Netflix launches new ‘Monthly Active Viewers’ metric to better reflect its 190mn ad viewers

The streaming giant’s ad evolution moves from scale to sophistication, redefining how reach is counted.

author-image
Ubaid Zargar
New Update
netflix

Netflix is redefining how it measures advertising reach, unveiling a new metric called Monthly Active Viewers (MAV) that it says more accurately captures the real scale of its ad-supported audience. The announcement marks a major milestone as the company wraps its third season of the ads business and enters its fourth, a period in which Netflix has solidified itself as a serious player in the global ad marketplace.

Advertisment

The new MAV metric aims to move beyond counting mere account profiles to representing people — the actual viewers watching together. Netflix defines MAV as members who have watched at least one minute of ads on Netflix in a month, multiplied by the estimated average number of people in a household, based on Netflix’s first-party research. According to the company, ads on Netflix now reach over 190 million Monthly Active Viewers globally, including 4 million in Australia.

Amy Reinhard, Netflix’s president of ads, said the new metric reflects how the company’s ad strategy is maturing. “People expect a lot of innovative things to come out of Netflix, given what we've done over the past 25 years in the business,” Reinhard said on Wednesday. “The thing that I'm most excited about is these interactive and modular formats, because these are the start of our personalization journey, and they add a ton of flexibility and optionality into what we're trying to do.”

The shift reflects Netflix’s effort to create a transparent and consistent standard for measuring ad reach in streaming, much like it once did for viewership transparency. “Our previous measurement, based on account profiles, didn’t represent all of the engaged people who are in the room watching,” the company explained. “Our move to viewers means we can give a more comprehensive count of how many people are actually on the couch, enjoying our can’t-miss series, films, games, and live events with friends and family.”

Three years into Netflix’s ad journey, Reinhard said she believes the company has made great progress addressing earlier concerns about scale, measurement, and innovation limitations. “We’ve grown our ad tier and added a slew of measurement partners, and we’ve started testing interactive video ads in the US and Canada this month, which will open up a lot of new opportunities,” she added.

The announcement underscores just how far Netflix’s ad business has evolved. The company now counts thousands of advertisers across the world and has rolled out its Netflix Ads Suite, an in-house, first-party ad tech platform, to all 12 of its ad-supported countries. Its programmatic offerings have expanded to include Amazon, AJA, Google Display & Video 360, The Trade Desk, and Yahoo DSP, and it now partners with over 50 global ad measurement vendors.

Experimenting with interactive ad formats

As Netflix continues to build scale, it is also reimagining how ads can engage viewers. In May, the company announced plans to explore modular ad formats designed to deliver more relevant and dynamic messages. This month, Netflix began testing interactive video ads in the US and Canada, formats that adapt to viewing behaviors and use mix-and-match creative templates to enhance personalization. Early results have been encouraging, and the company plans a global rollout by Q2 2026.

Six months after debuting the Netflix Ads Suite across most countries, the platform is gaining new targeting precision and planning tools. Netflix has expanded its advanced demographic targeting, allowing advertisers to reach audiences by factors such as education, marital status, and household income. It has also extended its global partnership with LiveRamp, enabling clients in Australia, Brazil, Canada, France, Germany, Italy, Japan, Mexico, Spain, and the UK to easily activate first-party data capabilities.

Additionally, the Netflix Ads Suite now offers in-market audiences, which help advertisers reach members actively considering purchases in categories like luxury vehicles, travel packages, and dining experiences. To help media agencies plan more effectively, Netflix is also testing a new planning API that integrates with in-house tools and uses real-time forecasting to deliver audience insights across demographics and geographies. The API is currently live in the US and will roll out globally in 2026.

Dynamic ad insertion for live events

Netflix’s growing lineup of live programming is also ushering in new advertising technology. The company has begun testing Dynamic Ad Insertion (DAI) for live streams, beginning with WWE Raw and SmackDown. DAI will also feature during the upcoming NFL Christmas Gameday across the US, Brazil, Canada, Germany, Mexico, and the UK, before expanding to more live titles in 2026. The technology enables advertisers to deliver localized and personalized ad experiences during live broadcasts.

Netflix is also leveraging its most popular titles to create branded moments. Ahead of the Stranger Things finale, the streamer is partnering with Doritos on a custom flavor, Gatorade on a revival of its 1980s Citrus Cooler, and Target for a retail takeover. In Latin America, Fiat, Nestlé, and Unilever’s Hellmann’s will each launch limited-edition tie-ins inspired by the series. For Emily in Paris, Netflix has partnered with Peroni Nastro Azzurro in the US for a 360-degree campaign highlighting Italian style, while NFL Christmas Gameday will see collaborations with FanDuel, Verizon, Accenture, and Tide.

Enhancing the member experience

For subscribers, the ad-supported plan continues to expand with features that enhance engagement. Most recently, Netflix introduced Moments, which allows members to save their favorite scenes from shows and movies. The ad-supported tier remains a lower-cost option while maintaining the premium experience Netflix is known for.

As the company closes out its third season of the ads business and moves into the next, Reinhard said Netflix’s focus remains on innovation and growth. “We know we still have more to do, but we’re energized by the consistent progress we continue to deliver for our advertisers and members,” she said. “We can’t wait to see what’s in store for our next season.”

netflix ad suite CTV & OTT Advertising CTV Netflix
afaqs! CaseStudies: How have iconic brands been shaped and built?
Advertisment