Netflix eyes 10 percent of global CTV spend

Netflix is on track to capture nearly 10 percent of global connected TV ad spend by 2027, as its advertising business scales rapidly, according to a new Platform Insights report from WARC Media. The streamer’s ad revenue is forecast to double to 3 billion dollars in 2026 and reach 8 billion dollars by 2030.

While subscription fees remain the company’s primary income source, advertising accounted for 3.3 percent of total revenue in 2025, exceeding 1.5 billion dollars. WARC forecasts show Netflix’s share of global CTV spend rising from 3.7 percent in 2025 to 9.2 percent in 2027, as the platform targets competitor share rather than relying solely on overall market growth.

Investment shifts toward scale and diversification

The report highlights Netflix’s plans to extend beyond video streaming into a broader entertainment ecosystem, including live sports, cultural events, video podcasts and cloud gaming. A potential acquisition of Warner Bros. Discovery is cited as a move that could strengthen content offerings and improve monetization through bundled services.

Celeste Huang, Media Insights Analyst, WARC Media: "With ad revenue set to double to $3bn by 2026, and with an eye on a growing slice of the streaming ad pie, Netflix is expanding beyond video into a global entertainment hub. It increasingly attracts ad dollars and share of market boosted by live sports, cultural events, Gen Z’s love for brand integrations, and is perceived to be trustworthy by both brands and viewers alike."

In the US, top ad spend categories on Netflix in Q2 2025 were shopping at 82 million dollars, consumer packaged goods at 78 million dollars, financial services at 66 million dollars, travel and tourism at 54 million dollars, and telecoms at 44 million dollars, according to Sensor Tower data.

Audience growth and engagement challenges

Netflix reports its global reach is close to 1 billion people, with members consuming 200 billion hours of content annually. Paid subscriptions reached 315 million worldwide in Q4 2025. In the UK, the platform accounted for more than half of subscription video on demand viewing last year, with similar levels of dominance in the US.

However, the report notes broader shifts in subscription video on demand consumption, including declining viewing time per user and competition from free platforms such as YouTube, particularly among younger audiences. Netflix aims to differentiate through premium storytelling and expanded IP-driven experiences spanning interactive, audio and gaming formats.

Trust and fandom drive performance

Advertisers rank Netflix as the fourth most trusted global platform, behind YouTube, Instagram and Google, according to Kantar data cited in the report. It is positioned as the only strictly curated content platform among leading players, in contrast to user-generated-content environments.

Gen Z audiences show strong affinity for brand integrations within Netflix intellectual property. According to the report, 70 percent of Gen Z viewers are more likely to trust brands that connect with their favourite fandoms, and 74 percent are more likely to purchase from brands aligned with those shows.

The Platform Insights: Netflix study forms part of an ongoing series from WARC Media examining platform trends across investment, user engagement and performance, including previous editions focused on LinkedIn, Reddit, Amazon, TikTok, Spotify and Facebook.