The concept of unification and what it means for the premium video advertising industry is one of today’s hottest topics. From changes in publishers’ businesses to how viewers are consuming content, the industry is driving towards buying and selling inventory in a holistic, unified manner across all screens.
Viewership across “over-the-top” (OTT) devices—defined as an internet-enabled viewing device for your TV, including Apple TVs, Amazon Fire Sticks, Rokus, gaming consoles, and smart TVs—has been steadily increasing year-over-year. Just two years ago, OTT represented only 8% of digital video ad views. Now it represents 32%, according to the FreeWheel Video Monetization Report: Q1 2017, launching on June 14, 2017. Despite this growth, advertisers and agencies have been cautious about doubling down on OTT investments. In this post, I address the top five challenges surrounding OTT and explain why these don’t need to be major blockers for advertisers looking to reach audiences across premium OTT content. I also highlight the distinctive advantages unique to the OTT market.
At Variety’s recent Entertainment & Technology conference in NYC, ad experience resurfaced as a hot topic. During a panel on, “The Future of TV Advertising,” it was clear that leaders from both publishers and agencies agreed that consumers should be at the center of the ad experience. There was a consensus that more experimentation was necessary and that the dialogue around ads needs to evolve from “commercial interruption” to “commercial enhancement.”
As the concept of television continues to evolve, audiences have more options than ever when it comes to viewing premium content. While the ability to connect with consumers across screens is immensely valuable for publishers and advertisers alike, it has also become increasingly complex to insert ads anywhere content appears. Particularly, it is difficult to account for ad insertion challenges, while also honoring the business rules of a deal and delivering an optimal user experience. Several forces are at play here: (1) many endpoints have strict player requirements, (2) advertisers/agencies often have difficulty meeting these technical specifications, and (3) premium publishers struggle to fill inventory requirements for multiple endpoints in a way that maximizes sell-through. These factors are costing buyers and sellers numerous ad dollars from missed revenue opportunities.
In the FreeWheel Video Monetization Report: Q4 2016 (VMR) we observed first-hand the tremendous growth of over-the-top (OTT) devices over the past two years. These connected devices have evolved from just 8% share of premium video ad views two years ago in Q4 2014 to a solid 27% in Q4 2016. The message from consumers to publishers aiming to increase viewership and buyers hoping to reach an engaged audience is clear: video will always have a home on the big screen.
The FreeWheel Video Monetization Report: Q4 2016 (VMR) launched on March 21st. The VMR takes a full-year look at 2016 as a whole, as well as quarter-specific trends, through the lens of general trends and themes that speak to the value of premium content and environments. For the 24th consecutive quarter, the upward trends in video continue, with no sign of slowing down. While our data highlights the opportunity in premium video, it also shines a light on just how complex managing a digital video business is today.
In early March, I was fortunate to attend AdMonsters’ Publisher Forum in Palm Springs, CA—an event tailored to senior leaders in ad operations and technology featuring in-depth peer-to-peer discussions that drive actionable results and industry best practices. In addition to being able to escape the frigid New York weather for a couple of days, I had the opportunity to speak to these industry leaders about something that we think about a lot at FreeWheel: True Yield.
The FreeWheel Council for Premium Video was proud to achieve a number of successes in 2016—a critical year in which we laid the foundation of our mission to serve the collective interest of those in the premium video industry through leadership positions, research, and advocacy promoting the New TV Ecosystem. And as we are looking […]
As we approach the launch of our 22nd edition of the FreeWheel Video Monetization Report (VMR), here’s a look into the archives examining how the report has evolved over time.
At FreeWheel, we’re committed to showcasing how we enable our clients to thrive in a competitive ‘TV’ environment. Part of that mission includes creating opportunities where our clients can share their thought leadership and industry insights with FreeWheelers – present and future.
On April 7, FreeWheel hosted 40 attendees for its inaugural Advisory Services networking night entitled “Transforming Television.” Hosted by Michael Lawlor, SVP Advisory Services, the evening began with a fireside chat between Mike and Anthony Viglietti, SVP CFO for Digital at Univision, a key FreeWheel client. Both Mike and Anthony worked together during Mike’s Univision days, lending to the casual yet informative atmosphere.