Online video ad technology provider YuMe is gearing up for what it expects will be significant ad growth in the connected TV market.
During its road show in New York last week, the company’s Chief Revenue Officer Scot McLernon talked with Beet.TV about the advertising bump brands can achieve with a multiplatform approach, including one that will incorporate connected TVs and over-the-top devices.
“We have relationships with the manufacturers and we have terrific scale on the Web and we are getting more scale on mobile and in 2012 we will really have scale on connected TVs,” he said.
That sort of spread across platforms is becoming more vital to reaching specific segments and groups of consumers, such as men 18 to 34 in the market for a new car, for instance. In fact, McLernon pointed to new research YuMe just released that was conducted with Magid and Nielsen underscoring the efficacy of online video ad campaigns.
He said shifting money from a TV buy to online video can increase a marketer’s reach and lower the CPM because the marketer will be able to reach new audiences who won’t be exposed to the ad on TV. Online video viewers are more engaged with ads as well.
The study found that 50% of viewers do other things when ads come on TV compared to 26% who do so when ads run in online video.
Disclaimer: This is a sponsored post. We have produced and published this video and several others to be posted under contract with YuMe. We hope you find this series of videos informative. AP