Monday, December 17, 2012

77% of Brands Aren't Using Online Video Ads [study]

A new study from Kantar Media has found that 77 percent of brands are using national TV advertising exclusively.

Only 23 percent of the brands surveyed were using online video. About 12 percent of brands reported that they were using both online video and national TV advertising. While another 11 percent said they were using online video advertising only.

Kantar Media says that the restaurant and automotive industries were the most likely to use both advertising video platforms in the month of October.

43 percent of the restaurant industry was using both online and national TV video ads. Kantar Media also found that 30 percent of automotive firms were using the two-platform video advertising method.

The study reported that Internet communications and content companies were the most likely to use an online-only method for video advertising. Kantar says that 39 percent of Internet content and communications companies are using online video advertising exclusively.

Resort and travel companies were the second most likely industry to use an online-only video advertising strategy. According to the study, 28 percent of resort and travel companies were using an online-only method for video advertising.

The reports of companies moving to online video advertising exclusively come as consumers continue to view more online video. According to a recent study from comScore, 11 billion online video ads were seen in October.

ComScore reported last November that over 88 percent of online users watched at least one online video in October. According to the firm's report, 22 percent of online video seen during the month were ads.

Another report from Adap.TV found that national television advertising budgets were being reduced in an effort to bring more funding to the online ad space. According to Adap.TV's report 34 percent of advertisers surveyed were reducing broadcast advertising budgets to make room for online video ad spending.

Kantar Media came up with its statistics by surveying more than 4,100 brands' advertisements. The study was commissioned in the lead-up to the firm's release of its new Online Video Measurement service.-ClickZ

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