Netflix has announced that Jeremi Gorman, President of Worldwide Advertising, is leaving the company. She will be replaced by Amy Reinhard, previously VP of Studio Operations.
Gorman was in the role for just over a year, leading the development of the streaming giant’s advertising business. Netflix launched its ad tier in November 2022, and now claims more than 10 million global monthly users on its ad-supported plan.
Gorman joined Netflix from Snap, where she spent four years as Chief Business Officer. She previously worked at Amazon Advertising, becoming Head of Advertising Sales in 2015. No reason was given for her departure from Netflix.
“My passion is scaling businesses from the early stages, which I have done many times — none more exciting than at Netflix,” she said. “We’ve built a world-class team and laid the foundations needed to create a forever ads business. The stories at Netflix are second-to-none, and brands are eager to be a part of that zeitgeist.”
Amy Reinhard joined Netflix in 2016 as VP of Content Acquisition, before being appointed VP of Studio Operations in 2020. Her replacement has not been named, but the company also promoted Eunice Kim to Chief Product Officer and Elizabeth Stone to Chief Technology Officer.
“I’m excited for this new opportunity and to join the exceptional team during this phase of growth,” said Reinhard. “Together we will scale our advertising business and connect our incredible shows and movies with audiences and brands around the world.”
Growing up
Reinhard takes over the role at a critical time for the Netflix ad business, as it grows from offering “minimal viable product” at launch, to a more advanced stack of targeting and measurement options. After a slow start for the AVOD tier, and 15 years of vocal resistance to advertising, Netflix says the ad-supported plan now accounts for over 25 percent of new signups.
But pressure is on the advertising business to deliver revenue as Netflix pivots its strategy to monetisation, particularly in the wake of the actors and writers strikes in Hollywood. Reports in the Wall Street Journal suggest the company is planning to raise the cost of its ad-free tier, following price hikes across all its plans last year, and the introduction of paid password sharing in May.
The company then cut its cheapest ad-free tier in July, in efforts to drive more subscribers to the ad-funded plan. In its Q2 earnings call, Netflix said its advertising revenues were immaterial in relation to the overall business. The firm then reportedly lowered its ad prices in order to accelerate growth, apparently frustrated at its advertising partnership with Microsoft, which is due to end next year.
While the future of that partnership remains uncertain, Netflix is expanding its advertising offering. In an interview for the VideoWeek CTV Advertising Guide, Gorman said the company plans to enhance its third-party verification, campaign analytics and targeting capabilities. These include verification tools from DoubleVerify and Integral Ad Science, as well as outcome measurement metrics from EDO.
Gorman also touted Netflix’s Top 10 product, whereby advertisers can target campaigns around the streaming giant’s 10 most popular titles. She added that Title and Moment Sponsorships would be rolled out globally. And as the ad division gathers steam, Gorman said, “we expect these teams to continue to grow so we can best service our partners.”
“I want to thank Jeremi for building our ads business from scratch,” said Netflix co-CEO Greg Peters. “In just one year, she’s built the foundations we need to succeed — attracting world-class brands to Netflix and an incredible team.”
