Three Ways Brands Can Prepare For The Future Of Online Video
In order to drive the most value from digital video, marketers need to do more than just shift dollars around. Here are three considerations for marketers to keep in mind to optimize their online video strategies.
According to eMarketer, viewers are spending more time with digital video than ever before. In fact, 2015 marked the first year in which people spent more time with digital video than they did with social media. At the same time, the amount of time people spent watching traditional television has been steadily decreasing since 2012.
As an increasing amount of consumers “cut the cord” to consume entertainment content online or through streaming services, as opposed to cable television, advertisers and marketers are adapting their spending strategy in an attempt to follow viewer eyeballs. As a result, Business Insider Intelligence predicts that online video ad revenue will reach $5 billion in 2016, up from $2.8 billion in 2013, while TV ad revenue will drop by nearly 3% over the same three-year period.
However, in order to drive the most value from digital video, marketers need to do more than just shift dollars around. Here are three considerations for marketers to keep in mind to optimize their online video strategies.
1. Custom omnichannel is a non-negotiable:Online video viewing accounts for 50% of all mobile traffic and is on the rise. According to a study from the IAB, 35% of viewers globally are watching more video on their smartphones as compared to last year, and more than 30% of viewers are watching mobile video content that lasts five minutes or longer. Brands need to be where viewers are—be it on desktop, mobile, or connected TV devices like Apple TV or Roku.
At this point, an omnichannel video strategy is table stakes. In order to stay ahead of the competition, marketers need to invest in content and advertising that’s custom-created for digital video as opposed to simply recycling TV spots onto digital platforms.
2. The same goes for ad formats: Online video consumption patterns are beginning to more closely mirror viewing patterns of traditional television, and as such, advertising must adapt accordingly. In the early days of video, preroll ads—or ads that played before the start of the video content—were standard. But these types of ads are no longer the only option—especially for marketers who are looking to provide viewers with the most seamless, relevant, and engaging experience possible.
Video players must not only be able to run many types of ad units—overlays, mid roll, and preroll—but also be intuitive enough to distinguish between them to provide the most relevant user experience. That said, marketers should develop creative specific to each format.
3. It all comes down to viewability: It’s no secret that ad blocking and viewability are some of the biggest challenges facing online marketers today. Advertising, and really all branded online content, is useless if people don’t see it. When executed strategically, video can provide a more relevant, engaging experience for consumers. Video provides a level of visual storytelling that most closely resembles television, and so viewers are already accustomed to receiving ads in this format. Furthermore, online video also offers all of the advantages of digital advertising, including advanced targeting, tracking, and automated buying of ad units. This combination offers marketers the potential to create highly customized video content marketing and advertising campaigns to boost brand “stickiness” with consumers and ultimately drive more clicks and attention.
Even with the rapid adoption and proven results of online video thus far, we’ve only begun to scratch the surface of its potential. As programmatic buying methods for video become more sophisticated, the ability to reach consumers with timely, targeted messages on an individual basis becomes more of a reality. Brands that take the steps now to adapt will be well positioned for a future of digital advertising that is dominated by video.
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