Video ad platform provider Videology has shared financial information including that it is on track to generate nearly $300 million in revenue in 2014, up from $135.5 million in 2012. In the past 12 months over 1,330 advertisers generated 17.7 billion video ad impressions on Videology's platform across all devices.
Extreme Reach has announced a single workflow solution to execute and measure TV and online/mobile video ad campaigns. The solution unifies traditionally disparate buying and operational functions, as advertisers seek to reach consumers across multiple screens. Extreme Reach asserted the new solution could reduce workflow by up to 50%.
In another sign of programmatic video advertising's rising popularity among brand advertisers, Adap.tv's newly released 2014 State of the Video Industry report has found that 60% of brands' video ad spending is now allocated to programmatic channels. That compares with 44% for ad networks and 38% for agencies and trading desks.
However, when it comes to premium video, brands said just 23% of ad spending was done programmatically, reflecting how important publisher direct sales remains for the most coveted ad inventory. In fact, 51% of publishers said they're making premium ad inventory available for sale programmatically, up just slightly from 49% in 2013. Still, private marketplaces continue to gain, with 32% of publishers running one in 2014, up from 20% in 2013.
According to a new eMarketer forecast, in 2014 YouTube will account for 18.9% of the U.S. online video ad market, down from 21.2% in 2013. Still, YouTube will see a healthy 39.2% year-over-year net video ad revenue increase, from $810 million in '13 to $1.13 billion in '14. eMarketer forecasts YouTube's U.S. video ad revenue to continue growing, by 34.2% in '15 to $1.51 billion and by a further 18.3% in '16 to $1.75 billion.
Vindico has released its Q2 '14 Adtricity rankings, with 45% of online video ad impressions receiving a grade of "A" or "B" up from 34% in its last rating in late 2013. "A" and "B" ratings are considered TV quality and are respectively defined by Vindico as "placed in high impact areas and excellently executed" and "often placed front and center, and generally well executed with minor deductions."
Video ad tech provider Mixpo has acquired ShopIgniter, a Portland, OR firm specializing in social and mobile advertising. Mixpo CEO Jeff Lanctot said the company concluded in a recent internal strategic review that in order for it to truly offer a best-in-class multiscreen video ad platform, it needed to improve its capabilities in mobile and social, which are increasingly intertwined.
Video ad platform Videology has released case studies for 3 quick service restaurant (QSR) clients demonstrating how targeted online video ad campaigns can complement TV advertising to drive increased offline sales.
The key results of the 3 case studies are as follows:
- A regional restaurant generated an 11% increase in customer transactions using a geo-targeted online video campaign involving a 5% higher spend.
- A large fast food chain drove an 8% increase in customer visits and 9% increase in spend per customer on higher-priced family meal menu items using demo and advanced targeting.
- A family restaurant saw an 8.5% overall lift in lunchtime traffic using online video ads and a 13.3% lift for consumers who saw the ads 3+ times.
September is here and that means summer 2014 is in the rear-view mirror. For online video and the broader video ecosystem, it was another busy few months, as viewers around the world continue to shift their consumption patterns, with many companies scrambling to keep pace. Below I've distilled my list of the 10 biggest online video stories of the summer - read on and let me know if I've missed something!
Discussion about programmatic buying is plentiful these days, with many calling it "the hottest sector of advertising right now." As brands and agencies continue testing programmatic options across different types of media, questions - and many opinions - remain about how digital and TV can play together in the programmatic space.
The reality is that both digital and TV could stand to take some cues from one another to improve efficiencies. It's critical to take a realistic perspective on how these media could best converge, easing the buying and selling processes and advancing the entire ad industry. Adopting such an approach will help marketers execute and measure cross-platform campaigns that, as Unilever's CMO Keith Weed remarked at Cannes, will allow them to "lead with brands and not channels."
How can TV buying and planning enhance digital, and vice versa?
Innovid has released results of a study that concludes placing video ads with relevant video content helps to boost ad engagement. Innovid analyzed 3 campaigns using its iRoll format with the Innovid Atom Verification solution. Innovid measured number of ad impressions, verified video content categories and engagement rates.
Specifically, the study compared a campaign's engagement rate for ads served with relevant video vs. the engagement rate for overall impressions. Engagement rates were 1.9x and 1.4x higher respectively, for 2 of the campaigns, travel and auto, when the ad vertical aligned with the content category. However for the 3rd campaign (for pharma) it was 2.3x higher than overall when running against sports video specifically.
For anyone who has ever endured seeing the same ad over and over again when watching an on-demand TV program, here's welcome news: ad tech provider BlackArrow has introduced a new audience-based frequency capping feature that enables advertisers to manage the number of times an ad is seen by a unique household, audience segment or device. The feature is part of the newest release of the BlackArrow Advanced Advertising System.
I'm pleased to present the 239th edition of the VideoNuze podcast with my weekly partner Colin Dixon of nScreenMedia.
