Online video advertising is growing at a much faster pace than other ad mediums, such as television and other digital formats. This growth is largely due to the ongoing shift toward mobile viewing, with many of the world’s largest social media platforms prioritizing video content.
A recent study asked 300 media executives where they will be spending their ad dollars this year. Of the marketers surveyed, 65% said social media platforms like Facebook, Snapchat and Twitter would be their choice for digital video campaigns.
The Future of Digital Video
The study from Trusted Media Brands provided a few revealing insights into the minds of those working in digital advertising. One thing was made very clear from the survey results - digital video budgets are set to increase substantially. Nearly two-thirds (65%) of agency respondents and 42% of marketers plan to increase their digital video advertising spend over the next year.
Facebook has been investing heavily in live streaming and, according to the study, live streaming is likely to see increased investment from advertisers over the next year. Interestingly, branded content beat in-video banner ads and pre- and post-video ads as the advertising method most likely to see the largest investment over the next year. It also found short-form video to be the most popular and predicted the use of micro video to grow.
Facebook are making a concerted effort to become a giant in the video advertising market in the same way it has in mobile advertising. It launched Facebook Live earlier this year, and continues to add new features and functionality to the service. The most recent addition was allowing users access to doodles, which can be overlaid on videos.
We noted earlier that the study showed advertisers preferred branded content to pre- and post-video ads, and Facebook does seem to be searching for the right balance between ads and content. When it first launched Facebook Live, it began by paying publishers and celebrities to stream content because it did not have a mature ad-model for videos.
The company announced on Monday that it would begin testing mid-roll video ads inside live video broadcasts from top publishing partners. "We're running a small test where a group of publishers have the option to insert a short ad break in their Facebook Live videos," Facebook said in an e-mail. The ads are eligible to appear five minutes into a broadcast, and they last up to 15 seconds.
Pinterest Enter Video Advertising
Pinterest has become the latest social media company to enter the digital video and video advertising market. The online pinboard, which lets members "pin" images, videos and other objects to their boards, will now allow advertisers to buy promoted video pins.
Pinterest say brands can either make original content for the site, or repurpose ads from elsewhere. The web and mobile company now has over 100 million active users, and the number of video pins has risen 60% in the past year. Its video advertising ambitions became clear earlier this month when it launched its own native video player.
The video pins will be available to all advertisers in the US and UK who buy through Pinterest teams and will later be expanded to those buying on its self-serve platform.
Studies, like the one from Trusted Media Brands, indicate a growing appetite among consumers for video content. With social media platforms Facebook, YouTube, Twitter and Snapchat all competing to attract advertisers and content producers, it will be interesting to see how the video advertising market develops and grows over the coming months and years.
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