By Gideon Spanier
Netflix cut advertising expenses by 23 per cent last year, despite its annual revenue rising by 24 per cent and new rivals such as Disney+ emerging.
The decision to reduce advertising expense showed the strength of Netflix’s brand as streaming boomed during the pandemic, investment in original shows such as Bridgerton, The Crown and The Queen’s Gambit paid off and the company added a record 37m subscribers last year to pass 200 million.
Netflix said in its annual report that it reduced ad expense, which includes “digital and television advertising”, by $432m to $1.45bn in 2020.
Its outlay had risen in previous years, albeit by just 4 per cent in 2019
To continue reading this article you need to be registered with Campaign. Registration is free and only takes a minute. Register Now or sign in below if you already have an account.
