While it's not surprising that a Forrester report (sign-up required) commissioned by video ad platform SpotXchange suggests that the market for real time bidding for video inventory is starting to take off, the conclusion of the analysts is hardly cheerleading.
The report identifies three things hindering the growth of online video RTB, starting with the lack of consistent technology among major buyers and sellers. Forrester also suggests greater education of non-digital media buyers and sellers about what to expect from online video RTB. Underlying the last point is the sense that there has been some foot-dragging when it comes to publishers, some of whom still regard the acronym as actually meaning "race to the bottom" when it comes to prices for premium inventory that is mostly sold on a direct basis to agencies and advertisers.
Despite those concerns, there is no doubt that online video -- like display advertising generally -- has started to emerge as a significant segment within the wider RTB universe. Forrester estimates that $387 million will be spent on online video RTB this year, meaning that it will comprise 15.6 percent of U.S. online video spending in 2012. The researcher expects online video to grow to over 20 percent of video ad dollars in 2013 with $667 million in spending.