TVB: Netflix with Ads Has Extremely Limited Reach

(Image credit: Netflix)

NEW YORK—The TVB has issued new research on the audiences advertisers might reach via Netflix’s “Basic with Ads” tier showing the ad-supported streaming tier has extremely limited reach compared to the audiences of local TV. 

“Netflix’s reported audience numbers for its ad-supported tier, ‘Basic with Ads,’ are an estimated 600,000 ‘monthly active users.’ Importantly, this metric refers to subscribers, not viewers and Netflix ad-supported users pale in comparison to local linear TV viewing audiences,” said Steve Lanzano, TVB President and CEO.

“The comparison is extremely meaningful for the advertising community and brands. On a typical evening in November (11/9/22) in the New York DMA alone, Nielsen reports that 1.6 million adults 18+ were reached by local broadcast TV stations' early news between 5PM and 6:30PM," Lanzano continued. "Early news reach in the New York market was nearly triple the number of Netflix’s reported universe for its ad-supported tier.”

Nielsen currently does not break out streaming video on demand (SVOD) audiences into ad subscribers and ad-free subscribers, the TVB researchers noted. Only the total universe is reported. To estimate Netflix’s ad audiences, TVB applied the total Netflix rating to the reported Netflix ad subscriber base of 600,000.

The TVB estimates reveal that on the same night in November (11/9/22), Netflix’s top three programs, “The Crown”, “Love is Blind” and “Enola Holmes 2” delivered 5,040, 4,440 and 1,860 adult 18+ ad viewers, respectively. 

Those are tiny numbers compared to local broadcasts, the TVB stressed. New York evening news adults 18+ impressions for the same day and time slot included: WABC (915,191), WCBS (462,339), WNBC (282,280), WNYW (103,380) and WPIX (37,611).

Similar results can be found in smaller DMAs. 

In Grand Rapids, MI (DMA 42), local news airing on NBC, CBS and Fox affiliates 5PM-6:30PM would out-deliver Netflix’s top three programs with ads: "The Crown" (5,040), "Love is Blind" (4,440) and "Enola Holmes 2" (1,860). Grand Rapids evening news adults 18+ impressions for the same day and time slot included: WOOD (115,734), WWMT (100,835) and WXMI (24,546).

George Winslow

George Winslow is the senior content producer for TV Tech. He has written about the television, media and technology industries for nearly 30 years for such publications as Broadcasting & Cable, Multichannel News and TV Tech. Over the years, he has edited a number of magazines, including Multichannel News International and World Screen, and moderated panels at such major industry events as NAB and MIP TV. He has published two books and dozens of encyclopedia articles on such subjects as the media, New York City history and economics.