More than two-thirds of marketers (69%) and one-half of agency professionals (55%) say they plan to grow their digital video advertising (DVA) spending 22% on average in 2011, according to a study by the Interactive Advertising Bureau (IAB).
Surveyed agency professionals plan to spend 19% of their total online display ad budgets on DVA in the next 12 months, whereas marketers plan to allocate 15% of their budgets to DVA.
Below, other findings from the report, An Inside Look at Demand-Side Perceptions of Digital Video Advertising, by the IAB and conducted by Advertiser Perceptions.
Shifting TV Dollars to DVA
Most agency and marketing professionals plan to shift TV ad dollars to DVA in 2011: 62% of marketers say they are likely to do so because DVA delivers better ROI than TV, whereas 47% of agencies and 50% of TV decision-makers plan to shift ad dollars to follow their target audiences.
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Among various DVA formats, agencies and TV decision-makers primarily use pre-roll (66% and 56%, respectively), whereas marketers are not committed to any specific format.
Most agency and marketing professionals say the appropriate length for video is 15 seconds, while the preferred pricing model is CPM (cost-per-thousand).
Improving DVA Measurement
Marketing and ad agency professionals would likely adopt DVA at greater levels if they could improve ROI measurement (56% and 44%, respectively) and standardized metrics (30% and 41%, respectively).
About the data: Interviews for this study were conducted from Nov 17 to Dec 6, 2010 among 500 digital and/or TV-media decision-makers (148 marketers and 352 agencies). Some 62% of respondents were involved in TV decision-making and 85% were involved in digital decision-making. All respondents intended to spend $1 million or more in the next 12 months.
