill review videos, product placement on YouTube and Netflix, ads on billboards, ads on busses, ads on taxis, ads on train station gates and platforms, ads in magazines and newspapers, direct mail, ads on pub coasters, ads on bathroom doors, ads on parking tickets and theatre tickets and event programmes, ads on receipts, ads in your amazon orders... Anyone who thinks we’re living in an ad-free age hasn’t been to a major city recently :)
- flyinglizard 8y ago
  YouTube is Google, Instagram is Facebook. So we're left with these two, online. Magazines are dying. Ads on billboards/buses/taxis are pretty much the same thing, but they are limited to specific content (mostly still images, no video or sound). TV was the king of advertising mediums. It was the place where a brand can get captive attention, with sound and a 30 seconds clip. You can't skip and most likely won't go anywhere. The only downside is that it's an open loop mechanism - you don't get very good feedback on the effectiveness of your ad, and that the call for action is weak (you can't click into the brand page).
  - barking 8y ago
    Sports broadcasts still bring in live tv viewers in large numbers They have ads on the pitch side, player kits, ads on screen during play, ads during breaks, stadium naming rights, stats brought to you by some company or other, the league itself has naming rights and the broadcast has naming rights.
    - stormbrew 8y ago
      That's a very large, but very very specific, demographic. A lot of people just plain aren't reached by live sports broadcasts at all.
      - barking 8y ago
        True but sometimes it can be very large indeed. Nearly half the population of the UK watched the England vs Croatia world cup semi final.
  - wolco 8y ago
    Previous we had nbc, cbs, abs. Now we have two big networks.
  - hndamien 8y ago
    You can pay to remove ads on Youtube.
nonbel 8y ago
>"Cord cutters with Netflix aren't going to be exposed to ads." Netflix is adding advertisements now (random source): https://www.businessinsider.com/how-to-turn-off-netflix-ads-commercials-in-between-episodes-2018-8 https://www.businessinsider.com/how-to-turn-off-netflix-ads-...
- IMTDb 8y ago
  Common, stop it with that. They added skippable quick trailers of other shows you might like when binge watching one show to a very select number of users. They quickly stopped that experiment few weeks ago. Never saw anyone call "featured playlists" or "you might also like" sections on spotify to be ads.
mrec 8y ago
There are still posters everywhere, obviously, and they've increasingly become animated screens here. But the only time I see video-with-sound ads now is at the cinema. My tolerance has dropped enough that it's becoming a significant disincentive to going to the cinema.
adrusi 8y ago
Advertising is zero sum for advertisers, if you make it harder for everyone to advertise, no one loses.
- flyinglizard 8y ago
  It may be true in some cases of the strongest brands with entrenched habits, like Coca Cola; but even they would like a channel to their current and prospective customers to let them know there are new products or just to keep the branding alive.
jorvi 8y ago
If you look closely, Netflix shows a ‘this tv show contains product placement’ sometimes. This will probably become a lot more common, and it’s not blockable either. I’m ok with subtle versions of it (a laptop on a desk that shows the Dell logo), but there’s also very blatant ways to do it. In Designated Survivor, there’s a scene where one of the protagonists stands in front of her car, starts it with the Ford™ app (panning inside shot of the Ford that shows it starting/booting), she and the passenger get in, talk for 5 minutes and then drive away. It was extremely shoe-horned.

koolba 8y ago

On the flip side with less points of entry to your mind the ones that do get presented have less competition for your consciousness.

elorant 8y ago

They will embed advertising in movies. It's already happening in the web with native advertising. Or they could propose new payment models, say 50% off of subscription price for more ads in your program.

CharlesW 8y ago
> They will embed advertising in movies. FWIW, native advertising has long been part of film as a medium.[1] [1] https://en.wikipedia.org/wiki/Product_placement#Movies_and_television https://en.wikipedia.org/wiki/Product_placement#Movies_and_t...

michaelt 8y ago

Ads on YouTube, sponsored videos, shill review videos, product placement on YouTube and Netflix, ads on billboards, ads on busses, ads on taxis, ads on train station gates and platforms, ads in magazines and newspapers, direct mail, ads on pub coasters, ads on bathroom doors, ads on parking tickets and theatre tickets and event programmes, ads on receipts, ads in your amazon orders... Anyone who thinks we’re living in an ad-free age hasn’t been to a major city recently :)

flyinglizard 8y ago
YouTube is Google, Instagram is Facebook. So we're left with these two, online. Magazines are dying. Ads on billboards/buses/taxis are pretty much the same thing, but they are limited to specific content (mostly still images, no video or sound). TV was the king of advertising mediums. It was the place where a brand can get captive attention, with sound and a 30 seconds clip. You can't skip and most likely won't go anywhere. The only downside is that it's an open loop mechanism - you don't get very good feedback on the effectiveness of your ad, and that the call for action is weak (you can't click into the brand page).
- barking 8y ago
  Sports broadcasts still bring in live tv viewers in large numbers They have ads on the pitch side, player kits, ads on screen during play, ads during breaks, stadium naming rights, stats brought to you by some company or other, the league itself has naming rights and the broadcast has naming rights.
  - stormbrew 8y ago
    That's a very large, but very very specific, demographic. A lot of people just plain aren't reached by live sports broadcasts at all.
    - barking 8y ago
      True but sometimes it can be very large indeed. Nearly half the population of the UK watched the England vs Croatia world cup semi final.
- wolco 8y ago
  Previous we had nbc, cbs, abs. Now we have two big networks.
- hndamien 8y ago
  You can pay to remove ads on Youtube.

nonbel 8y ago

>"Cord cutters with Netflix aren't going to be exposed to ads." Netflix is adding advertisements now (random source): https://www.businessinsider.com/how-to-turn-off-netflix-ads-commercials-in-between-episodes-2018-8 https://www.businessinsider.com/how-to-turn-off-netflix-ads-...

IMTDb 8y ago
Common, stop it with that. They added skippable quick trailers of other shows you might like when binge watching one show to a very select number of users. They quickly stopped that experiment few weeks ago. Never saw anyone call "featured playlists" or "you might also like" sections on spotify to be ads.

mrec 8y ago

There are still posters everywhere, obviously, and they've increasingly become animated screens here. But the only time I see video-with-sound ads now is at the cinema. My tolerance has dropped enough that it's becoming a significant disincentive to going to the cinema.

adrusi 8y ago

Advertising is zero sum for advertisers, if you make it harder for everyone to advertise, no one loses.

flyinglizard 8y ago
It may be true in some cases of the strongest brands with entrenched habits, like Coca Cola; but even they would like a channel to their current and prospective customers to let them know there are new products or just to keep the branding alive.

jorvi 8y ago

If you look closely, Netflix shows a ‘this tv show contains product placement’ sometimes. This will probably become a lot more common, and it’s not blockable either. I’m ok with subtle versions of it (a laptop on a desk that shows the Dell logo), but there’s also very blatant ways to do it. In Designated Survivor, there’s a scene where one of the protagonists stands in front of her car, starts it with the Ford™ app (panning inside shot of the Ford that shows it starting/booting), she and the passenger get in, talk for 5 minutes and then drive away. It was extremely shoe-horned.