VideoNuze Posts

AOL has released its 2015 U.S. State of the Video Industry report, finding, among other things, that 91% of media buyers surveyed said they’re now buying some of their online video ads programmatically, up from 53% in 2012. AOL found that 68% of advertisers have either brought programmatic video buying in-house or plan to next year. They’re doing so primarily to achieve greater buying efficiencies and because they’re skeptical of their agencies’ programmatic expertise.

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Magid has released new research commissioned by Watchwith finding that in-program native video ads have higher levels of unaided ad recall and improved brand metrics vs. traditional TV ads.

Watchwith recently unveiled the in-program native ad format which is an interactive overlay placed on a TV program streamed to a desktop, mobile device or connected TV. The ads can be contextually relevant to the underlying program itself using frame-by-frame metadata. Watchwith is positioning these ads as creating new, high-value inventory for TV networks to monetize their streamed TV programs.

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Looking to help publishers tap into high-CPM video advertising, 33Across has launched Real Video outstream and interstitial 15 and 30-second ad units, which can be run against text, image and other non-video inventory (see examples here). The units are sold programmatically and are 100% autoplay and viewable because they appear fully in view for a minimum of 5 seconds before a user is able to close and skip them.

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I'm pleased to present the 294th edition of the VideoNuze podcast with my weekly partner Colin Dixon of nScreenMedia.

Netflix reported its Q3 2015 earnings this week with overall subscriber growth pretty much in line with the company’s forecast. However, net U.S subscriber additions came in at 880K, which was 270K short of the 1.15 million forecast for Q3 this past July in the company’s Q2 earnings report.

It was the weakest Q3 U.S. subscriber growth since 2011, and continued a downward trend over the past 3 years (1.29 million in Q3 ’13, 980K in Q3 ’14). Netflix said gross subscriber additions in the U.S. were actually up year-over-year in Q3 ’15, and that the shortfall was due to “involuntary churn” caused by credit card companies issuing new chip-enabled cards with new account numbers which in turn caused a disruption in recurring billing.

While we have no reason to doubt the veracity of Netflix’s explanation, many analysts, including Colin and me, find it very murky. Credit card companies have pushed back on the rationale, and other recurring merchants have said they haven’t seen any similar problems. We share our concerns and raise the possibility that Netflix may be reaching the saturation point in the U.S. with slower growth ahead (Q4 results will go a long way to addressing this).

Listen now to learn more!

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The program and initial group of speakers for the Dec. 1st SHIFT // 2015 Programmatic Video & TV Ad Summit in NYC are now available on the SHIFT web site. The program includes 14 sessions that cover all angles of programmatic video & TV. The goal is to help attendees understand what’s driving programmatic video & TV’s rapid growth, benefit from the insights/lessons industry leaders have with programmatic video & TV and learn about the key remaining challenges.

Overall, SHIFT is focused on accelerating the growth and success of programmatic video & TV, to help everyone in the ecosystem. Our initial group of speakers come from leading advertisers, agencies, content providers/publishers and technology providers, including ABC, Altitude Digital, Bloomberg Digital, comScore, Havas Media, Hill Holliday, Horizon Media, MediaVest, Operative, Razorfish, Roku, SpotX, The Weather Company, Videology and Xaxis, with many others to be announced shortly.

There’s a ton of excitement around programmatic and the big impact it’s poised to have on video and TV advertising. Just yesterday I posted on eMarketer’s new forecast that 65%, or $7.4 billion, of online video ad spending will be transacted programmatically by 2017. But to reach that point, there needs to be a much clearer understanding of programmatic’s benefits and how to implement it. My goal is for SHIFT to meaningfully contribute to all of this.

Reminder that all early bird registrants will be entered to win a 50-inch Sharp Roku TV (value $450), generously provided by Roku. In addition, early bird registrants also save $100 off the regular rates. Further discounts are available on 5-packs and 10-packs. And, startups and students can register for the reduced $195 ticket (contact me for the code).

Learn more and register now!

Eyeview has integrated its video ad platform with WideOrbit’s WO Programmatic TV, so that Eyeview clients can programmatically buy and then measure and optimize ads on local broadcast TV. WO Programmatic TV, which is WideOrbit’s  supply-side platform, includes broadcasters covering 115 U.S. media markets, including 18 of the top 25, and 59% of U.S. households.

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According to eMarketer’s latest forecast, by 2017, programmatic will account for 65%, or $7.43 billion, of total online video ad spending of $11.4 billion.

eMarketer has also increased it forecast of programmatic’s share of online video spending in 2015 and 2016. For 2015, eMarketer is now estimating 39%, or $2.91 billion, of online video advertising will be done programmatically (vs. the prior forecast of 28% or $2.18 billion). For 2016, eMarketer is now estimating 56%, or $5.37 billion, of online video advertising will be done programmatically (vs. the prior forecast of 40% or $3.84 billion).

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