Video is the rising star of digital advertising. As we discussed in last week’s post, our new research “Video Advertising Momentum” found that brand advertisers are upping their video campaigns to reach their audiences across the web. In this installment, we uncover another rising trend: advertisers are increasing their video budgets in programmatic channels.

We've seen quite an uptick in video ads across the DoubleClick Ad Exchange, with volume tripling in the first quarter 2012 - 2013. The stars of programmatic video are Automotive and Retail advertisers. They were the top two video advertiser categories overall, and both of them quadrupled programmatic video spend in Jan - March compared to last year. But growth seems across the board - nearly every advertiser category posted double-digit growth in spend and impressions. Take a look at the full research New ways of buying and selling video ads: the programmatic channel in “Video Advertising Momentum”. 

Why would an advertiser or publisher consider video advertising on the Ad Exchange? The reasons are numerous, but we've distilled it down to four:
  • Efficiencies: The Ad Exchange streamlines workflow between advertisers and publishers, with campaigns running across multiple sites and viewing devices.
  • Emerging technology: Advertisers can now optimize their buys across destinations using advanced bid controls and analytics. The Ad Exchange brings new formats such as skippable video ads and comprehensive methods of measuring campaign performance to more advertisers and publishers.
  • Expanding audiences and revenue: Programmatic video buying through AdX helps advertisers extend their reach and gain frequency to new audiences. Publishers can expand their demand sources and gain increased revenue for their video inventory.
  • Evolving video advertising: As digital video gains even more momentum, publishers and advertisers are forging new ways to create shared value, including private exchanges and preferred deals.
For a discussion about programmatic video in from both advertiser and publisher perspectives, check out the Q&A between TubeMogul and Silver Chalice “What’s the value in programmatic video?”. Next week, we’ll take a look at how choice is changing the way we think about video advertising.

Posted by Mel Ann Chan, Product Marketing