Trending Topics from IAB’s Digital Content NewFronts

Interactive Advertising Bureau -- Empowering the Media and Marketing Industries to Thrive in the Digital Economy

Last week in New York City, the Interactive Advertising Bureau (IAB) hosted the Digital Content NewFronts. Like the traditional UpFronts for TV, the event featured a series of presentations by major content companies to influence advertisers to invest in digital. With digital video consumption on the rise, the online advertising landscape is also rapidly changing to deliver relevant content across multiple screens.

At the NewFronts, IAB and market research institute GFK revealed their 2014 Original Digital Video Study, highlighting statistics about consumer viewing behavior in comparison to 2013. According to the study, 52 million American adults watched original digital video each month, a 15 percent increase from 45 million per month last year. The report also found 46 percent of the people surveyed viewed content on smartphones and 41 percent viewed it on tablets, double of those a year ago. 41 percent of those interviewed cited viewing flexibility as the main reason for watching digital content instead of traditional TV, which explains the rapid transition.

As a result, online video advertising has grown into a multibillion-dollar industry. Although television ad spend still dominates, the gap between TV and online ad spend is getting smaller, and IAB projects that advertisers planned to spend more in digital advertising in 2014 than they did in 2012. In addition, industry leaders discussed how video can deliver personalized experiences for individual consumers. New advertising technologies are being refined and ensuring that consumers receive the most relevant ads at the right time.

Publishers and platform providers are giving advertisers more options when it comes to targeting consumers with relevant ads. YouTube rolled out the Google Preferred advertising platform that allows advertisers to deliver pre-rolls during the top 5 percent of the most popular video content. Time Inc. and Yahoo announce that they are producing scripted long form shows at the NewFronts this year. This comes on the heels of an eMarketer study, which revealed that digital video ads that are played during long-form videos (20 minutes or more) had a 92 percent completion rate.

The future is looking bright for digital video. As online video is on track to eclipse $5 billion in 2014 ad spends, now is the time for marketers to consider how to deliver the most engaging, relevant video content to an increasingly digital audience.

 

How to Measure the Effectiveness of Online Video Ads

Video viewability is a benchmark that doesn’t tell us the true effectiveness and value of advertisements. Similar to how horsepower-hour was the basis for buying a car when it was easier to compare work animals to motor vehicles; the viewability measurement has become outdated. The viewability metric was originally used to estimate the number of people who saw or heard ads back in the 90’s. New technologies give marketers opportunities to reach consumers. Measuring the viewability of banner-ads, pre-roll video ads, and digital video requires marketers to use measurement tool unique to the medium.

How do we measure video effectiveness? Ad networks are beginning to use semantic search to measure the effectiveness of advertisements by understanding content and user intent. Here are some tools that marketers can use to successfully measure video effectiveness:

  • User verification
  • Centralized video player location on the webpage
  • Assess video completion rates and ad performance
  • Evaluate ad impressions
  • Verify quality of the audience and brand appropriateness

Viewability is an outdated measurement. Advertisers need to examine other core metrics to measure the effectiveness of online video ads. For more ways to measure video effectiveness, check out the full article by Kevin Van Lenten at http://www.mediapost.com/publications/article/221587/the-video-viewability-debate.html

What’s Trending with Search Marketers at the Search Insider Summit?

At the Search Insider Summit this week, marketing professionals gathered to discuss the opportunities and challenges of integrating search marketing into mobile and social media platforms. Our team was on-site to for a first hand look at what the industry was buzzing about.

Taking Mobile and Search to the Next Level

Mobile marketing is now a broad term used for any marketing activity reaching consumers through mobile devices. The summit took the conversation about mobile marketing one step further and focused on in-app advertising as an increasing amount of consumers are flocking to apps rather than mobile browsers. According to an April 2014 report published by mobile analytics company, Flurry, the average U.S. consumer spent 86 percent of their time on mobile devices in apps, an increase from 80 percent from 2013.

The most difficult part of mobile advertising is gathering accurate data and analytics, mainly because it’s difficult for marketers to track consumer behavior across different mobile devices. Apps make the job easier because all consumer engagement and solid data come from within the boundaries of the app. Additionally, MediaBrix found that in-app ads can yield 20 percent engagement and 2000 percent higher click-through.

Socializing Becomes Key

Industry leaders also urged marketers to prioritize the use of social platforms, as social media and marketing have the same ultimate goal: to build relationships. Word of mouth is golden and social media gives marketers a new distribution channel for fans to advocate on the company’s behalf.

In addition, Facebook, Instagram and other social media platforms host a massive audience. The time users spend on these sites and their respective apps is unmatched. By combining rich, accurate demographics and psychographics with a display network, social media proves to be an ideal destination for search marketers. A study by Marin Software found that there was a “multiplier effect” when integrating search and social. The study reveals, “Consumers clicking on an advertiser’s paid-search and social advertisement will double conversion rates, compared with those who only click on the former. Consumers who click on search and social ads also spend more. The ads generate four times more revenue per click than users who only click on a social ad.”

One challenge that marketers face with social advertising is figuring out how to cater to a diverse audience. However, by using the tremendous amount of consumer data available through social media, marketers can test out different strategies and invest more in the area that is most successful.

Looking Forward

The key takeaway from the Search Insider Summit was loud and clear: there is a wealth of opportunities for search marketers. As consumers increasingly prioritize being digitally connected to the world, the savviest marketers are already discussing how to optimize their campaigns for a better consumer experience in-app and on social.

Benefits of Online Advertising

Vertical Search Works is a search technology company that works with advertisers and publishers to create useful online advertising. By using a semantic search system that better comprehends the intent of users, Vertical Search Works provides its clients with more accurately targeted ad placement.

Technology and the Internet are now part of virtually every aspect of everyday life, and online advertising is now the leading medium for marketing campaigns. Here are some benefits of online advertising over advertising in traditional mediums:

1. Online advertising provides more value for each dollar spent
2. Ads run 24/7, which allows maximum exposure and full-time product visibility
3. Product information can be broadcast to remote locations as long as they are connected to the Internet
4. More information can be presented in a shorter period of time, which reduces the chances of the ad being switched off by the viewer
5. Online advertising provides way to better reach specific demographics
6. Web advertisements can be viewed by the consumer as many times as they wish