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BizReport : Advertising archives : April 02, 2010

Report: Online TV increases ad tolerance

When it comes to advertising every marketer wants to know the secret formula. What will make the consumer click? What will make them laugh, share or favorite a link? What will engage the consumer? Well, it looks like at least one answer is here: video. According to a new comScore report consumers are so interested in online video, specifically television, that they're more tolerant of ad messages within streams.

by Kristina Knight

The comScore report found that online television viewers were ">willing to watch between six and seven minutes of advertising for each hour of actual programming they watch. How much advertising is currently being shown along with online programming? Only about 4.

Tania Yuki, comScore director of online video and cross-platform product said, "While some analysts have suggested that the shift to online video reflects a consumer desire to view fewer ads, our research suggests that in many cases online TV viewers actually have a higher tolerance for advertising messages than they are currently receiving. This finding, of course, suggests there's advertising revenue being left on the table and that media companies have not yet extracted full value out of the online medium.

The study found that television viewers go online for ability to watch when and where they want (75%, 74%), ability to stop and start at their preference (70%) and because there was 'less interference' from commercials (67%).

So, before video ad networks start popping more spots into streams, remember that although consumers are willing to watch more ad content there will be a breaking point. Are businesses ready for more video content and ad access?

A new report from WebVisible shows that, while search is still a huge go-to ad point for small businesses many are also quickly adopting video. Their research shows that 19% of small businesses were using video on their websites by Q4 2009; that is up from only 5% in Q4 2008. Although video isn't taking over for small businesses it is interesting to note that small businesses are so quickly coming into an area where consumers have shown vast interest.

Tags: comScore, online advertising, online television, online video, video campaigns, viral marketing, WebVisible

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