How much does Netflix spend on advertising?

Netflix spends between 4% and 6% of its total revenue on advertising. In 2021, for example, Netflix reported advertising expenses of nearly $1.67 billion and had a total revenue of $31,909 billion. Netflix spends the most on digital advertising and content marketing including online advertisements, social media campaigns, influencer partnerships, and producing original content as a form of promotion.

To compete with the influx of new streaming services, Netflix is working to increase its advertisement spending to 10% of its overall revenue on advertising. The reason for this is the fact that in 2022 Netflix experienced a subscriber shrink for the first time in decades. To stay competitive with Hulu and Disney+, Netflix's new Co-CEO Greg Peters is making a 5-year plan to continue to increase ad spending in an attempt to get more subscribers.