Advertiser spend on digital video up +25% on last year

A brand new report has discovered that digital video is constant its rise amongst advertisers as an necessary method to have interaction with shoppers throughout desktop, cell and non-linear TV.

The IAB Video Advertising Spend Report performed interviews with 350 entrepreneurs and company decision-makers throughout a spread of sectors. Its findings paint an image of enthusiasm for video adverts – significantly amongst these patrons who’re eager to discover rising codecs and channels exterior dominant social media platforms.

Impressive progress pushed by Original Digital Video and ATV

The top-level development is that spend on video promoting by companies and businesses is constant to develop, hitting $17.8m in 2019. This is a rise of 25% on 2018.

graph showing average dollar amount spent on digital video advertising

The report finds that progress is important throughout all verticals. Leading sectors corresponding to Media & Entertainment and Fashion/Apparel have seen large jumps of +75% and +45% respectively over the previous year.

Original digital video (ODV) is de facto driving this enhance in spend – rising +31% between 2018 and 2019. Now, simply over half (52%) of all digital video price range goes on ODV.

On prime of this, superior TV (or ATV – video that’s delivered exterior of conventional linear tv corresponding to Addressable Linear TV, Connected TV and Over-the-Top TV) can be seeing progress in funding amongst advertisers. 59% of advert patrons say they wish to enhance their ATV spend over the subsequent 12 months.

Where is video content material being delivered?

A giant milestone for video this year sees cell attain parity with desktop for spend share.

In 2019, cell video and desktop video every account for 31% of all digital video spend as advertisers proceed to shift parts of their budgets to handheld screens.

graph showing digital spend allocation of video vs non-video

As for channels, the IAB information sees a reasonably disparate unfold of the forms of web sites and publishers the place digital video is being offered.

graph showing average percent digital video budget allocations to each channel

Social media websites do have a slight edge, receiving 22% of video price range allocations. This is intently adopted by TV reveals on-line (18%) and information websites (14%).

A more in-depth take a look at video advert codecs

The report finds that digital video budgets are fairly evenly distributed throughout in-app, out-stream and in-stream codecs.

graph showing average percent allocation to each digital video allocations to video ad format

The information additionally highlights the rising recognition of rising advert codecs – with 6 second adverts, vertical adverts and tales all being bought by greater than half of respondents. Marketers are more and more utilizing codecs that invite a sure diploma of interactivity from customers, corresponding to shoppable adverts or absolutely interactive ones.

types of video ad formats purchased in 2018 and 2019

Native adverts are additionally prevalent. 52% of advertisers say they’ve elevated their spend on native adverts previously year. Additionally, the report has discovered that the best way advertisers are shopping for their video adverts is changing into more and more automated. It predicts that greater than half of video adverts can be purchased programmatically in 2019.

Other findings

The complete report additionally highlighted another notable developments:

  • Direct to client (DTC) manufacturers are planning to spend extra on digital video – allocating as a lot to writer websites (corresponding to CNS, Conde and so on.) as they’re to massive title social media websites like Facebook.
  • Use of influencers is in style amongst ad-buyers, with 70% utilizing them and an extra 9% planning to within the subsequent 12 months.
  • Multi-platform shopping for options are favored amongst entrepreneurs. More than eight in 10 advertisers agree a unified digital + TV shopping for resolution is necessary.


The IAB Video Advertising Spend Report highlights the worth and alternative in video promoting, and the next enthusiasm within the channel amongst a broad vary of advertisers.

The ever-growing vary of native and interactive codecs is giving entrepreneurs much more choices to have interaction with shoppers throughout a spread of gadgets, in addition to in-app and on a wide range of completely different writer websites on-line.

The recognition of ATV and lean in direction of multi-platform shopping for options is notable too. Consumers anticipate consistency of messaging throughout channels, however all digital contexts – from sensible TVs to in-app video – require their very own consideration to make sure video content material is being delivered accurately.

Advertisers must be joined-up of their method. Especially, as channels, contexts and codecs proceed to diversify.

Source hyperlink Marketing Tips

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