Online video advertising is growing at a 40% rate with new innovations for large advertisers. Soon - the next big wave will be an onslaught of small/medium business video advertising growth - once new low-cost distribution methods are unleashed.
Video ads are not often thought of when one discusses online video but instead video news, video entertainment or TV shows.However, this is a growing segment of the marketplace and according to eMarketer, looking back at 2010 will show a 40% growth rate of online video advertisement which is the biggest growth rate of any advertising media, ever.Additionally, all agencies polled have said they intend to spend more on video advertising in the coming year.
According to BrightRoll CEO Tod Sacerdoti, “Online video underwent a cycle of massive innovation in 2009, and has matured into a highly effective platform for advertisers to connect with their target audiences online.”As a result, video advertising will develop in numerous and interesting ways.
Taking a step back about online advertising using video, one need only be reminded about what makes content free to viewers - it's advertising.If one does not want to pay for content, then viewing costs money.Content is not free.It costs significant dollars to create content and even more to move it around so it can be viewed.So, each of us is faced with the fact that advertising will probably always be the means of creating and moving content broadly to the masses.
To date, the movement of video advertising still has some barriers due to its requirement of ample size to view it and the need to also hear it.The Internet needed to innovate new methods of delivering the experience.In-video advertising most of us have seen is a video that plays full size either as "pre-roll" before the content plays, in the middle, or at the end.Pretty much now, most people expect to see an ad preceding valued content.A video overlay area has also been created and used by some, offering a banner ad at the bottom of videos as the content plays.It is the goal of marketers to target their audiences, selecting (through software) specific keywords or other demographic or geographic information for placement of their ads and so most of the time, we see that the ad is related to the content we are viewing.
There are also stand-alone video advertisements on web pages taking up the traditional ad space but usually only affordable by large advertisers.For smaller advertisers, new innovation must take place to move video faster and farther in packages that are bite-sized for sneak-peeks before committing to a full viewing.Video advertising opportunities are there for all to be had but watch for the lowering of cost to free for production and packaged distribution to reach target audiences that are affordable for everyone.