Recent developments in technology and video advertising inventory are leading to rapid improvements in the categories of targeting, pacing and delivery optimization of video based media. Players in the video ad industry would do well to note these recent developments and exploit these technologies in order to remain ahead in the game.
In his article “Video Ad Platforms Begin to Add Value to Video Inventory”, Tod Sacerdoti notes that because of these developments, video ad platforms are evolving to add value to video ad inventory that goes beyond the traditional metrics of campaign execution and price efficiencies. He pinpoints trends in the above mentioned categories, giving us a clue as to the players who will ultimately acquire the lion’s share in this dynamic industry.
Providers with large inventory aggregators and video ad servers with proprietary technology are set up to benefit from trends in advanced targeting. DMA/ Zip targeting at scale, richer content targeting, video to display retargeting, and ROI positive video campaigns, as well as other improvements in ad serving technology and combined display/ video campaign execution are giving opportunities to providers to add to their video inventory and enable them to deliver niche targeted campaigns, according to Sacerdoti.
Despite improvements and the recent trends in technology, pacing and delivery continue to be big issues for publishers and providers. As more media buyers are beginning to demand more complicated pacing and delivery plans, industry players are increasing their focus to address these issues. Sacerdoti remarks, video ad servers, inventory aggregators, large publishers and long content providers are the most in place to take advantage of recent improvements which enable multiple pacing options, inventory prediction, and powerful storyboarding.
As media buyers’ needs become more complex, Sacerdoti observes a move away from the traditional meaning of optimization. He maintains that media buyers are now optimizing for cost per view, duration watched , click-through rates, creative and ad unit performance, CPC or CPA pricing. As such, providers who take advantage of the recent improvements in creative and ad unit optimization, CPC/CPA pricing, and integration of engagement, impact or conversion data are those most in place to deal with the needs of their clients. Sacerdoti notes those players with multiple ad units, large volumes of inventory and technology to optimize metrics are those most likely to benefit from the recent trends in optimization.
In light of these trends, it remains clear that technology remains one of the main drivers towards succeeding as a player in the industry. Exploiting the latest technology, however, does not ensure success. Amassing a large video inventory and taking advantage of the latest trends in video ad platforms in order to add value to that inventory are critical factors in order to remain competitive and profitable.
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