VideoNuze Posts

I’m pleased to present the 399th edition of the VideoNuze podcast with my weekly partner Colin Dixon of nScreenMedia.

This week we’re joined by Ross McCray, co-founder and CEO of VideoAmp, a leading video ad tech platform. VideoAmp positions itself as the “TV operating system for advertising,” working primarily with the buy side to unify linear TV and online video advertising.

Ross shares his thoughts on a range of key industry issues including how the TV networks are increasing their competitiveness relative to Google and Facebook, how friction in the buy side is being reduced as agencies revamp their organizational structures, the role of 6-second ads in driving new value, how data from tens of millions of TV viewers is now helping create targeted segments, big trends for 2018 and much more.

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Connected TVs and set-top box delivered VOD together accounted for 49% of premium video ad views in Q3 ’17, according to FreeWheel’s newest Video Monetization Report. The combined share is roughly stable over past year. However, STB VOD grew 54% year-over-year (with its share now up to 20%), while connected TV gained 47% YOY (with its share now 29%).

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SpotX has revealed that ad spending on its platform for OTT inventory increased by 18x for the 12 months ending October 2017. SpotX defines OTT inventory as including broadcast-quality inventory from TV networks, pay-TV operators and other live, linear and VOD streaming services delivered via connected TVs, desktop and mobile. SpotX said the portion of ad budgets spent on OTT inventory increased from 8% in Oct. ’16 to 26% in Oct. ’17, with 30% expected by end of the year.

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Almost 75% of 18-34-year-olds use SVOD services at least once per week to watch movies and TV shows, with 40% watching daily, according to new research released by consulting firm Altman Vilandrie & Company. In addition, 40% of 18-34-year-olds use SVOD services daily. 78% of them have at least one SVOD subscription, with 55% having more than one.

These SVOD services are becoming the go-to source for younger viewers, with 77% of 18-24-year-olds using them first when they don’t know what they want to watch instead of broadcast or cable. Younger viewers rely most on peer recommendations for what to watch. Conversely, when viewers over 55 aren’t sure what to watch, 65% of them first turn to broadcast or cable.

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Our morning keynote interview at the SHIFT // Programmatic Video & TV Ad Summit was with Jon Stimmel, Chief Investment Officer, Universal McCann. Jon was interviewed by Matt Spiegel, Managing Director, Marketing and Technology Solutions, MediaLink about a range of topics including unified measurement, data fragmentation, changes to UM’s planning and investment process, integrated buying, CMOs’ outcome targets and much more.

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At our recent SHIFT // Programmatic Video & TV Ad Summit, one of our sessions focused on innovation in programmatic video and TV, with many topics discussed including header bidding, AI, brand safety, mobile, role of data, syndication and much more.

Panelists included Paul Bannister (EVP, CaféMedia), Dvir Doron (CMO/BDO, Cedato), Joe Lospalluto (Head of Sales, Americas, Smart), Chip Schenck (VP of Audience and Programmatic Solutions, Meredith), Frank Sinton (President and Founder, Beachfront Media) with Brian Ring (Principal Analyst, Ring Digital LLC) who moderated.

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I’m pleased to present the 398th edition of the VideoNuze podcast with my weekly partner Colin Dixon of nScreenMedia. Many thanks to Brightcove, our podcast sponsor, which, with SpotX and the IAB Tech Lab, shared a great presentation at last week’s SHIFT event about how server side ad insertion complements programmatic (session video is here).

First up on this week’s podcast, Colin shares his thoughts about why programming costs are likely to continue rising for pay-TV operators, counter to Charter’s CEO Tom Rutledge belief that they’ll moderate. Colin details his reasoning, which could portend higher subscriber bills and therefore more cord-cutting.

Next, we discuss Netflix’s surprised reaction to the popularity of downloading among its subscribers. I had a laugh out loud moment reading about it earlier this week, since Netflix was steadfastly against downloading until a year ago, when, having been leap-frogged by Amazon, it finally began offering the feature. Netflix’s bias against downloading has been really bizarre and showed a real disconnect in understanding its subscribers.  

Speaking of reversals, Facebook has had a change of heart about running pre-rolls and now plans to introduce them in Watch. Colin and I discuss why Facebook made the change and what it means for the industry.

Listen in to learn more!
 
Click here to listen to the podcast (21 minutes, 57 seconds)

Click here for previous podcasts.

Click here to add the podcast feed to your RSS reader.

The VideoNuze podcast is also available in iTunes...subscribe today!

One of the highlights of last week’s SHIFT // Programmatic Video & TV Ad Summit was a joint presentation from Brightcove (Mike Green, VP, Marketing and Business Development, Media), SpotX (Kevin Schaum, Sr. Director, Mobile and Connected TV) and the IAB Tech Lab (Amit Shetty,  Sr. Director, Video & Audio Products) on how server side ad insertion (SSAI) adds value to programmatic for both linear and on-demand advertising.

For those not familiar with SSAI (also known as “ad stitching”), this is a process for inserting ads into a piece of content (frequently long-form). There are multiple benefits of SSAI including better user experiences, reduced buffering, extended device reach, elimination of ad blocking and lower cost of deployment. Mike, Kevin and Amit elaborated on how these benefits are even more valuable for programmatic, especially in live and in skinny bundles, while also noting some of the key outstanding challenges.

The presentation clearly communicated how the industry needs to work together to evolve video advertising given new viewer behaviors, device proliferation and publishers’ pressures to fully monetize.

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