Digital advertising revenues surpass TV for the first time
Posted on Apr 18, 2014 by YuMe
Digital video advertising is a great way for brands to promote products and services, as well as develop relationships with consumers. In particular, interactive video advertising, which is growing in popularity, can encourage engagement between the brand and consumer.
According to eMarketer, citing results from research conducted by Sizmek, engagement rates for interactive video advertising campaigns in North America were 6.62 percent last year. With regards to completion rates, 70 percent of the interactive video ads consumers watched in 2013 were viewed completed. Eighty-three percent were watched halfway through, and 84 percent of ads of this type were, at the very least, started.
Additionally, eMarketer reports that in-stream interactive video ads had start rates of 93.8 percent.
According to the Interactive Advertising Bureau, overall digital video advertising saw a 19-percent revenue increase in 2013, reaching a total of $2.8 billion, up from $2.3 billion the year before. The retail sector continues to spend more money on Internet advertising campaigns than any other and represents 21 percent of the total marketplace.
The IAB reports that for the first time ever, revenues from all interactive advertising campaigns totaled $42.8 billion, surpassing television, which generated $40.1 billion.
"The news that interactive has outperformed broadcast television should come as no surprise," Randall Rothenberg, president and CEO of the IAB, said in a press release. "It speaks to the power that digital screens have in reaching and engaging audiences."
As consumer adoption of technology increases and static banner ads become a thing of the past, video ad advertising professionals will be tasked with creating campaigns that support consumer interaction.