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AdExchanger.com Predictions for 2011: Video

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AdExchanger.com 2011 Predictions: VideoAdExchanger.com reached out to the video advertising, technology community for their predictions about the digital advertising ecosystem in 2011.

Click a name below to begin, or scroll:

Bill Day, CEO, Tremor Media

  • As the video market increases dramatically, CPE model garners larger share of new budgets: CPE moves success criteria away from CTR toward more relevant branding metrics.  CPE unites viewer interests (self-selection, fewer ads/less clutter) with advertiser interests (paying only when viewers engage) and publisher interests (no wasted inventory).  As more advertiser dollars enter digital video, the hottest segment online, we expect the trend toward CPE not only to continue, but to flourish in 2011 and beyond since it provides the triangle of benefit while focusing results criteria on more relevant branding metrics and not on clicks.

Toby Gabriner, President, Adap.tv

  • The growth of addressable video ad expenditures will be more than 50 percent year over year.
  • TV budgets will start to make a move to online video.
  • All publishers, big and small, will have some type of video content on their site by the end of 2011.
  • More than 20 percent of all non-search digital spends will be bought via some type of DSP platform.
  • Horizontal display ad networks will begin to experience revenue loss due to DSPs/Agency Trading Desks.
  • We will begin to see large growth in video syndication in 2011.

Scot McLernon, CRO, YuMe

  • The test of online video for efficiency and effectiveness took place in 2009 and 2010. The research shows that online video is more effective than TV, and that by using video advertising in concert with TV advertising, ad campaigns see better results. Moreover, personal experience demonstrates that audiences are consuming more and more video content through the computer, the iPad, and other connected devices. A significant shift of money from TV to video is starting to come to fruition, and I predict that in 2011 that shift will be more fully realized.

Dave Morgan, CEO, Simulmedia

  • I believe that 2011 will both prosperous and tumultuous for advertising and media companies. Online ad companies will find continued growth, but exits for start-ups and their investors will continue to be sporadic and newer, lower-cost competitors will continue to enter the market. TV companies will find themselves continuing to rule to roost, but increasing audience fragmentation and “Over-the-Top” distribution will threaten the business models of many incumbents and we will see the the growth of next-generation TV ad companies. Finally, the print industry will continue to face tough times and tight margins. Unfortunately, the iPad won’t be the “silver bullet” to save them in 2011 as many hope and expect.

Atul Patel, CEO,  OneScreen

  • Paid access to content through pay-per-view, subscriptions, or incentive for data will become more prevalent, especially with trends showing that consumers are open to paying for valuable content and services as seen with mobile apps and subscription services such as Pandora.  Abundance of non-paid paths to content will be the biggest challenge for paid access, and will be balanced with increased ad-supported distribution supplied with ad-friendly content creation, premium content alteration, and archival content exploitation.  Network bias and possibly device bias will become more critical in shaping content distribution and access, and monetization will have to be shared between content owner and distributor no matter the network or device.

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