Record political spending in the run-up to the 2012 Presidential Election could lead to a situation where online video advertising demand outstrips supply, according to a new report.
Mixpo, a video ad tech supplier, predicts that 30 percent of the demand for political ads in 11 states will go unmet, and that demand across the 11 states will outpace supply by a total of 80 million impressions in October.
The result would be a boon to the likes of YouTube, Hulu and video ad networks because the increased demand will cause prices to go up.
“Anecdotally we know from our partners and the advertisers we work with that prices are obviously going to go up,” Anupam Gupta, CEO of Mixpo, tells Ad Age.
“What we also hear is that the smarter [advertisers] are thinking about locking down the right inventory sources now, so they’re not in a situation where the inventory’s not available and the prices are so high that it doesn’t make sense for them,” he said.
Speaking for the supply side, Google’s Rob Saliterman said: “We’re absolutely certain that inventory will be incredibly tight in certain states, and right now there are certain states where there is virtually no [reserve] inventory left in particular categories.”