Mid-Roll Digital Video Ads Rise

Mid-roll advertisements and total impressions are rising, but pre-roll ads are still dominant. A study by Ooyala says mid-roll video ads rose to a 24% share from in April 2016 from a 19% share in February 2015. Pre-roll digital video ads still dominate — but have dropped in share of total digital video ads — to 60% from 75% in February 2015.

Digital To Overtake TV Ad Spending This Year

The shift in ad industry market share from so-called “analogue” media to “digital” media is accelerating, and the latter is now expected to surpass television’s historically dominant share of U.S. ad spending by the end of 2016 — months sooner than expected, according to the statsmasters at eMarketer.

Digital Ad Backlash Helps Broadcast, Cable

Advertisers move money back to broadcast and cable, concerned about the lack of results from online efforts. While the web’s still gaining, it’s at a lower rate.

Report: More Auto Ad Dollars Going To Digital

Released today, Borrell Associates’ annual automotive advertising assessment finds that “dealers have begun an even stronger scale-back of expenditures in broadcast and print media,” as “dealers’ love affair with digital media is thinning the traditional-media pack.” Dealership consolidation and stagnation are also major factors in an auto advertising category expected to be $37.5 billion this year.

 

TV Quality In Devices Could Mean Ad Gains

A study says getting a high-quality “TV-like” experience on all new digital video devices is of major importance to consumers — which can translate into big advertising revenue gains. Overall, 86% of viewers say it is “very or extremely important” to get a “TV-like” quality experience every time they watch, and on every screen they use, according to a Verizon Digital Media Services’ report.

Big Media Needs To Embrace Digital Shift

Big media companies like NBCUniversal, Time Warner, Walt Disney and 21st Century Fox can fight for a healthy cut of the action as money shifts to digital platforms. They will have to embrace that shift, not resist it, and be willing to create edgy business models, not just edgy programming.

TVN'S FRONT OFFICE BY MARY COLLINS

Omniplatform Media Buys Are Complicated

Station sales staffs today face the challenge of delivering the traditional type of buyer connection with viewers even when those viewers are consuming video across multiple platforms. Here are suggestions offered at MFM’s Media Finance Forum 2016.

Traditional Ads Flat, Local Digital To Grow 20%

Traditional local advertising will remain flat in the next five years — with local digital advertising experiencing continued double-digit percentage compounded growth. BIA/Kelsey says overall local advertising will grow at a compounded annual growth rate of 4.2% to $172.2 million by 2020. For 2016, the media research/consultancy now estimates local TV will hit $21.9 billion (it had estimated $22.3 billion in February).

Magna Global Pours $250M Into YouTube Ads

Interpublic Group’s Magna Global has struck a multi-year deal with YouTube to invest $250 million into digital video. It’s YouTube’s largest upfront deal ever for its premium Google Preferred program. Over the next three years, Magna Global will get “competitive rates” on Google Preferred’s unskippable ad inventory as well as access to measurement tools and top creators.

Digital Video Ad Spend Soars At TV’s Expense

Ad spending on original digital — both desktop and mobile — programming has more than doubled since 2014, and those budgets have come primarily out of television, according to findings of a survey of advertiser and agency executives released this morning by the Interactive Advertising Bureau.

How Fraud Is Affecting Digital Dollars

Big advertisers who moved money online shift it back to TV during first quarter over concerns that up to half of the traffic is fraudulent. Also, the digital growth pace slows in March.

Digital Ad Rev Hit $60B, Mobile Up 66% In ’15

The IAB and PwC found U.S. digital ad revenue reached $60 billion in 2015. Mobile in particular saw a big boost, growing 66% from $13 billion in 2014 to $21 billion in 2015.

TVN FOCUS ON SPOT SALES

Auto Ads Driving Steadily Toward Digital

Auto advertising continues to move online with Standard Media Index reporting that digital media’s share of the category rose 20% in 2015 while spot TV’s slice was down 8%. A large percentage of that digital money is going to auto verticals and a few broadcast groups have opted for an “if-you-can’t-beat-’em-join-’em” approach and moved into that market as well.

