Home  › Media › Video

2011 Report: Video Ad Budgets Will Rise Incrementally

  |  December 16, 2010   |  Comments

Sixty-three percent of advertisers say increase will be funded from TV budgets, while 70 percent say they will come from online budgets.

Seventy percent of display video advertisers will increase spend in 2011, but budget shifts do not appear to be profound, according to research from Break Media. On the latter issue, 79 percent of surveyed advertisers said they will allocate less than 25 percent of their total online display ad budgets to display video advertising next year. Sixty-three percent of advertisers said the increase will be funded from TV budgets, while 70 percent said it will come from online budgets.

The Los Angeles-based ad network recently polled a mix of 350 marketers and agencies. It found that 75 percent of agencies plan on increasing video ad spend, compared with 61 percent of marketers. According to Break Media, verticals where video ad buying will increase span automotive, baby/parenting, casual dining/quick-serve restaurants, alcohol, local, non-alcoholic beverage, packaged foods, retail, and cosmetics/toiletries.

Yet 35 percent of those surveyed said they did not use video ad networks for campaigns this year and do not intend to do so during 2011. Instead, they buy video-based promotions directly from online publishers of TV show, sports, movies, and gaming content.

When asked about the relatively high number of ad buyers going the more independent route, Andy Tu, VP of marketing for Break Media, said video networks offered scale that the publishers did not. At the same time, he said, “Publishers have done a compelling job of proving to advertisers that their video advertising will run adjacent to professionally produced content.”

Marketers and agencies were also polled about their online video advertising challenges; and targeting, metrics, and cost were cited as their top concerns. Also, advertisers said better ROI in addition to more easily measured ROI would encourage them to spend more in the space. Transparency of ad placement ranked as another major concern.

Tu said, "It's because [our industry is] not using standardized metrics that people are having a hard time measuring ROI… I think it goes back to publishers working more closely together."

Tags:

ABOUT THE AUTHOR

Christopher Heine

Christopher Heine was a senior writer for ClickZ through June 2012. He covered social media, sports/entertainment marketing, retail, and more. Heine's work has also appeared via Mashable, Brandweek, DM News, MarketingSherpa, and other tech- and ad-centric publications. USA Today, Bloomberg Radio, and The Los Angeles Times have cited him as an expert journalist.

COMMENTSCommenting policy

comments powered by Disqus

Get ClickZ Media newsletters delivered right to your inbox. Subscribe today!

COMMENTS

UPCOMING EVENTS

Featured White Papers

US Consumer Device Preference Report

US Consumer Device Preference Report
Traditionally desktops have shown to convert better than mobile devices however, 2015 might be a tipping point for mobile conversions! Download this report to find why mobile users are more important then ever.

E-Commerce Customer Lifecycle

E-Commerce Customer Lifecycle
Have you ever wondered what factors influence online spending or why shoppers abandon their cart? This data-rich infogram offers actionable insight into creating a more seamless online shopping experience across the multiple devices consumers are using.

Jobs

  • Editor
    Editor (Search Engine Watch) - New YorkRole Overview Search Engine Watch (SEW) provides tactical advice and information for businesses and site...