Video Advertising’s Future According to VideoNuze Annual Summit
By Sandy Drayton |
How well are advertisers managing the rise of advanced TV? Are they keeping pace with their audiences as those viewers cast their eyes beyond the living room for more places to watch content on their terms and timelines?
Those were some of the questions taken up at VideoNuze’s 9th Annual Video Ad Summit. The daylong event looked at where today’s marketers fit in a video ad landscape redrawn by OTT, CTV, addressable and direct-to-consumer and assessed how those innovations affect strategies for planning, budgeting and monetizing video. Here are some of the takeaways for today’s advertisers.
Go For the Growth
For all the opportunities advanced TV offers marketers, there’s an equal measure of confusion around the alphabet soup of terminology, the true size of the market and a means of measurement that accurately quantifies ROI for both linear and digital arenas.
Acknowledging that it may be years before those issues are fully resolved, our own James Shears, VP of Advanced Advertising, advised marketers not to get too hung up on them. Instead, citing ER’s Q4 and Full Year 2018 Video Benchmarks report showing a 193% increase in CTV’s share of ad impressions, James argued for ad investments in OTT that better reflect viewers’ cross-screen behaviors and the rapid convergence of TV and digital.
Make Bigger Programmatic Plays
For advertisers, entre to that true cross-screen video world will require new levels of automation, according to eMarketer. In a presentation focused on automation’s role in the future of video advertising, Principal Analyst Lauren Fisher said advertisers have made good progress to date, with programmatic accounting for 36% of the $106.84 billion combined digital video and TV ad spend.
But VideoNuze Editor Will Richmond and Colin Dixon, of nScreen Video, said in a podcast following the summit that those percentage mostly include large brands and direct-to-consumer companies while advertisers in the middle have yet to fully embrace automation. And Fisher noted that TV significantly lags digital in programmatic uptake. Advertisers that work to address these imbalances will do much to help the industry as a whole stay in step with how today’s consumers are blurring the lines between linear and digital.
Give Up Budget Protections
What’s blurry to consumers, however, still exist as lines in the sand for too many advertisers, according to Danielle DeLauro, EVP at the Video Advertising Bureau. She decried the tendencies of some advertisers to protect legacy TV or digital budgets rather than let market realities guide dollar allocations. In a converged world, she noted, it’s more about how the investments support the brand’s campaign objectives rather than how much goes to linear vs how much to digital.
The aim of advertising isn’t changing, she maintained, even if the paths for reaching those aims are taking new directions. It’s still about achieving reach and targeting the right audiences. We agree. In today’s world, that means building bridges between the old world of traditional TV and the emerging one of digital, with reliable partners to help manage the creative asset workflows of a cross screen reality.