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TV still rules advertising spends, but online, mobile video set to explode
Parent Category:News | 23-10-2013
A new pair of research studies has revealed that marketers continue to gradually increase their global ad spending, as expenditures grew 3.5% in the second quarter of 2013 and 2.8% on a year-over-year basis for the January to June periods of 2013 and 2012. TV still commands the lion's share of spending, but buyers of online video advertising have increased their investment for the fourth year in a row.
According to Nielsen's quarterly Global AdView Pulse report, Traditional living room TV still accounted for 57.6% of all ad spend globally — followed not by mobile or online but rather newspapers, which came in at nearly 19%, followed by magazines at 10%.
But the outlook is good for digital advertising: Nielsen said that in the first half of the year, Internet display ads only took 4.3% of all spend. But the segment grew 27%, nearly six times as much as the TV spend.
Adap.TV meanwhile has released figures that show that more than 90% of agencies reported some level of increased video ad spending, with an average increase of 28%. Brand advertisers showed similar levels of interest in video, with more than 85% increasing spend, but the average increase from advertisers directly was a whopping 65% more than in 2012.
Adap.TV's Q4 2013 State of the Video Industry report revealed that the growing video ad spend is pulling from TV broadcast dollars and display, while video CPMs have risen 7% year- over-year. Their video inventory availability has also increased by more than a third.
Programmatic, or automated, video ad buying from exchanges and DSPs, has roughly doubled in the year; 60% of both brands and agencies plan to apply programmatic buying to their cross-screen planning and buying – including both mobile and linear TV – in the next year.
Adap.TV also found that mobile video continues to explode: seven out of ten agency buyers said they're buying mobile video today; 43% of brands are buying mobile video.
Nielsen noted that geographically speaking, many marketers remain conservative with advertising budgets but those in Latin America continue to buck the norm, increasing their expenditures by 13.1% (to $13.5 billion) for the January to June period.
All regions contributed to global growth for the first half of the year, except Europe, where marketers remain modest with their ad budgets amidst the regions' continued fiscal crisis, resulting in a 6% decline for the period. Elsewhere, ad spend continued to recover after slumping during the economic downturn, with growth of 3.9% in the Middle East and Africa, 2.7% in North America and a more substantial 6.4% in Asia Pacific.
Argentina contributed significantly to growth for the Latin America region with nearly 30% growth. Indonesia, China and the Philippines all contributed to double-digit ad growth in Asia Pacific for the first half of 2013, with expenditures reaching $51 billion. In Europe, ad spend increased in Norway, Switzerland, and Greece (2.5%, 0.6%, and 7.4% respectively), while expenditures declined in all other countries in the region.
Parent Category:News | 23-10-2013
A new pair of research studies has revealed that marketers continue to gradually increase their global ad spending, as expenditures grew 3.5% in the second quarter of 2013 and 2.8% on a year-over-year basis for the January to June periods of 2013 and 2012. TV still commands the lion's share of spending, but buyers of online video advertising have increased their investment for the fourth year in a row.
According to Nielsen's quarterly Global AdView Pulse report, Traditional living room TV still accounted for 57.6% of all ad spend globally — followed not by mobile or online but rather newspapers, which came in at nearly 19%, followed by magazines at 10%.
But the outlook is good for digital advertising: Nielsen said that in the first half of the year, Internet display ads only took 4.3% of all spend. But the segment grew 27%, nearly six times as much as the TV spend.
Adap.TV meanwhile has released figures that show that more than 90% of agencies reported some level of increased video ad spending, with an average increase of 28%. Brand advertisers showed similar levels of interest in video, with more than 85% increasing spend, but the average increase from advertisers directly was a whopping 65% more than in 2012.
Adap.TV's Q4 2013 State of the Video Industry report revealed that the growing video ad spend is pulling from TV broadcast dollars and display, while video CPMs have risen 7% year- over-year. Their video inventory availability has also increased by more than a third.
Programmatic, or automated, video ad buying from exchanges and DSPs, has roughly doubled in the year; 60% of both brands and agencies plan to apply programmatic buying to their cross-screen planning and buying – including both mobile and linear TV – in the next year.
Adap.TV also found that mobile video continues to explode: seven out of ten agency buyers said they're buying mobile video today; 43% of brands are buying mobile video.
Nielsen noted that geographically speaking, many marketers remain conservative with advertising budgets but those in Latin America continue to buck the norm, increasing their expenditures by 13.1% (to $13.5 billion) for the January to June period.
All regions contributed to global growth for the first half of the year, except Europe, where marketers remain modest with their ad budgets amidst the regions' continued fiscal crisis, resulting in a 6% decline for the period. Elsewhere, ad spend continued to recover after slumping during the economic downturn, with growth of 3.9% in the Middle East and Africa, 2.7% in North America and a more substantial 6.4% in Asia Pacific.
Argentina contributed significantly to growth for the Latin America region with nearly 30% growth. Indonesia, China and the Philippines all contributed to double-digit ad growth in Asia Pacific for the first half of 2013, with expenditures reaching $51 billion. In Europe, ad spend increased in Norway, Switzerland, and Greece (2.5%, 0.6%, and 7.4% respectively), while expenditures declined in all other countries in the region.
