Netflix Insists It Won’t Move Into Selling Advertising

  • 07/20/2019 12:00 AM
  • Source: Variety
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Netflix wants you to know: It doesn’t have any plans now or in the future to start running commercials on its streaming service.

Company execs have have regularly explained that being ad-free is a core part of Netflix’s attractiveness to consumers, and the strategy has been a standard part of its “Long-Term View” mission statement for investors: “We don’t offer pay-per-view or free ad-supported content. Those are fine business models that other firms do well. We are about flat-fee unlimited viewing commercial-free.”

On Wednesday, as part of announcing second-quarter 2019 earnings, Netflix spelled out in no uncertain terms that it’s not going to be putting ads in front of its viewers.

“We, like HBO, are advertising free,” the company said in its letter to investors. “That remains a deep part of our brand proposition; when you read speculation that we are moving into selling advertising, be confident that this is false. We believe we will have a more valuable business in the long term by staying out of competing for ad revenue and instead entirely focusing on competing for viewer satisfaction.”

There’s been regular speculation that Netflix could be tempted into rolling into selling ads — or that the company would be forced to in order to sustain its high levels of content spending.
Read more at Variety

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