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Agencies Wonder About Video Ad ROI

Are they reaching their targets?

September 14, 2015

More than half of ad agencies are focusing at least some of their clients’ digital ad spend on video ads, according to research. But many remain unsure about how much return will come from those investments.

Level of Confidence in ROI for Recent Digital Video Ad Purchases Among US Ad Agency Professionals, July 2015 (% of respondents)

Strata polled US ad agency professionals in July 2015 and found that 56% were putting client budgets toward digital video ads. But 40% of those surveyed also said they were unsure whether they got good ROI from the digital video ads they had purchased—and another 5% thought they weren’t getting good ROI.

Nearly half of respondents were “fairly” confident they were getting bang for their digital video ad buck, but just 7% were really sure.

One questionable element of digital video ads for the group was whether they reached their intended target. Nearly six in 10 agency professionals thought they did most of the time, but 29% pegged the likelihood at “sometimes.”

US Online Display and Video Ads that Are In-View, by Type, Q2 2015 (% of impressions in each group)

Another question is viewability. According to Integral Ad Science data from Q2 2015, less than 40% of digital video ad serves were viewable impressions.

Moat reported that for Q2 2015, nearly 66% of digital video ads purchased direct were in view for at least 2 seconds, while 47.6% of programmatic digital video ads had the same viewability rate. That was based on impressions measured by Moat Analytics worldwide, though they were served primarily to the US and UK.

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