In this week’s Week in Review: LinkedIn rolls out programmatic buying, Time deepens video operations, Accedo secures $10 million in investments for video. To receive a weekly summary of industry news and other VAN interviews and videos,sign up to the weekly Video Round-Up.
US Programmatic TV Ad Spending to Reach $2.16 billion.
Programmatic spending on TV ads in the US is poised to experience explosive growth over the next several years, according to eMarketer’s first forecast on the topic. Spend on programmatic TV, which eMarketer defined as the automated process for buying television ads through cable, satellite or broadcast networks will amount to $4.43 billion, accounting for 6 percent of TV ad spend by 2018.
Despite Video Growth Consumers Prefer Text News
The majority of consumers do not spend time watching videos while on news sites, according to a report from Reuters Institute for the Study of Journalism. The report shows that just a small proportion of time spent on news sites is spent on video; an average of 2.5 per cent across 30 websites.
Time Inc. Deepens Web Video Operations
At VidCon 2016, Time Inc. has introduced Instant, a new website designed for mobile use and stocked with content created by the Internet’s most popular personalities. Instant is available in browsers and does not require viewers to download any additional apps. Users can swipe up and down to watch a variety of videos from Time’s creative partners.
Accedo Secures $10 Million in Investments for Connected TV App Development
TV app provider Accedo has raised $10 million in capital after partnering with Stockholm-based private and growth equity fund, SEB Private Equity. The transaction allows early investors of Accedo, including Industrifonden and Acacia, to exit as part of their investment strategy, and adds a total of up to $10M in additional capital to be deployed for a continued growth and innovation.
Facebook News Feed Algorithms Favours Friends Over Publishers
Facebook is changing what’s presented in user News Feeds, favouring friends and family over publishers. However, while posts directly published from an outlet’s page won’t be bumped to the top of the feed as frequently, the changes mean that publisher content favoured, shared and liked among users’ friends and family will now appear more frequently. Facebook has also enjoyed a 16.6 per cent increase in the year in South Africa since it last released figures.
LinkedIn Rolls Out Programmatic Buying
Professional social media network LinkedIn is to open up its display inventory for programmatic buying. The new method of buying ads will deliver display ads on LinkedIn desktop, on supplementing the earning power of sponsored content which delivers 60 per cent of its revenue. Buyers will be able to buy via open auctions or via private exchanges.
YouTube To Air First Scripted TV Series
YouTube and Lionsgate have revealed plans to continue the Step Up movie franchise as the first original scripted TV series on YouTube Red. The subscription service is looking to show the series in 2017.
Twitter Creates Dashboard App For Small Businesses
Small and medium sized businesses are to get support from Twitter in the form of their Twitter Dashboard. The free app, which is still in its beta but is available to U.S. customers via iOs, is set to allow business to easily track and engage with their audiences.
Consumers Demand Better Digital Experiences
Consumer demands in the digital sphere are advancing at a rate that is difficult for companies to keep up with, a study from Accenture Interactive conducted in partnership with Forrester Consulting states. According to the research, brands are too focused on comparing themselves with one another when it comes to digital experiences instead of worrying about how their target consumers are responding to their efforts.
“FOMO” Impacting on TV Consumption Habits
The fear of missing out, or “FOMO”, is changing habits and patterns in TV consumption, a Roku survey has found. According to the survey, twenty-eight per cent of U.S. adults, between the ages of 18 and 34 years old, have lied about watching a TV show, movie or sporting event in order to feel included as part of a group.
Millennials Like More Relevant Adverts
Millennials respond to ads that are relevant, a study conducted by comScore for YouTube found. The study also said that while young viewers watch more traditional TV than digital video, they express a strong preference for YouTube and binge watch more than older viewers. Among 18 to 34 year olds, 62 per cent said they take action after viewing an ad, compared to 51 per cent in the 35 and up age group.
VoD Continues to Struggle in Canada
In 2015, the pace of growth for Canadian speciality TV services slowed as their total revenues increased by 0.5 per cent, or $19 million, to $4.3 billion, the The Canadian Radio-television and Telecommunications Commission has shown as it released statistical and financial information. Revenue growth was hampered by a $19 million decline in advertising revenue, which was offset by a $30.6 million increase in subscription revenues. Expenditures continued to increase, rising from $3.1 billion in 2014 to $3.3 billion in 2015.
Broadcasters Need The Right Content at the Right Time
User Generated Content platforms, international and local VoD actors and even social networks like Snapchat or Instagram are starting to produce their own content, and TV broadcasters will have to constantly reinvent in order to keep consumers, Eurodata TV has reported.
SVoD Remains Strong in Australia
Uptake of subscription video on demand services delivered over the Internet continues to go from strength to strength in Australia, according to new research by technology analyst firm Telsyte. The report shows Australia is to see 2.7 million active subscriptions expected by the end of June 2016, representing a growth rate of 46 per cent over the same period in 2015.
Eutelsat Returns to Focus on Video
Eutelsat will focus on video and connectivity as part of a new strategy designed to address “slowing industry-wide momentum”. The company has said they wish to return to growth by building on their core video business and capturing longer term potential in connectivity.
LinkedIn Rolls Out Programmatic Buying for Display Ads
Professional social media network LinkedIn is to open up its display inventory for programmatic buying. The new method of buying ads will deliver display ads on LinkedIn desktop, on supplementing the earning power of sponsored content which delivers 60 per cent of its revenue. Buyers will be able to buy via open auctions or via private exchanges.
