Today’s consumers are driven by video. Studies show an average of eight hours of video content is watched daily. This means the world of digital video advertising is growing and advertising strategies have to align themselves with consumer behavior in order to succeed. This begs the question of where digital video advertising is heading. Let’s take a look at the trends and technologies shaping the future of video advertising.
Adoption of Mobile
As more people are adopting mobile devices and watching more video content on these devices, mobile advertising is increasing quickly. Mobile devices account for approximately 50% of all digital video views, and this is expected to continue to grow. This means that a successful video ad campaign needs to recognize the importance of mobile and know the habits of mobile users.
Geo-Targeting
Geo-targeting is the idea of targeting ads to users in specific locations. This works for both online and offline ads, and is driven by people’s searching habits and online behavior. With the use of geo-targeting, video ads can be created and adjusted for particular local and global audiences, for a higher CTR and ROI.
Live Broadcasting
The demand for live video is increasing, as more and more people watch live streaming platforms such as Twitch and YouTube Live. Live broadcasting is expected to continue to drive growth, as it allows for more targeted and interactive campaigns. Brands should embrace this trend and use it as an opportunity to reach wider and more engaged audiences.
Growth of Virtual Reality and Augmented Reality
The usage of Virtual Reality and Augmented Reality is growing at unprecedented rates. Between 2018 and 2020 there was a 400% increase in the number of users of VR and AR, and this number is expected to grow as digital video content becomes more immersive and engaging. Companies have already started to explore how they can use VR and AR for video advertising, for example, by providing an immersive, 360-degree experience for viewers.
RTB (Real-Time Bidding)
Real-time bidding, or RTB, is an online programmatic advertising process. It allows buyers to bid on impressions in real-time and for the brands to reach their target audiences more quickly. This means that brands no longer have to wait for weeks or even days for their campaigns to go live, and can reach their target in a very short amount of time.
OTT (Over-the-Top)
Over-the-top, or OTT, is the delivery of content over the internet via streaming services such as Netflix, Hulu, and Amazon Prime. OTT provides an opportunity for advertisers to reach their target audience in an environment that is free of traditional advertising interruptions. This technology allows for more flexibility and control over the ad models and campaigns used.
The Rise of Connected TV
Connected TV is a technology used to view streaming services on television. Just like with OTT, connected televisions provide an opportunity for advertisers to reach their target audience in an environment free of traditional advertising interruptions. Additionally, connected TV allows brands to better target their campaigns based on consumer habits and better measure their results.
Video advertising is growing rapidly, and the future of video advertising looks positive and full of possibilities. The technologies and trends listed above are driving this growth, and providing new opportunities for brands to reach their audiences. In order to remain competitive and create successful campaigns, marketers must understand these trends and take them into account when developing their video ad strategy.
