Online video ads fuel UK digital publisher revenue
Posted on Jan 15, 2014 by YuMe
When it comes to accessing the news, Internet users increasingly turn to video for the latest stories and trends. As publishers adapt by creating more video-based content for their audiences, these companies are finding that online video advertising is proving to be a reliable, sustainable source of revenue. The number of media outlets around the world that incorporate video advertising online into their business strategies increases, and a recent report shed light on how the phenomenon is playing out in the United Kingdom specifically.
According to the Association of Online Publisher's "Digital Publishers Revenue Index Report," conducted by consulting firm Deloitte, 85 percent of digital media outlets surveyed reported experiencing positive digital ad growth in the third quarter of 2013. The report found Q3 marked the sixth consecutive quarter that Internet video ads were the fastest growing format among these publishers. Between Q3 2013 and the same three-month period in 2012, video advertising online as a source of revenue increased 33.3 percent.
Tim Cain, head of research for the AOP, noted digital media is becoming the main focus for advertisers. As brands rely more heavily on the Web to reach their target consumers, video is expected to continue growing rapidly as an advertising platform.
Separate research from eMarketer found digital video ad spending increased an impressive 83.4 percent in the U.K. in 2013. The analytics provider predicts that such strong growth rates will continue, with investment in online video advertising set to rise another 70.8 percent in 2014, causing video to see the strongest increases among digital ad platforms.
In light of such high numbers and a promising outlook for online video ads, it's no wonder publishers are keen on reaping the benefits the platform has to offer.