The growth and predominance of video advertising is so substantial that the industry recognizes it as a contributor to the decline of its long-standing competitor, TV.
This fast-paced evolution is largely attributed to 2 relatively recent developments:
If you’ve chosen to pause or nix video ads from your media mix, you might want to reconsider. Here’s why:
Video ads reach audiences that are inaccessible through TV
This includes people who have cancelled cable or satellite subscriptions (cord cutters) and people who have never subscribed at all (cord nevers). By 2018, 1 in 5 households will not subscribe to cable or satellite TV1.
Video ads drive brand performance
The dynamic (vs. static) nature of video makes it great for storytelling. Combine this with the data-driven precision of ad delivery, and you get results. Marketers report that video ads deliver lift for important KPIs, like brand recall (77% lift), familiarity (21% lift) and affinity (18% lift)2.
Video ads create response
Video ads drive action and engagement, which translates to conversions. Mobile devices are particularly effective at driving action. According to an IAB research study3, 44% of people are likely to visit a brand’s website after viewing a video ad a tablet, and 32% are likely to do the same on a smartphone.
Video advertising is no longer optional; it’s a fundamental component of any digital media campaign.
Download our new Video eBook to learn more about the current state of video advertising, and how you can create an A-List video campaign.
1 eMarketer, Americans Cutting the Cable TV Cord at an Increasing Pace; Dec. 2015 2 Yahoo!, Creative Best Practices: Video Ads [conducted by Nielsen and Hunter Qualitative]; May, 2016 3 IAB, Multiscreen Video Best Practices: Understanding the Next Wave of Video Ad Receptivity; Apr. 2016
Magnetic is a digital marketing and artificial intelligence company. We use machine learning and AI to deliver smarter, faster, and more effective advertising. Our powerful AI platform continuously analyzes the attributes of 320 million live user profiles alongside real-time inventory supply and bid opportunities to deliver highly performant and profitable campaigns for our clients.