Today we dig deeper into FreeWheel's Q2 '14 Video Monetization Report. Yesterday I briefly highlighted the data around TV Everywhere, and first we discuss that, with Colin adding data from other sources that tempers the picture a bit.
We're also both intrigued by the lengthening ad loads FreeWheel found and discuss viewers' tolerance levels for more ads. Finally we examine the distribution of viewing devices FreeWheel found, including a comparison to distribution in the UK and other data Colin shares.
Once again the report can be downloaded here.
Listen in to learn more!
Click here to listen to the podcast (21 minutes, 40 seconds)
TV Everywhere proponents will find a lot to like in FreeWheel's newly released Q2 2014 Video Monetization Report. Ad views on authenticated on demand long-form plus live-streaming content grew 619% vs. Q2 '13. Fully 38% of these content formats' ad views now come via authentication, up from just 8% a year ago.
Live content was up 201% year-over-year, with 81% of live ad views attributable to sports. Q2 included marquee events like World Cup, NBA and NHL playoffs. The share of live content's ad views vs. total ad views increased from 8.1% in Q2 '13 to 18.3% in Q2 '14.
Late last week, YuMe announced that it was implementing Nielsen's mobile Online Campaign Ratings (OCR) to support cross-screen video ad campaigns for clients Toyota and GSK. With Nielsen's mobile OCR, YuMe is able to measure audience segments by demographics, thereby improving its targeting capability across screens.
I'm pleased to present the 238th edition of the VideoNuze podcast with my weekly partner Colin Dixon of nScreenMedia.
This week we talk about the now fizzled Fox-Time Warner deal and the imperative of investing for the future. As I wrote, I think the deal's collapse is actually a positive outcome for Fox, as it was a risky bet to double down on the saturated and stressed pay-TV ecosystem. A more forward-looking, growth-oriented investment strategy would capitalize on changes being driven by online and mobile video.
Two of the biggest changes are among viewers and advertisers. Illustrating how younger viewers' attitudes are quickly evolving, we discuss new data showing YouTube stars are now more influential among American teens than Hollywood celebrities.
Meanwhile, underscoring how advertisers are now able to take their messages directly to consumers, we note that Nike dominated World Cup branded video viewership even though it wasn't even an official event partner. Another great example is Acura's creative sponsorship of Jerry Seinfeld's "Comedians in Cars Getting Coffee."
Last but not least, this week brought news that Netflix's subscription revenue for Q2 '14 edged out HBO's for the same period - an important milestone showing how OTT business models are coming of age.
Listen in to learn more!
Click here to listen to the podcast (18 minutes, 47 seconds)
European broadcast and entertainment giant RTL Group has bought a 65% stake in online video ad platform SpotXchange for $144 million, plus an earnout based on performance and an option to buy the remaining 35%. SpotXchange will continue to operate as an independent company, with CEO Mike Shehan saying that funds will be used to accelerate growth, particularly in Europe.
As devices continue to proliferate, reaching viewers across multiple screens is becoming an imperative for advertisers. At the recent Video Ad Summit, one of our sessions focused on how advertisers are beginning to do this and what challenges remain. Participants included Larry Adams (Mindshare), Josh Chasin (comScore), Rob Holmes (Comcast), Chuck Parker (Brightcove), Katie Seitz (Tremor), with moderator Jeff Lanctot (Mixpo).
There's a ton of activity in programmatic ad buying against online video, which is now starting to reach TV inventory as well. In a session at the recent Video Ad Summit, Chris Smith, VP, Emerging Media at Turn and John Holmes, Partner at Sq1, explained how they are beginning to automate TV ad buying using programmatic tools and based on users' digital behaviors.
Chris and John presented 3 short case studies demonstrating how this works with cable and satellite operators, along with some of the results. While they both admit it's still very early days for programmatic TV, it's clearly a trend that's starting to develop.
Here's a great example of how convoluted the media ecosystem has become: if you visit NYTimes.com today, you'll notice that upstart Vice News has taken over the masthead ad position. I check NYTimes.com every day and this is the first time I've noticed the Vice News ad though it's possible it has run previously. Vice News positions itself as "an international news organization created by and for a connected generation" and still carries a "beta" label.
The ad itself runs a series of protest scenes from what looks like Ukraine, with periodic statements interspersed like "You go to both sides of the front line," "Look beyond the headlines," "Follow the story wherever it leads" and "Don't just watch the news." Clicking "Watch Now" starts a loop with similar scenes and statements. There is a click through to the Vice News site on YouTube and ability to subscribe (the counter shows 588,220 subscribers so far).
A new survey by rich media ad provider Jivox has found that 75% of advertisers are running multi-screen ad campaigns, with 83% of the remainder planning to do so in 2014. The top reason for not currently running multi-screen campaigns, cited by 51% of respondents, was lack of technology. The survey included 130 executives at leading ad agencies.