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Streaming giants Netflix, Disney+ to now move into ad-supported subscriptions, unveils adtech tie-ups

Streaming giants Netflix, Disney+ to now move into ad-supported subscriptions, unveils adtech tie-ups
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Singapore – Streaming giants Netflix and Disney+ are going head-to-head with their ad-supported subscriptions this year by announcing its latest adtech tie-ups. Disney+ has tied up with The Trade Desk while Netflix has tied up with Microsoft.

Both streaming platforms previously operate on an ad-free subscription basis, but have shifted to these ad-supported ones following competition and expansion to other regions, including Asia-Pacific. Disney+ had announced its intention to do so by late this year, and Netflix as well after reporting substantial loss in subscriptions in 2021.

In the tie-up between Disney Advertising and The Trade Desk, advertisers can access Disney’s portfolio of premium supply, rooted in secure data collaboration and powered by automation through Disney’s Clean Room technology.

In addition, said agreement will enable a first-of-its kind integration between Disney’s proprietary ‘Audience Graph’ and the open-source identity framework, Unified ID 2.0, within a secure environment. As a result, buyers will be able to discover more addressable, biddable inventory across the Disney portfolio, all validated by Disney’s proprietary Audience Graph.

Rita Ferro, president for advertising sales at Disney Media & Entertainment Distribution, said, “Disney Advertising had a bold vision backed by proven results from the start, and we’re thrilled to continue to deliver on our commitment to power greater automation and addressability for our customers through this expanded deal with The Trade Desk.”

She added, “We have spent years investing in our data and technology strategy to create innovative solutions for advertisers to engage their audiences with greater precision and accuracy in a privacy-focused way. This first-to-market capability sets the stage to empower access to the Disney portfolio, validated by powerful audience insights, in a way that’s automated and accessible.”

Meanwhile, Tim Sims, chief revenue officer at The Trade Desk, commented, “With this agreement, Disney and The Trade Desk are pioneering a new approach to audience addressability in a post-cookie environment. By creating interoperability between Unified ID 2.0 and Disney’s Audience Graph, we are unlocking the opportunity for our customers to activate their first-party data at scale programmatically, against some of the world’s most premium content, across all channels. As a result, advertisers will be able to deliver relevant advertising, while ensuring consumers have more control of their own privacy.”

On the other hand, the partnership between Netflix and Microsoft is that it allows marketers to look to Microsoft for their advertising needs and will have access to the Netflix audience and premium connected TV inventory. All ads served on Netflix will be exclusively available through the Microsoft platform.

Greg Peters, COO at Netflix, said, “Microsoft has the proven ability to support all our advertising needs as we together build a new ad-supported offering. More importantly, Microsoft offered the flexibility to innovate over time on both the technology and sales side, as well as strong privacy protections for our members.”

He added, “It’s very early days and we have much to work through. But our long-term goal is clear: More choice for consumers and a premium, better-than-linear TV brand experience for advertisers. We’re excited to work with Microsoft as we bring this new service to life.”

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