"Netflix has spent three years convincing advertisers it was serious about building an ads business. Now, it's talking like one that expects to be on every major media plan - not as a novelty but as a line item with weight behind it. A big part of that push is its reach, which the streamer now describes with a new "Monthly Active Viewers" metric. As it stands, that count comes to more than 190 million globally."
"The shift is meant to give marketers a steadier read on how many people the ad tier actually reaches. Prior reporting relied on the number of profiles watching ads - a framing that didn't truly match how Netflix is typically consumed in living rooms. The new metric is to be built to correct for that gap. Whether it changes how budgets move is another matter."
"MAV is not just the number of accounts on the ads plan, because that's not what matters most to advertisers," said Reaugh. "What matters most is the number of people watching Netflix." What also matters is the price paid to reach those people. Netflix inventory currently averages around a $30 CPM with rates climbing when data and targeting layers are applied."
Netflix has positioned its ad-supported tier as a core part of advertising plans and introduced a Monthly Active Viewers (MAV) metric that counts subscribers who watched at least one minute of ads multiplied by estimated household size, totaling more than 190 million globally. MAV adjusts for co-viewing that Monthly Active Users (MAU) missed, reflecting communal viewing in living rooms. The metric aims to give marketers a steadier read of reach and to bridge gaps from profile-based reporting. Advertisers still prioritize impressions and guaranteed delivery, but MAV strengthens planning conversations and signals maturation of Netflix's ad business. Inventory averages about a $30 CPM, rising with targeting.
Read at Digiday
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