Digital’s Big Challenge In 2016: Accountability

A number of analysts have forecast 2016 will be the year digital ad spending surpasses television to become the No. 1 medium. But accountability remains a problem for the Internet. While many advertisers are moving their dollars online, there are serious concerns dogging the medium, including worries about ad fraud, ad blocking and viewability. Martin Utreras, an analyst at eMarketer, talks about how the problems are being addressed, what can be improved and what changes to expect this year.

Digital Ad Spend Hits Record $15B In 3Q

There’s a new benchmark for Internet ad spend according to IAB and PwC data: $15 billion in the third quarter. That’s up 23% from the same quarter last year when it was a record $12.2 billion.

Digital Ad Spend Seen Soon Passing TV

TV will account for 38.4% of the $503 billion global ad market this year and will drop to 38% of the market in 2016, according to a forecast by Interpublic Group’s Magna Global. In the meantime, digital media will continue its meteoric rise. Digital ad spending will grow 17.2% this year, to nearly $160 billion, and 13.5% in 2016, and is expected to overtake TV as the biggest advertising category by the end of 2017, the forecast says.

Botnet Siphoning Billions From Digital Ads

A newly discovered botnet nicknamed Xindi could cost advertisers nearly $3 billion by the end of 2016, according to a report released today by ad-fraud prevention firm Pixalate.

Outlook For Auto Advertising Accelerating

Car sales hit a 14-year high, prompting automakers to hike ad spending to entice buyers into their showrooms. However, those ad dollars are increasingly going to online media.

Believe The Hype: TV Ad Dollars Sputter

Another forecaster predicts digital will outdraw TV in ad spending next year. Credit the growth of online, yes, but also the weakening of television, particularly broadcast.

15-Sec. Digital Ads Vie With TV For Political $

Political campaigns have turned to short, attention-grabbing digital ads for mobile devices that are sharper and more creative in presenting a political message.

Brands Integrate Video Into Email

Facebook last week began rolling out new video and mobile-friendly features for profile pages. But video isn’t just a useful advertising tool for companies that have the resources to compete for brands with advertising budgets big enough to afford a $4 million dollar 30-second commercial during the Super Bowl. Videos are useful for companies of any size because they can be produced with big budgets or done more simply with animated GIFS and user-generated content.

Forecast: Online Will Pass TV By 2017

TV spending will decline by 3% annually as digital grows 12%, becoming the No. 1 medium in two years. Credit digital’s precision targeting and TV’s shrinking viewership.

Autos Boost Digital Spend, Up Site Buys

Auto companies are driving digital spend this year, with Ford in the lead. The six leading auto companies by volume have increased their online advertising activities since January, according to MediaRadar, a New York-based advertising sales consultancy.

Digital Seen Cutting Into TV’s Political Ad Haul

Broadcast political TV advertising will again grow for the 2015-2016 political season, which includes the presidential race. But in years to come, digital platforms will eat into its political advertising share, according to new research from Borrell Associates.

STANDARD MEDIA INDEX RESEARCH

Digital Media Siphons $1 Billion From TV

Over the course of the 2014-15 broadcast season, digital media siphoned off more than $1 billion from the national TV market, with the vast majority of those dollars being drained out of the Big Four networks. According to new research from Standard Media Index, about $1.1 billion in national TV spend was rerouted to digital, of which a staggering 87%, or $960 million, was plundered from broadcast.

Agencies Want To Reduce Online Ad Partners

The online ad market is vast and confusing. Thousands of companies are now vying for the attention of major agencies with the hope they can attract a portion of their clients’ growing digital ad budgets. Agencies are now attempting to streamline the number of digital ad partners they work with as a result.

TECHNOLOGY BUSINESS RESEARCH DATA

Ad Tech Rev To Grow To $100 Billion By 2020

Advertising technology revenue is set to grow over 300% by 2020 — up from $30 billion in 2015 to $100 billion by 2020 — according to a new Ad Tech Vendor Benchmark report from Technology Business Research, a technology market research and consulting firm. The growth will be spurred by advertisers’ continued shift toward digital formats and the rise of self-serve platform offerings.

