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Interactive In-Stream Video Ads Growing

by MarketingCharts staff
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According to results of a December survey from Break Media, though, advertisers remain strongly wedded to pre-roll, preferring it by a 3:1 margin over the next most favored format, in-banner. Data from the study indicates that 62% of advertisers used pre-roll formats in 2011, while 63% plan use in 2012. Other formats slated for use by more advertisers in 2012 than this year include mobile (55% in 2012 vs. 39% in 2011), rich media overlay (45% vs. 38%), expandable banner (43% vs. 37%), and ad selector (33% vs. 18%).

Interactive CTRs Perform Better

According to AdoTube, the average CTR for a branded overlay ad was 0.49%, more than 6 times higher than the Doubleclick 2010 Flash benchmark (0.08%) used. Interactive overlays had an average CTR of 1.47%, compared to the rich media benchmark of 0.06%.

Overall, the average CTR for ads on the network in Q3 was 2.1%, down slightly from the previous quarter, but up from less than 1.5% in Q3 2010.

Government, Food, CPG Step Up Advertising

AdoTube found significant growth in government advertising, which increased 152% on average for the year-to-date over 2010, propelled by ads placed by or on behalf of 2012 presidential candidates. This year also saw a 212% increase in food service and a 61% increase in CPG ads served over the same time period. By contrast, the network experienced a significant decline in spend from the mobile and retail sectors.

Online Video Drives Retailers’ Success

According to analysis from Liveclicker released in December 2011, the average retailer saw the number of year-over-year video views increase by 61% in November 2011. As of Cyber Monday, the average e-commerce video generated $2,026 in revenue, with an average of $3.74 per play. Sub-30 second videos demonstrated the highest conversion rates, with 4.54% of viewers making a purchase immediately after watching. Following this group, videos between 30 seconds and 2 minutes in length recorded an average conversion rate of 3.58%. Videos longer than 2 minutes achieved an average conversion rate of 2.91%.

YouTube and TV Ads Work Better Together

Meanwhile, according to analysis released in December, among viewers exposed to a 15-second pre-roll video ad spot on both YouTube and TV combined, YouTube and Ipsos found 2 times better recall than on TV alone. Similarly, recall for those exposed to a 30-second spot on YouTube and TV was 1.5 better. 5 out of 6 advertisers saw ad recognition lift on the 15-second spot for YouTube + TV over TV alone, and 4 out of 6 advertisers saw life on the 3-second spot.

About the Data: AdoTube’s index is the result of analysis on 6.5 billion impressions served across the AdoTube Network. LiveClicker’s analysis is based on a sample of 7,500 videos across 25 leading e-commerce sites. Break Media’s study findings are derived from an online survey completed by 320 persons working for advertising agencies and the companies that hire them (i.e. marketers) in the United States and Canada. Respondents were solicited from the Advertiser Perceptions Inc. proprietary database of media decision makers and offered a cash incentive for survey completion.