Netflix forecasts strong growth in 2024 for advertising

Chris Pash
By Chris Pash | 24 January 2024
 

Streaming media giant Netflix, reporting a 70% lift in its advertising supported subscription tier in the December quarter, forecast "strong growth" in 2024.

The ads plan now accounts for 40% of all Netflix sign-ups in markets where the option is available.

The company is now looking to retire its basic plan, starting with Canada and the UK in the March quarter

Netflix says it continues to improve the targeting and measurement for advertisers.

"We enter 2024 with good momentum," the company said, when releasing December quarter results.

"We expect healthy double digit revenue growth for the full year 2024.

"We’ll also continue to invest in and build our ads business; we expect strong growth in 2024 but off a small base so it’s not yet a primary driver of our overall revenue growth.

"Our aim is to make ads a more substantial revenue stream that contributes to sustained, healthy revenue growth in 2025 and beyond."

Overall revenue grew 12% in the December quarter.

The numbers:

netflix dec q 2023

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