attitudes to digital video advertising
TRANSCRIPT
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Attitudes to Digital Video AdvertisingNick Reid, TubeMogul
AGENDA
Overview European Digital Advertising market
What is Driving Digital Video Advertising Adoption
Attitudes to Digital Video Advertising
Digital Video Supply and Demand
Cross-Screen: TV and Digital Video
Future of Digital Video Advertising
Key Takeaways
THE EUROPEAN DIGITAL ADVERTISING MARKET
THE VALUE OF DIGITAL ADVERTISING IN 2015
€36.4bn
Source: AdEx Benchmark 2015, IAB Europe and IHS
STRONG GROWTH OF DIGITAL VIDEO AD MARKET
0
0.5
1
1.5
2
2.5
2014 2015
€2.3bn
€1.7bn
+35.8%
Source: AdEx Benchmark 2015, IAB Europe and IHS
Europe: digital video advertising spend 2015 (€bn)
GROWING IMPACT OF PROGRAMMATIC VIDEO
0
100
200
300
400
500
600
2013 2014 2015
Europe: programmatic video advertising 2015 (€bn)
+94.9%
+102.7%
Source: European Programmatic Market Sizing 2015, IAB Europe and IHS
€0.13bn
€0.28bn
€0.54bn
WHAT’S DRIVING DIGITAL VIDEO ADVERTISING ADOPTION
EUROPEAN RESEARCHMETHODOLOGY & PARTICIPANTS
Global remit (80)
Pan-European remit (108)
Local remit (456)
Advertisers 94Agencies 310
Publishers 240
31 markets across Europe
42 participants in Italy
DIGITAL VIDEO ADVERTISING IS MAINSTREAM
What percentage of your company’s / clients' digital advertising investment is invested in digital video advertising? / What percentage of your company’s digital advertising revenue is gained via digital video advertising inventory?
92% of advertisers
90% of agencies
92% of publishers
DESKTOP DIGITAL VIDEO MAINSTREAM, MOBILE CATCHING UP
What percentage of your / your clients' digital video advertising budget / revenue is allocated to each of the following devices?
27% of advertisers say that more than two thirds of their digital video ad spend are allocated to desktop
35% of agencies
37% of publishers
PRE-ROLL DOMINATES DIGITAL VIDEO INVESTMENT AND REVENUES
What percentage of your / your clients' digital video advertising budget / revenue is allocated to each of the following digital video advertising format types?
30% of advertisers say that more than two thirds of their digital video ad budgets are allocated to Pre-Roll (in-stream formats)
45% of agencies
64% of publishers
ATTITUDES TOWARDS DIGITAL VIDEO ADVERTISING
DIGITAL VIDEO USED TO BUILD BRAND AWARENESS
78% of advertisers aim to uplift brand awareness by undertaking digital video advertising compared to just 33% aiming to uplift direct response behaviours
84% of agencies and aim to uplift brand awareness by undertaking digital video advertising compared to just 13% aiming to uplift direct response behaviours
Which of the following advertising metrics do you aim to uplift by undertaking digital video advertising?
MOVING AWAY FROM ADSERVING METRICS
67% of Advertisers/Agencies are using brand awareness to evaluate digital video campaigns
The KPI’s of Video and Brand are changing
Ask yourself…
Which advertising effectiveness metrics do you use / offer clients to evaluate your digital video advertising?
DIGITAL VIDEO SUPPLY AND AVAILABILITY
DIGITAL VIDEO INVENTORY STILL BEING ESTABLISHED
How much of your advertising inventory is digital video (both in-stream,, in-banner and out-stream)?
Nearly a third of publishers state that less than 20% of their advertising inventory is digital video
EVOLUTION OF TRADING DIGITAL VIDEO
34%
of publishers gain more than 80% of their digital video advertising revenues from
direct sales
of publishers gain more than 80% of their digital video advertising revenues from
exchanges and networks
11%
Direct Exchange / network
What percentage of your digital video advertising revenue is gained through direct sales and what percentage is gained through exchanges and networks?
NEWS AND SPORT MOST POPULAR CONTENT FOR DIGITAL VIDEO ADVERTISING
Publisher site content that digital video advertising inventory appears on
77%
67%61%
57% 57% 55%51%
48% 46%40%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
News Sport Fashion / style Business Food /
cooking
Celebrity
news
Home /
gardening /
lifestyle
Politics Finance Weather
Which site content does your digital video advertising inventory appear on?
CROSS-SCREEN: TV AND DIGITAL VIDEO
TV AND VIDEO BEING PLANNED IN CONJUNCTION
82% of advertisers
and
88% of agencies plan their digital video advertising
campaigns in conjunction with their
TV advertising campaigns
What percentage of your / your clients' digital video advertising campaigns are planned as a cross-screen campaign in conjunction with TV advertising?
FUTURE OF DIGITAL VIDEO ADVERTISING
INVESTMENT IN DIGITAL VIDEO ADVERTISING IS SET TO INCREASE
How do you see your company's digital video advertising investment/ revenue evolving over the next 12 months?
xKEY TAKE AWAYS
x
Digital video advertising essential component of media plan
Digital video provides key opportunity for brand advertisers, and driving brand metrics
Digital video is being planned in conjunction with TV, as audience segments
In-stream dominates whilst publishers try to push other formats
Inventory pressure remains between Supply and Demand
Programmatic video is grows, the way in which it is planned and bought is shifting
