Digital Ad Spend Up, Better Metrics Needed

StreamingVideoBrands and agencies will increase spending on digital video advertising by 25% over the next 12 months, according to a new report from Casale Media. If accurate, that will amount to about 23.8% of total online ad budgets, it estimates.

Casale’s report, however, notes that such growth will require several factors -- chief among them the removal of operational barriers.

Indeed, more than one-third of those surveyed in the Casale Media study found the planning --38% -- creative -– 40% -- and execution -- 35% -- phases to be difficult.

"When it comes to video, many online advertisers still perceive it as the Wild West because it continues to evolve and grow, but without giving publishers and advertisers enough control," said Joe Casale, CEO of Casale Media.

advertisement

advertisement

Separately, a recent study by eMarketer found that 85% of advertisers and ad buyers are more likely to book video ads if the planning, creative and execution of video ad campaigns are more simple and painless.

Casale also calls for increased “awareness” of video’s effectiveness. Marketers and agencies already view digital video advertising as one of the most effective ways to realize brand lift. A full 80% of the survey's respondents use video ads to increase awareness of traditional and new brands, products and/or services.

Finally, Casale notes that future video ad growth depends on better ad measurement and return on investment. The most common responses to why marketers are not using digital video advertising more are because it is too difficult to measure ROI, at 40%, and there is not enough ROI to justify increasing spend, at 38%.

The report, "Digital Video Advertising: Removing Barriers Equals Greater Opportunities," was based on an October 2011 research study conducted by Advertiser Perceptions for Casale Media, which surveyed roughly 150 media buyers, managers and planners at leading advertisers and agencies in the United States.

Next story loading loading..