Skip to main content

Demand for Next-Generation Video Advertising

The world of advertising is changing dramatically with shifts in consumer behavior and growing online and pay TV video-on-demand (VOD) services, according to the latest market study by In-Stat.

These shifts among others are creating a growing market for advanced video advertising, which In-Stat forecasts will approach $5 billion by 2013.

Online VoD services, such as Hulu, CBS Interactive and ABC.com, are already driving growing advanced advertising revenue across their platforms. During the next five years, Pay-TV approaches to advanced advertising tied to popular TV shows, videos, movies and music content will come into their own.

"The online VoD industry has the early lead for delivering Advanced Video Advertising, but the Pay-TV industry is moving quickly and will surpass broadband VOD by 2012," says Gerry Kaufhold, In-Stat analyst.

Because Pay-TV services deliver qualified, repeatable audiences, we can expect them to be able to negotiate higher Cost per Thousand (CPM) fees than online services.

Advanced Advertising is the next-generation approach that permits advertisers to dramatically improve their targeting, reporting, and overall return on investment (ROI.)

In-Stat's market study found the following:

- TV Everywhere initiatives will extend ad-supported Pay-TV VOD services to online and mobile users.

- Among the key companies enabling advanced video advertising are Adobe, Arris, Brightcove, Cisco, Motorola, Rovi, Sigma Systems, and thePlatform.

- The Cable TV industry's Canoe Ventures is working to help Pay-TV operators create large, plan-able audiences that can be cost-effectively sold directly to the large national advertisers.

Popular posts from this blog

Global Rise of Domestic Payment Ecosystems

Alternative Payment Methods (APMs) – comprising digital wallets, instant payments, and QR payment systems – are experiencing explosive growth that's reshaping the global financial services marketplace. According to the latest worldwide market study by ABI Research , the combined global transaction value for APMs is projected to reach $142 trillion by 2030. What's particularly fascinating is the underlying driver behind this trend: a growing desire for financial sovereignty, with nations developing domestic payment ecosystems rather than remaining dependent on international financial networks. Payment Ecosystem Market Development In 2024, approximately 45 percent of the global population used digital wallets – a remarkable adoption rate for a technology that barely existed a decade ago. China leads this transition, with 95 percent of its population using WeChat's payment functionality. WeChat exemplifies the "super app" phenomenon, where payment capabilities are in...