Cox Media, TubeMogul Team For Vid Ad Sales

Cox Media and TubeMogul have entered a partnership that will enable ad buyers to purchase linear TV ads and Web video ads via the same digital interface. At the same time, Cox’s local ads sales force will be able to sell local TV ads along with Web video ad space from a variety of sites, such as YouTube, Crackle and MLB.com.

Hershey Plans To Triple Digital Ad Spending

Hershey Co. is the latest food marketer to jump on the digital ad bandwagon, with plans to triple spending on the medium. Plans include dedicating 40% of the digital spending to mobile. The boost would put the marketer’s digital spend at about 20% of all media spending.

Super Bowl Becomes Top Day For Digital Ads

As Super Bowl audiences demand more second-screen content and as online ad opportunities expand, brands are aggressively growing their presence beyond merely multimillion-dollar TV spots. It’s about so much more than simply posting longer versions of an ad online, with marketers investing heavily in full-blown digital campaigns that run during the Big Game.

STANDARD MEDIA INDEX DATA

Digital Up, TV Dips In 4Q Media Spending

A marked slowdown in the last quarter of 2014 occurred in the U.S. advertising market. Standard Media Index says the market was flat in the fourth quarter of 2014 versus the same period in 2013. Only digital media spending witnessed a rise, up 15% versus the same time period a year ago to $7.6 billion. More traditional TV media moved in the other direction. National broadcast TV spending was down 2% to $4.8 billion, and cable TV gave up 1.6% to $6.8 billion during the period.

Twitter Starts Selling Ads In Russia

IAB DATA

As Other Spending Slows, Digital Surges

The category hits an all-time high of $12.4 billion during the third quarter, balancing out slowdowns for traditional media including TV and radio. Digital is up 17% over the 2013 period.

Bold Prediction: Digital Passes TV In 2016

A new forecast from Forrester Research says ad dollars will hit $77.01 billion that year and balloon to $103.4 billion by 2019, leaving television well behind despite its continued growth. Other recent forecasts have predicted online will overtake digital, but they put that date further away.

FORRESTER RESEARCH

Mobile Will Push Digital Ads Past TV By 2019

The “when” depends on which research you adhere to, but by nearly all accounts, digital advertising is going to overtake TV in the next five years. Forrester Research today prognosticated that interactive spending will achieve a 12% compound annual growth rate and total $103 billion by 2019. Compared to digital, television will grow at a slower rate and rise to $85.8 billion during the same time, Forrester said.

Allstate Moving Some TV Dollars To Digital

Insurance giant Allstate Corp. will shift 10% of its TV dollars to online video buy 2105, said Lisa Cochrane, Allstate’s SVP of marketing. “We are following people’s media consumption.”

MAGNA GLOBAL FORECAST

Digital Ad Rev To Top TV In U.S. By 2017

In a “POV” piece written this week by top Magna forecaster Vincent Letang, he writes that digital will outgrow TV a year earlier in the U.S. than the firm initially thought — “mostly because Magna downgraded the long-term television advertising projection based on poor performance of television this year in terms of viewing and ad sales.”

People Spending Much More Time With Digital

The time most people spend with traditional media is plummeting, while they’re spending more and more time with new media. One exception to that is out of home advertising. Despite the rise of digital media, time spent with out of home media is actually holding up quite well. It’s seeing slight gains, compared to steep declines seen by other traditional media, such as TV and radio.

Q&A WITH JON SWALLEN

Digital Shift Changing The Media Economy

The second-quarter ad revenue numbers from Kantar Media reflected a pullback in ad spending from first quarter, when many advertisers dropped money on the Olympics. They reigned in spending during second quarter to make up for those big outlays. Such volatile changes could become the norm for the media economy in the long term as advertisers increasingly move their money to digital. Jon Swallen, chief research officer at Kantar Media talks about the current health of the ad economy.

Weather Co. Restructures Ad Sales Team