MEDIA BUYING

Netflix to say ‘no’ to adverts during kids’ programming - report

By our News Team | 2022

The platform’s new business strategy to accept paid advertising for the first time is said to exclude children’s content and original movies.

Video entertainment-streaming platform Netflix announced in May that it would, for the first time be accepting advertising. This is so that it can offer lower-cost subscription packages to consumers and thereby boost subscriber numbers.

But is seems the platform won’t be running any of its new-found ads within children’s programming; neither will it allow advertising within original movies. The former is aimed at protecting younger viewers and also avoiding the ongoing controversies and accusations of exploitation being levelled against ads that target kids.

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Photo by August de Richelieu from Pexels

The latter is apparently to appease film-makers, who don’t want the impact of their original movies dissipated by advertising breaks.

However, Netflix is said to be planning to run ads during its original series such as ‘Stranger Things’ and ‘Bridgerton’. 

Details about the Netflix ad strategy were first published by news agency Bloomberg and subsequently reported by other media outlets. Netflix, however, has declined to comment.

Ad-free kids’ programming a long-term benefit

“If [Netflix] were to keep its kids’ programming ad-free, it could help to make up for its recent loss of subscribers,” the website Tech Crunch reported. 

“Some parents may have strayed from the service due to the high price, so the upcoming cheaper ad-supported tier could help them save money while also giving their kids an ad-free streaming experience.”

It added: “Advertising and children’s programming don’t mix well. Google and YouTube realised this after paying US$170-million for violating kids’ privacy laws. Targeting ads to individual children is seen as exploitative to some, and Netflix probably doesn’t want this reputation — nor do its advertisers.”

Analysts predict that Netflix will be one of the most prominent players in online video advertising, generating an estimated $4-billion a year in ad sales.

Netflix has been losing customers and faces growing competition in the global video-streaming market from the likes of Disney, Home Box Office (better known as HBO) and others 

In mid-April, Netflix announced that it had lost subscribers for the first time in more than a decade. In the North American market alone, its subscriber numbers have dropped by more than a million.

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    Dr Kin Kariisa

    Group CEO - Next Media

    Dr. Kin Kariisa is an extraordinary force at the helm of Next Media Services, a conglomerate encompassing NBS TV, Nile Post, Sanyuka TV, Next Radio, Salam TV, Next Communication, Next Productions, and an array of other influential enterprises. His dynamic role as Chief Executive Officer exemplifies his unwavering commitment to shaping media, business, and community landscapes.
    With an esteemed academic journey, Dr. Kariisa’s accolades include an Honorary PhD in exemplary community service from the United Graduate College inTexas, an MBA from United States International University in Nairobi, Kenya, a Master’s degree in Computer Engineering from Huazong University in China, and a Bachelor’s degree in Statistics from Makerere University.
    Dr. Kariisa pursued PhD research in Computer Security and Identity Management at Security of Systems Group, Radboud University in Nijmegen, Netherlands. As a dynamic educator, he has shared his expertise as a lecturer of e-Government and Information Security at both Makerere University and Radboud University.

    Dr Kin did his PhD research in Computer Security and Identity Management at Security of Systems Group, Radbond University in Nigmegen, Netherlands. He previously served as a lecturer of e-Government and Information Security at Makerere University in Kampala, Uganda and Radbond University in Netherlands.

    Dr Kin did his postgraduate courses in Strategic Business Management, Strategic Leadership Communication and Strategies for Leading Successful Change Initiatives at Harvard University, Boston USA.

    • Other current and previous roles played by Dr Kin Kariisa:
    • Lecturer of e-Government and Information Security to graduate students at Makerere University, Kampala and Radbond University in the Netherlands
    • Director of Eco Bank Uganda Limited, one of the largest banks in Africa
    • Chairman of the National Association of Broadcasters, an umbrella industry association for all Television, Radio and online broadcasters in Uganda.
    • Chairman of Board of Directors of Nile Hotel International, that owns the leading hotel in Uganda, Kampala Serena Hotel.
    • Chairman of Board of Directors of Soliton Telmec Uganda, the leading telecom company in Optic fibre business managing over 80% of optic fibre in Uganda.