Internet Marketing Trend:
Internet Video
Advertising
Simon Stuchlik
Introduction
 What
do you do during a TV commercial
break?
 How
about the Internet?
Talking Points
 What
are Internet Video Ads?
 The History of Internet Video and Ads
 Environmental Factors
 Internet Video Ads Today
 The Future: Successes and Concerns
Video Ad Categories
In-Stream Video: Linear
Takes over the entire Viewing
Experience
Pre-, mid-, or post-roll
In-Stream Video: nonlinear
Runs parallel to the video
Youtube overlays
In-Banner Video
In-Text Video
plays in within an advertising
banner
plays with mouseover/highlighting words
(Lauden, 2009)
In-Text Video
(IAB, 2008)
The History of Video Ads
2005: First study finds
internet video
advertising effective
1998: Yahoo buys
Broadcast.com
(IAB, 2008)
(Maddox, 2005)
TV commercials
2009: US spending
for internet video
ads: $1.05 billion
2000: ‘Webmercials’
(James, 2000)
1950s
1990s
(Lauden, 2009)
2000s
1996: IAB is
founded
2005: YouTube
2007: Hulu
(IAB, 2008)
1989: World Wide
Web
(Lauden, 2009)
2001: US spending
for internet video
ads: $40 million
(eMarketer, 2006)
2006: video ads
defined
(IAB, 2008)
Environmental Factors
 Shift

away from the TV (Wayne, 2009)
The Growth of Youtube
 Inefficiency

Spam and Pop-Ups (Lauden, 2009)
 Web

of other digital ad formats
2.0 – Interactivity (Lauden, 2009)
Hulu, Facebook, Youtube
Target Markets
 Video-Watching


Consumers
80% of internet users watch video (Lauden, 2009)
They don’t mind ads (eMarketer, 2010)
 Business-2-Business

(Bannan, 2008)
‘webinars’ – a new form of narrowcasting
Video Ads Today
 Nov.
2009 – 30 billion videos watched (ComScore, 2010)
 High
interaction rates (Lauden, 2009)
 Finding


the right Format (Rodgers, 2010)
The Pool
Hulu Ad Selector
The Future Impact
What do you think?
Future Growth
$20,000.00
$15,000.00
Video
Search
Banner
$10,000.00
$5,000.00
$0.00
2009 2010 2011 2012 2013 2014
(Rick, 2010)
Future Growth
 ASq

– Building on The Pool (Schweizer, 2010)
Letting the user choose
 Measures

Percentage of ad money spent
 Some


of Success
concerns (Lauden, 2009)
The growth of premium content
Mismatching Ads and Videos
Conclusion
 Internet
Video Advertising defined
 The history – timeline and environment
 Video advertising today
 The future impact of video ads
 Questions
or Comments?
References


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Bannan, K. (2008). Opt-in video offers options. B to B, vol. 93, p. 27. Retrieved October 25, 2010,
from Business Source Elite Database
ComScore, Inc. (2010). November Sees Number of U.S. Videos Viewed Online Surpass 30 Billion for
First Time on Record. Retrieved October 23, 2010, from
http://www.comscore.com/Press_Events/Press_Releases/2010/1/November_Sees_Number_of_U.S.
_Videos_Viewed_Online_Surpass_30_Billion_for_First_Time_on_Record
eMarketer, Inc. (2006). Online Video Advertising: 'You Ain't Seen Nothin' Yet!‘ Retrieved October 23,
2010, from http://www.emarketer.com/Article.aspx?R=1004255
eMarketer, Inc. (2010, July 9th). 55% of Online Video Viewers OK with Web Ads. Retrieved October
23, 2010, from http://www.emarketer.com/Article.aspx?R=1007800
IAB. (2008). IAB Platform Status Report:A Digital Video Advertising Overview. Retrieved October 24,
2010, from http://www.iab.net/media/file/dv-report-v3.pdf
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sneaking into your computer. The Baltimore Sun. Retrieved October 23, 2010, from
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2010, from Business Source Elite Database.
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October 24, 2010, from http://www.reelseo.com/online-video-advertising-frenzy/
Rodgers, Z. (2010, Feb. 5). Study calls for more user choice in pre-roll ads. Clicks Marketing News.
Retrieved October 23, 2010, from
http://www.comscore.com/Press_Events/Press_Releases/2010/1/November_Sees_Number_of_U.S.
_Videos_Viewed_Online_Surpass_30_Billion_for_First_Time_on_Record
Schweizer, K. (2010, Aug 8th). ASq: Microsoft, Yahoo Let Users Choose Ads. Bloomberg Business
Week. Retrieved October 25, 2010, from
http://www.businessweek.com/technology/content/aug2010/tc2010088_922552.htm
Wayne, T. (2009, Dec. 13th). Digital Habits Shift Across Age Groups. New York Times Online.
Retrieved October 24, 2010, from http://www.nytimes.com/2009/12/14/technology/internet/14drill.html