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BizReport : : September 26, 2016

Video ad budgets increasingly diversifying beyond pre-roll

Online video advertisers are buying more strategic and varied video solutions than ever before, according to new programmatic advertising firm, Collective.

by Helen Leggatt

As the online video marketing space matures, so video buyers are moving away from pre-roll and investing in more varied options, according to Collective's analysis of 100 key video buyers from 30 top London media agencies.

While video on demand still dominates video advertising budgets, marketers are increasingly moving budget into niche channels such as display and social. In 2015, 56% of respondents were buying both video and display. This year, that figure has jumped to 73%.

During the same period, television and video ad figures have decreased from 38% to 26%.

"Video budgets are increasingly being allocated from TV to digital teams. We have seen a shift in the market since launching both our native and YouTube video products in the last year," said Simon Stone, Collective's commercial director. "There has also been a huge increase in the number of display campaigns that include video assets."

Despite the shift towards alternative video solutions, the report found that the industry remains "heavily reliant" on television video content. More than half (54%) of those surveyed said they had used "made-for-digital" creative in less than a quarter of campaigns.

Tags: research, social, video advertising, video on demand

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