SVOD player Netflix is set to make a huge play in the outdoor advertising space, according to reports in the US.
Reuters has reported that Netflix has offered to buy OOH player Regency Outdoor Advertising for more than $US300 million ($A390 million).
Regency owns a string of OOH sites around Los Angeles, including West Hollywood’s famed Sunset Strip, and Netflix believes the acquisition would be ideal to advertise its new programming. It would also be a trumping move against Netflix’s competitors such as Disney and Amazon.
According to the Reuters’ report, Netflix spends $US2 billion a year promoting and advertising its upcoming shows while a billboard on Los Angeles’s Sunset Strip can cost as much as $US140,000 a month.
Commenting on the proposed Netflix move president of New York media agency The Media Kitchen, Barry Lowenthal, said: “This is a smart move for Netflix because it is a very important viewing market. Los Angeles matters to the people in the industry.”