The 2018 Potential For the Future of Mobile Video Advertising

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Posted: January 25, 2018

In 2017 alone mobile video adverts grew by 35%, leading consumers to spend an average of 28.8 minutes a day watching adverts on their mobile devices. Also, the ad spend for mobile platforms in 2017 increased by 45.4% to over $4bn. So, with the mobile marketing industry transformation in 2017, changing how brands and marketers work together with technology and consumers, how could this shape the future of mobile adverts in 2018?
Video content is rising rapidly across all platforms, however social media platforms have been notably quick to embrace video throughout the last couple of years. Various tools have been added to adverts on digital platforms to help encourage users and brands to share and create videos with others, with some even broadcasting live video streams.

Online video advertising will be mobile first in 2018

#ROI agency, Zenith predicts that viewing on fixed devices this year has now peaked, despite a continued rise in viewing on smart TVs and traditional television ads offering more interactivity. This is due to consumers shifting their attention to mobile. It forecasts that viewing adverts on fixed devices will shrink 1% in 2018. Meanwhile, mobile viewing is expected to grow 25% in 2018 – with mobile devices accounting for 72% of all online video viewing, up from 61% in 2017.
Currently most advertising expenditure goes on fixed devices which are often displayed on larger screens and are often watched in less distracting environments, for example via a desktop in the office or at home rather than a train or in a restaurant. Fixed device advertising can convey brand messages more effectively and can command a price premium for advertisers. By 2018 however, advertising on fixed devices will no longer outweigh video ad spend and mobile viewing will be of a higher volume.

Grabbing the attention of distracted audiences 

Video advertising via mobile can give brands the opportunity to use powerful digital technologies to engage with consumers personally and as individuals rather than demographics. It can be harder for mobile marketers to attract their consumers, as they need to be more effective than TV ads, they can provide in-video interactivity, life-like graphics and zero buffering. New ways of approaching mobile ads in 2018 will focus on key aspects, such as non-intrusive mobile experience for consumers, adhesive and dynamically animated banners and delivery of ads that focus more on consumers locations and activities.
Even though mobile advertising will see a huge growth this year, audiences will now have more control in regards to when, how and where they access media and information. People’s attention spans are often now short and fragmented, people are often multi-tasking and shifting from different platforms. Mobile marketing also has to go above and beyond to deliver successfully on both brand as well as performance metrics, this is especially relevant this current age of social videos and user-generated content, where adverts can easily be ignored or blocked.
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Industry continues to adopt new formats

With consumers not only being harder to reach but also increasingly more distracted, advertisers are under more pressure to engage with their audiences and must use creative and innovative ad formats to retain their attention and keep them engaged.
As a result of this we have seen video scroller ads on the increase, as more publishers and vendors adopt the format. These ads provide a seamless user experience as they run smoothly on and off screen as the user scrolls through a web page; minimizing the likelihood of being dismissed or ignored.
Last year a report conducted by IAB found that there was a 26% increase in brand awareness through brands utilising scroller ad formats, in turn this also increased purchase intent and higher recall rates. As this gives control back to the user, it also shows that scroller ads are less invasive but also just as expandable and informative as banner ads.
2018 presents a significant opportunity for mobile videos ads as the format begins outperforming fixed device videos. Popularity of this platform will continue to increase as the industry adopts new formats over the next 12 months and override the popularity and ad spend of other advertising platforms. Viewing on Smart TV’s continues to grow. However, not only is mobile video catching up, it will soon take over as the most used form of advertising.
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