Pre-Roll Ads Dominate Online Video….but View-through Rate is Just 70 Percent, Study

13-03-01-03-53.jpg
By on 10/20/2009 12:05 AM @daisywhitney

NEW YORK –  Pre-roll ads, especially those for beauty and household products, continue to dominate online video ad inventory in 2009, according to a study from online video ad network YuMe.

The Redwood City, Calif firm analyzed the more than 3 billion video ad impressions it served for in-stream video over the first nine months of 2009 and found pre-roll remains the most popular ad format and
comprised anywhere from 81% to 94% of the inventory each quarter.

Usage rose throughout the year and about 93% of spots in
the third quarter were of the pre-roll variety.

Also, YuMe found viewers watch about 70% of a pre-roll ad, known as the video completion rate. The view-through
rate dipped a bit last quarter to 67%, down from 72% in the
second quarter.

"The pre-roll is
dominant because ultimately the agencies are repurposing TV creative," said Michael Mathieu, CEO of YuMe. "The challenge for us is to have the agencies spend more time on custom creative because when you do custom creative you get a significantly better experience from an engagement perspective."

In fact, the click-through rate for custom spots is about 2%,
such as video takeovers, with pre-rolls generating closer to 1%
click-through rates, the study found. YuMe plans to introduce new type of customized ad formats, he said.

The top advertising category for the first nine months of 2009 was beauty products, accounting for 18.6% of the spend, while consumer packaged goods/household ranked second with 14.7% of the spend, and autos third with 10.3% of ad dollars.

YuMe said marketers are most eager to reach people 25 to 54 with 13% of advertisers requesting inventory against that demo. Also popular were the men 18 to 34  and women 25 to 54 audience segments.

Michael will discussing the report later today at the Beet.TV Online Video Roundtable in New York.  The event will be streamed live on this site.

In March in San Francisco, Andy interviewed Michael about pre-roll advertising and industry trends.  We have republished that interview today.

Daisy Whitney, Senior Producer

Disclaimer:  YuMe is the sponsor of today's Beet.TV  event in New York. 

Recent Videos
image
News Corp’s MCN Using Programmatic To Sell TV Ads with AOL in Australia

Australia is one of the world’s leading online advertising markets. So how will the year ahead play out in the nascent field of “programmatic” TV advertising? TV companies have to get onboard or risk being left behind, says one sector exec. “2015 will be the year many of them realize ...

image
BBC Will Push Device Makers To MPEG-DASH: Unified Streaming CEO

LAS VEGAS — Can one broadcaster move the entire consumer electronics manufacturing industry? Perhaps when that broadcaster is as powerful as the BBC is in the UK. The corporation’s support for MPEG-DASH, an emerging media streaming standard that supports adaptive bitrate streaming over standard ...

image
MPEG-DASH Moving Toward Deployment: Wowza’s Knowlton

LAS VEGAS — MPEG-DASH, the digital video standard that uses adaptive bitrate streaming to offer higher-quality video and audio with encryption and cross-platform capability, is increasingly being looked to by video content owners searching for an alternative, says a video server vendor. “DASH ...

image
DASH And HLS Go Hand-In-Hand, For Now: Verimatrix’s Christian

LAS VEGAS — Take two bottles in to the shower? Today, two online video standards are in the frame for adoption – but, in time, one may be victorious. The MPEG-DASH standard, which can use adaptive-bitrate streaming to scale quality regardless of connection speed over standard HTTP servers, is ...

image
Immersive Audio Will Light Up MPEG-DASH: DTS’ Skaaden

LAS VEGAS — The MPEG-DASH video standard is bringing higher-quality video and audio to digital media by using adaptive bitrate streaming. But the improvements will keep coming on top of that platform, says one of the leading digital audio outfits. “It’s the right format for industry partners to ...

image
Microsft Dashes To MPEG-DASH Support: Sodagar

LAS VEGAS — DASH by name, dash by nature? The draft international standard for MPEG-DASH, the video standard bringing higher-quality video and audio to digital media by using adaptive bitrate streaming, was first specced out in 2011. Now it is fast being adopted by big-name video server vendors. ...

image
Silverlight’s Chrome Exit Will Spur MPEG-DASH: Bitmovin’s Lederer

LAS VEGAS — Google’s recent decision to end Chrome browser support for Netscape Plugin Application Programming Interface and, with it, for Microsoft’s Silverlight video format, will spur adoption of fast-growing rival format MPEG-DASH, says one online video boss. “We will see a lot ...

image
Akamai Touts Its Video Player

LAS VEGAS – Widely known as a global content delivery network, Akamai has been evolve its media offering to include a video player which is being used by some of the biggest online video publishers, explains Frank Paolino who heads the video player development at Akamai. The player, which was launched ...

image
Yahoo Has Data from 1.5 Billion Mobile Users via Flurry Integration

Consumption of video is moving increasingly to mobile apps and Yahoo can provide brands with deep targeting data around 1.5  billion global users, now that the integration with mobile analytics firm Flurry is complete, says Andrew Snyder, VP of Video Sales at Yahoo, in this interview with Beet.TV Yahoo ...

image
Yahoo’s Big Data is Now “Lit Up” on Brightroll

LAS VEGAS –  Following its acquisition by Yahoo late last year, programmatic video adtech company Brightroll is now using data from Yahoo’s one billion global users, says Brent Horowitz, VP of Business Development at Brightroll, in this interview with Beet.TV. He says that the merger has also ...

image
Programmatic TV Yields More Targeted Ad Outcomes, AOL’s Ackerman

As programmatic buying starts to take root in TV, industry players are finding benefits both in efficiency in the buy as well as in the outcome, says Dan Ackerman, Senior VP of ONE by AOL, in an interview with Beet.TV about the future of TV advertising. “We are seeing the benefits for programmatic on ...

image
TV Ad Firm Sees Growth in Addressable Buying, Invision’s Marshall

Addressable delivery of ads is on the rise by early adopters in recent years, says Steve Marshall, CEO of multi-platform advertising sales software firm Invision, in an interview with Beet.TV. Many MVPDs are moving aggressively to sell their inventory on an addressable basis, he says. “We are focused ...

loader