Video to represent half of all EU e-display ad spend by 2020

News Wireless Europe 7 OCT 2015
Video to represent half of all EU e-display ad spend by 2020
European video advertising spend will grow by more than 30 percent year-on-year in 2015 and will rise at a 26.4 percent CAGR over the next five years to represent half of all EU online display advertising spend by 2020, according to a forecast by Forrester. Researchers assessed 50 high-traffic publisher sites in the UK, France, Germany, Spain, and Italy and data from a survey of 16,000 EU consumers and compared the findings to Forrester's historical studies of the same nature.

While in-stream video ads are the most widespread means of monetising online video content in Europe, they are also the most unpopular ad format as 53 percent of EU consumers actively avoid ads before or during online videos. The avoidance rate spikes to 63 percent among French consumers.

Mobile video viewing adoption in Europe is growing much more slowly than anticipated, according to the research. At present, just 14 percent of EU consumers regularly watch video on a mobile phone, compared with 32 percent on a PC and 28 percent on a tablet. Mobile video consumption is lowest in the UK at 8 percent and France at 9 percent. Targeting is still primarily based on content not people. In the more mature video ad markets of the UK and France, where programmatic buying is more widely adopted, targeting is better aligned to socio-demographic profiles, search, and online behaviors. Marketers that bought inventory through the likes of AppNexus, DoubleClick, and TubeMogul were consistently more successful at delivering relevant ads. They were still, however, the exception, rather than the rule.

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