Brand lift is becoming most important success metric for digital video ads
Digital videos are seeing more investment from UK advertisers. According to eMarketer estimates, video ad spending will grow from 4% of total UK digital ad spending this year, or £244 million ($387.3 million), to 12.4% by 2017, or £1.04 billion ($1.65 billion). But for marketers to continue dramatically upping spending on the format, improved targeting capabilities are becoming increasingly important.
The greatest number of UK agency execs surveyed by digital video platform BrightRoll in July 2013—40%—said that targeting capability was the most valuable aspect of video advertising, followed by reach, at 29%. The fact that video ads were cheaper than TV ads was less important to advertisers, cited by only 13% of respondents.
Targeting can take many forms, depending on what info is available and the advertisers’ segmenting priorities. Contextual and behavioral targeting led as the types of video targeting seen as most useful, cited by 40% and 36% of UK agency execs, respectively. A lesser 22% cited demographic targeting, which can sometimes be the easiest targeting data to come by. A minimal 2% of respondents cared most about targeting video ads based on geographic info.
As video ads become a more established format—and targeting improves—the metrics advertisers use to measure success are also changing. As recently as last year, views was seen as the top success metric for digital video ads in the UK, cited by 31% of respondents. But this year, that figure dropped to 22%, while brand lift came in as the top success metric, used by 27% of advertisers. Conversion also saw a big increase in importance between 2012 and 2013, rising from 17% to 23%.
Even as video ads gain prominence, however, they are not supplanting many other forms of advertising. While a good number of agency execs in the UK (62%) are beginning to see digital video ads as more effective than other forms of display ads, only 38% considered video more effective than social media outreach, and 23% considered video more effective than TV ads.
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