The multinational mass media corporation AOL has released a new survey: a comprehensive overview of this year’s explosive growth in the video advertising industry.

It reveals that the mass consumer move towards the mobile platform has led to a huge increase in business focus towards video and programmatic advertising.

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We condensed the survey and picked out some highlights.

 

The five key points that the survey chose were:

  1. Marketers are investing more money into digital video and reprioritizing traditional advertising budgets.
  2. Mobile and video are converging.
  3. Programmatic is everywhere. For the first time, sellers are catching up with buyers.
  4. Programmatic TV is gaining popularity due to audience fragmentation.
  5. Branded video is taking hold.

 

Some figures:

‘Digital ad spend in the US is projected to total more than $58 billion in 2015, up from just under $50 billion in 2014’

US digital video ad spending is also said to have grown from last year by 42% to a total of $7.46 billion. This is the sixth consecutive year where digital video ad spend has grown, and there are no signs of it slowing up.

9/10 buyers are reallocating an average of 10% of their television budgets.

“Mobile is the first screen; that’s where you have to start… Your head’s in the sand if you don’t think it is.”

Melissa Keller, EVP of Channel Investments, Havas

Bolstered by faster network speeds and the availability of more screen sizes, the growth of mobile video content consumption has been meteoric. Studies have shown that smartphone video viewers are 4x as more likely to watch video on the device that’s “most convenient” and “easily accessible.”

This graph shows the massive increase in mobile digital video ad spend in 2015.

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The survey revealed the common challenges of mobile video advertising are attribution/measurement, cross-device targeting, mobile optimisation, scale and in-demo targeting.

Programmatic Video:

“Brands want to come into an environment they’re comfortable and familiar with. They want transparency, brand safety and audience guarantees, as well as a direct relationship with a publisher.”

Mark Connon, EVP, Platform, Millennial Media

Branded video – which is a blend of advertising and branded video content – has risen hugely in popularity throughout 2015.

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Common challenges with investing in branded video included price/cost, ROI, content quality, scale.

“Consumers expect video content on any device at any time of day”