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Online video advertising, a year in review

If you’ve been following this blog, you’ll know that 2011 saw no shortage of interesting trends, news, and highlights from the world of online video production company advertising. Recently. ReelSEO published a post featuring various online advertising experts weighing in on the state of video advertising last year, and maybe this will give folks something to think about before diving into video marketing for their business.

Mike Shehan, founder and CEO of SpotXchange:

2011 was very strong growth year for online advertising, with video remaining the fastest growing segment.  eMarketer predicts that online video production company ad spending will grow at a 38% rate annually, fueled by more people viewing content online and adopting newer technologies like tablets to watch that content.

One major trend that emerged over this past year was that programmatic buying increased with video through agency-owned or licensed trading desks, with a shift of dollars from managed services to real-time-bidding (RTB).  RTB emerged as a trend in 2011 as more and more advertisers and publishers began to realize the benefits that RTB has to offer, namely major scale and efficiencies.  Though it’s still early days, buyers and sellers using RTB in an exchange environment are benefiting from getting the prices they want due to increased competition, high volume and the ability to optimize in real-time.

In the SpotXchange video marketplace, we saw more than 100% month-over-month growth over the past quarter, and we were the first company to RTB-enable 100% of our inventory, which has led to more than 5 billion RTB bid requests per month.  Most importantly, brands are seeing considerable lift from video advertising through RTB.  Our preliminary data shows CPM lifts at 20% for publishers monetizing via RTB vs. those that are not.

Walter Harp,  Vice President, Product Marketing, Mixpo:

I think 2011 saw an increase in sophistication in video ads execution.  Just as display ads evolved from static to rich to personalized, video ads are following a similar evolution:  static to interactive to personalized.  The evolution is still early – as is the state of video advertising all up – but it’s encouraging to see advertisers continuing to move up the curve.

Jayant Kadambi, Co-Founder and CEO forYuMe:

In 2011,  brands rapidly adapted to changes in viewers’ online video consumption patterns by creating innovative cross-platform ad campaigns that actively engage viewers. Mobile devices and connected TVs have transformed the ways consumers consume content. This has driven the evolution of advertising from a series of disparate campaigns to a model in which brands can use a single media buy to distribute engaging campaigns wherever and whenever consumers are viewing online video.

To read all the expert insight, visit ReelSEO. For help using online video production company to promote your business, visit Video One Pro to see what we can do for you.

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