Online Video Ads Growing Faster Than Other Online Ad Categories
Online video advertising spending is growing faster than all other web advertising categories, according to the results of a survey released today by online video ad services provider BrightRoll. The biggest driver behind the growth appears to be ad dollars being moved from display and television to online video.
Of the buyers surveyed, 28% said they expectied to see the greatest increase in spending in online video, with mobile video a close second at 27% and social media following at 25%. 86% of the survey respondents are moving display dollars to online video, while 64% are moving TV spend to online video. Notably, respondents are also moving search, social media, and direct response dollars to video, at numbers of 28%, 27%, and 26%, respectively. More than 60% of respondents said they felt online video advertising was at least as effective or more effective than TV.
Ad agencies are finding more and more that their clients value online video's ability to target very specific audiences, with more than 40% saying it was the feature that clients found most valuable, an increase of 9% over last year. Unfortunately, 10% of those same clients ranked "ability to reuse creative" as the most important feature, the same number as last year. It's a small percentage, relative to the other features, but still disheartening that a tenth of ad clients see online video advertising as nothing more than a way to repurpose what they've done for TV.
Within the types of targeting—behavioral, contextual, content, and demographic—behavioral targeting was ranked most important, and the majority of agencies said that at least 40% of their campaigns will include some sort of behavioral targeting in the next year.
Before they can commit to spending their ad budgets on online video, brand advertisers have a few concerns about the medium.