We improve upon the local bound in the depth aspect for sup-norms of newforms on D^×, where D is an indefinite quaternion division algebra over Q. Our sup-norm bound implies a depth-aspect subconvexity bound for L(1/2,f×θ_χ), where f is a (varying) newform on D^× of level p^n, and θ_χ is an (essentially fixed) automorphic form on GL_2 obtained as the theta lift of a Hecke character χ on a quadratic field. For the proof, we augment the amplification method with a novel filtration argument and a recent counting result proved by the second-named author to reduce to showing strong quantitative decay of matrix coefficients of local newvectors along compact subsets, which we establish via p-adic stationary phase analysis. Furthermore, we prove a general upper bound in the level aspect for sup-norms of automorphic forms belonging to any family whose associated matrix coefficients have such a decay property.