By 2027, Netflix will be the third-largest ad-supported streaming service in Australia, generating more than A$150 million ($94 million) in ad revenues in the market that year, according to Ampere Analysis.
7Plus and 9Now, broadcaster-run streaming services, will be the only Australian platforms that generate more ad revenues than Netflix in the country in 2027. The milestone will come five years since Netflix added an ad tier to its Australian service. Ampere estimates that over 2 million subscribers will be on Netflix’s hybrid tier by 2027.
Ed Ludlow, senior analyst at Ampere Analysis, noted: “Our expectations for Netflix’s growth reflects the streamer’s ability to generate ad impressions through its large subscriber base and popular content catalog, which keeps audiences engaged for long periods. If it is to surpass its BVOD rivals in Australia for ad revenue, the streamer needs to continue to coax users onto the ad-supported tier, maintain the premium positioning of its inventory, and focus on scaling to 4 to 5 minutes of filled ad slots per hour.”
