With Digital Overtaking TV Ad Spend, What Does The Future Hold For Video Advertising?

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Posted: June 19, 2017

There is no doubt that video advertising is a part of everyday life and it has been since the popularity surge of televisions in the 1950s.
From Budweiser’s memorable ‘Whatsup’ advert to GoPro’s seamless native advertising campaign depicting examples of the camera being used for extreme sports, video advertising has come a long way and continued to develop with its viewers.

The rise of digital ad spend

Despite its evolution, TV advertising spend has now been overtaken by that of digital for the first time. The Interactive Advertising Bureau (IAB) recently released details of ad spend in the US in 2016, and for the first time since it began tracking digital advertising spend in 2004, digital ad spend has surpassed television.
Digital advertising spend is set to continue to rise, in order to target customers effectively. With the average US adult spending just under three hours on their smartphone alone each day, this means that it is more important than ever for marketers, advertising agencies, brands and app developers to keep video relevant in the age of digital. This can be done by creating engaging content for digital audiences and taking a leaf out of the book of digital advertising when it comes to data insight.

A juggling act – natural yet unobtrusive advertising

In order to effectively adapt from creating video adverts which work great for TV to creating engaging video content which delivers great results from a digital audiences, the power of native advertising should be harnessed.
An age old battle in advertising is targeting customers with relevant content without it appearing jarring. This is especially prominent in the age of machine learning and personalization, as customer behavior can now be understood on a whole new level thanks to data.
Developing adverts which seamlessly integrate into the platform on which they are displayed, allows brands to position their content in a way which gives consumers the choice to engage with advertising without being forced to view it if they don’t want to. Luis Barragué, COO at Headway believes, ‘“At the end of the day the purpose of advertising is to raise awareness and drive sales, and it is difficult to achieve the latter if you are forcing unwanted content on people.”
Using the correct ad formats at the right time has been made possible with the advances in data and smart technology, and native ad formats are a great way to take advantage of both of these trends and adapt in the age of digital advertising.

Intelligent data insights

As well as the format of ads, data will play an equally vital role in adapting to the future of video advertising as it provides a lot more insight into how audiences are consuming video.
Data ranging from click throughs, the amount of time an ad was viewed, the age range which engaged with an ad the most to the largest geographic audience, can all enable marketers to make better informed decisions on activating content. Advertising budgets can then be effectively distributed to ensure ads are seen by engaged consumers where and when it is most relevant.
The insight gained from customer data also enables fluidity in advertising. For example, creatives can be changed and marketers can move fast to action insights when an element of an app needs to be updated to attract and keep users interested.

Partner with Mobrain by Headway to ensure your advertising strategy is future proof

With more money being spent on digital than TV ads, marketers, advertising agencies, brands and app developers need prepare for the future of video advertising. This can be done by focusing on native advertising formats and utilizing data in order to keep video relevant in the age of digital.
Mobrain’s exciting solutions allow advertisers to connect to 300+ mobile publishers, ad networks, 100+ supply-side platforms and global mobile ad exchanges, offering marketers unmatched reach to 759M+ unique mobile consumers. Mobrain by Headway allows brands to reach and engage users in mobile, specializing in CPI acquisition, performance and mobile branding. It is the leading mobile advertising solution in LATAM, Middle East and Southeast-Asia. With a team consisting of over +35 different nationalities based all over the world, the company has the capability to manage several mobile campaigns, in different countries, all at once.