Continued Growth in Mobile Video Usage
The use of connected TVs and mobile video continues to increase, particularly among younger audiences, according to new data from Frank N. Magid Associates. The research took place as a survey, where 74 per cent of online consumers now have what’s considered a connected TV, up sharply from 59 per cent reported a year ago.
Cable Industry Up 7.1 Per Cent Year-On-Year
The European cable industry’s total revenues were up 7.1 per cent year-on-year in 2015 to €22.9 billion, according to stats presented by industry body Cable Europe and the IHS. According to the research, for full-year 2015, TV accounted for 50.4 per cent of cable industry revenues, internet for 31.0 per cent, and telephony for 18.6 per cent.
Auto Industry is Influenced By Online Video
Online video and YouTube specifically are playing big roles in the auto industry for prospective buyers and enthusiasts, according to new research from video ad tech provider Pixability. The research has shown that consumers are increasingly seeking out automotive video content on YouTube, Facebook, and Instagram as the explosion of mobile usage places video within reach at all times.
U.S. Adults Consume An Hour More Media Than in 2015
U.S. adults spent 10 hours, 39 minutes a day consuming media in the first quarter of 2016, which is up a full hour from the first quarter of 2015, according to Nielsen’s Q1 2016 Total Audience Report. The surge is due to a substantial increase in smartphone and tablet usage, the report has said.
10 Per Cent of Brits Block Mobile Ads
One-in-ten UK mobile users are blocking ads according to research from the IAB. The study, which also involves advice to marketers on how they can produce ads that better resonate with mobile users, concludes that giving consumers more control, and using “common sense”, are the way forward.
Samsung Launches Dedicated 360 Degree Website
On the back of released its 360 degree camera, Samsung has launched a dedicated 360 degree VR website. Samsung are also looking to create a website where the videos can be uploaded.
YouTube Opens Brand Partner Program Certification
Google-owned YouTube has opened an online version of its Brand Partner Program Certification. The program teaches marketers to produce videos, work with YouTube stars, run ads and otherwise manage a brand’s presence on YouTube. YouTube has also introduced live streaming to their mobile app.
Film Viral Activity Not Influenced By Trailers
Less than one quarter of content shared from film-related websites are because of trailers, according to new research from marketing technology company RadiumOne. Analysis of over 262,000 instances of content shared from film-related sites revealed trailers account for just 23 per cent of shares, but ahead of information about the cast, which was 13 per cent. Together, these three topics account for 63 per cent of film content shared. Action films are the most reliant on shared trailers.
Google Built Smartphone Might Be Due in 2016
Google is looking to release its own smartphone, potentially by the end of 2016. It’s been reported that the technology giant is in discussions with mobile operators about releasing a Google-branded phone that will extend the company’s move into hardware.
TV Quality Demands When Streaming Video
By focusing on network and ensuring high quality content, creators can increase engagement by 25 per cent, Verizon has found. The report found that 39 percent of connected TV users say they stream video on their devices daily, and 54 percent are watching five days or more a week, and that 86 per cent want TV quality video when streaming.
TV Outperforms Digital For Ad Attention and Recall
TV is outperforming computer, smartphone and tablet in viewer ad attention and recall according to the Council for Research Excellence and Hub Entertainment Research. The report found that for ad recall, 62 per cent of TV viewers were able to recall half or more advertisers, followed by tablet at 47 per cent, smartphone 46 per cent and computer 45 per cent. For attentiveness, 29 per cent of participants rated TV an 8- 10 on a 10-point scale where 10 means complete attention, ahead of smartphone 23 per cent, computer 20 per cent, and tablet 17 per cent.
This Week’s New Hires:
SpotX Hires ITV’s Byrne For Nordic Role
Stephen Byrne has been appointed Senior Business Development Director, Nordics for SpotX from ITV.
Unruly Makes Senior Hires in US
Video ad tech company Unruly has appointed three new senior hires to its US commercial team. Jeff Minsky and Steven Sottile join the video ad tech company as SVP Agency & Client Development and SVP, Sales, US, respectively, while Seho Lee joins as VP Programmatic Sales, US.
Facebook Hires Google Fiber Co-Founder
Google Fiber manager Kevin Lo, has been appointed by Facebook as Director of Infrastructure Connectivity and Investments.
VI Announces New Hires for London Office
Video Intelligence, a Zurich-based mobile ad technology company that was spun out of Viewster, a video publisher, has opened its London office in Paddington and expanded its team to include Matthew Beck, Greg Carroll and Rahul Bathia.
Snapchat and UFC Partner For Live Stories
The UFC has agreed a multi-year partnership with Snapchat in a deal which will open up its events to the social media platform’s Live Stories function. Live Stories gives users in the area of an event the option to contribute their snaps to the crowdsourced stream, which will be pinned to the top of all Snapchat users’ feeds.
comScore and xAd Partner For Mobile Ad Tracking
In order to help brands better understand when their mobile ads have driven an in-store visit, comScore and xAd have formed a partnership. The solution will initially be available globally for mobile campaigns through xAd, and will later be available for desktop and television through comScore.
Venatus Media Partners With Ellation for Crunchyroll
Vanatus has won the right to represent the ad sales for Crunchyroll.
This Week on VAN:
The Year of Mobile Will Never Come, read more on VAN
Creditors Report that Say Media are Struggling With Payments, read more on VAN
Yes, the Digital Distribution Opportunity is Huge, but is your Data House in Order? Read more on VAN
A Post-Brexit Advertising Round-Up, read more on VAN
Ad of the Week: Would You Stop if You Saw This Little Girl in the Street? Unicef, Switch Communications
The clue’s in the title for this soul searching advert for Unicef.
