Tuesday, September 25, 2012

Top Category Spenders on Online Video Ads

The CPG category was the leading online video ad spender on the YuMe network in Q2 2012, according to data released in September 2012 by YuMe. The vertical accounted for almost 1 in 4 dollars spent on video ads, with the health and pharma category not far behind, at 19%. Beyond these top 2 spenders, there was a significant drop-off to the next tier: retail (11%); consumer electronics (9%); telecom (8%); and financial services (8%).

CPG’s position at the top of online video ad spending is nothing new. In 2011, the category accounted for 24% of all online video ad dollars spent on the YuMe network for the year, far ahead of health and pharma (16%), while in Q1 2012, it was also the top spender (25%), edging out health and pharma (23%).

Marketers Targeted 25-54-Year-Olds, Women

Data from the YuMe report indicates that marketers had a fairly clear age bracket target in mind for their online video ads in Q2. 22% of total request for proposal (RFP) volume for the quarter was for the 25-54 group, up from 16% in Q1. By comparison, the 18-49 group accounted for 12% of the RFP volume, only slightly changed from Q1 (11%).

Marketers also showed a preference for targeting women. Females aged 25-54 made up 16% of total RFP volume. And while spending on non-gender specific campaigns accounted for 74% of RFP volume in Q2, spending on females was far larger than on males (19% vs. 7%).

Breaking down the top female demographics requested by marketers, the study finds 25-54-year-olds were the most requested group (44% share of female-targeted RFPs), followed by the 18-49 (26%), 25-49 (11%) and 35-54 (11%) groups.

It was a different story for men, though. The top male demographic requested was the 18-49 bracket (39%), with the 18-34 group in second, at 20%. The 18-34 bracket only made up 4% of requests on the female end.


Men Had Higher Average Completion Rate

Despite women being more targeted than men, it was actually men who showed the higher propensity to watch a pre-roll video ad in Q2. The average pre-roll completion rate (regardless of ad length) for men was 71%, compared to women’s 67%. This is a reversal from Q1, when women had an average completion rate of 68%, compared to men’s 62%.

The overall completion rate for pre-rolls in Q2 was 69%, only slightly up from 68% in Q1. In Q2, pre-rolls accounted for 76% of ads served, down markedly from 84% in Q1. That difference was made up by YuMe Ads, which swelled from 9% of ads served to 13%, and mobile impressions, which grew from 4% to 7%. The remaining 3% of ads served were shared among banner (1%) and connected TV (2%) – both unchanged from Q1.

Completion Rates and Ad Length Negatively Correlated

Somewhat unsurprisingly, the study shows that the longer the video ad, the less likely a viewer would complete it. The average video completion rate for 15-second ads was 76%. That dropped to 65% for 30-second ads, and 40% for ads longer than 30 seconds. Still, each of those figures was an improvement from ad completion rates in Q1.

Overall, 55% of ads served in Q2 were 30 seconds in length, with the next-highest share belonging to 15-second ads (42%). Ads longer than 30 seconds made up only 3% of the mix, though that was up from 0.7% the previous quarter.

By age, the average video completion rate was highest among persons aged 35-64 (73%), ahead of persons aged 35-54 (72%), suggesting that those aged 55-64 have a higher completion rate than their younger counterparts.-Marketing Charts

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Tuesday, September 4, 2012

Primetime TV Hours Best for Digital Video Ad Completion (Report)


Slightly greater ad reach achieved during the weekend

Compared to TV advertisers, digital video advertisers have a much smaller window of opportunity for captivating viewers. For one, consumers still average a far greater number of minutes watching TV than digital video. March 2012 data from Nielsen found US media users averaged 4 hours and 47 minutes watching TV that month vs. roughly 10 minutes of online and mobile video, respectively.

Within this shortened timeframe, advertising opportunities account for a sliver of all time spent watching digital video&mash;just 1.5% of total time spent watching online video, according to comScore.

Share of Time Spent Watching Online Video Content vs. Ads by US Online Video Viewers, March 2012 (% of total)

Fortunately for digital video marketers, a VideoHub study offered insight into the times of day and days of week advertisers could find the most success reaching and resonating with video viewers.

According to the findings from the video operating system for brand marketers, publishers and agencies, the hours of 11am to 6pm each saw a slightly greater share of US digital video streams across the VideoHub network. This was unsurprising considering that during these typical work hours, mobile and desktop devices are the primary viewing screens for most consumers.

Share of US Digital Video Streaming, by Daypart, Q4 2011 & Q1 2012 (% of total)

Though advertisers may have a greater chance of reaching digital video viewers during work hours, users were less likely to view video ads to completion during this timeframe, nor were they apt to do so during the early morning hours. VideoHub saw the greatest indices for video ad completions online and on mobile devices from 9pm to 1am, pointing to greater video ad viewing during the late evening hours, when viewers may likely be streaming longer-form content such as primetime TV shows.

US Digital Video Ad Completions, by Daypart, Q1 2012 (index*)

Just as time of day affects digital video ad completion rate, day of week affects audience reach. For those digital video marketers hoping to maximize audience reach, Friday through Sunday could prove the best days to do so. Though both online and mobile video ads followed relatively similar daily reach patterns, mobile video ads saw a slightly greater percentage of total audience reach on the weekend, with Saturday (15.5%) slightly edging out Sunday (15.3%). Even still, the overall reach for both mobile and online video ads was relatively distributed across all seven days, painting a picture of consistency by digital video viewers.

Unique Reach of US Online and Mobile Video Ads, by Day of Week, Q1 2012 (% of total)

VideoHub noted these reach percentages shifted slightly toward the beginning of the week during March 2012, attributed to TV’s relaunch of season premiers during that month.-eMarketer

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