September 13, 2011
ACCUSTREAM RESEARCH: PRE-ROLL VIDEO MEDIA SPEND UP 48% IN 2011; $1.56 BIL. GROSS BILLINGS FORECAST
Seaside, Calif. Pre-roll video advertising bought against increasing volumes of premium, syndicated, aggregator, 2nd and 3rd tier, UGC and social media inventory online is powering a thriving market forecast at $1.56 billion in 2011 gross billings, a 48% improvement over 2010, according to a media spend report by AccuStream Research.
The report, Pre-Roll Video Advertising 2011 – 2014: Inventory and Gross Media Spend, presents a rigorous financial, analytics based forecast of pre-roll inventory, billings growth, insertion frequencies, CPMs (historical to present, by site, brand and content category--including sellout rates), which when combined yield total market value.
An extensive analysis of gross media spend generated by in-house sales teams and corresponding contribution made through associations with video ad networks focused on pre roll inventory, along with exchanges, auctions, mediation and campaign management platforms is provided in detail.
YouTube is the largest pre roll video advertising network online (in terms of both inventory and gross media spend), followed by Hulu.
The top ten is rounded out with Disney/ABC, NBC/Comcast, CBS/CBS Audience Network, Viacom, Yahoo, NewsCorp/Fox, VEVO and Turner/TimeWarner. These pre roll gross media spend leaders account for 85.2% of gross media spend associated with the pre roll ad format online in 2011.
Pre-roll ads are being inserted (on average) every 1.61 video content plays against all classes pre roll inventory in 2011, excluding YouTube.
The corresponding insertion frequency in 2010 was 1.5, 1.4 in 2009. Higher insertion frequencies indicate fewer pre roll units per number of video plays. When YouTube inventory is included, average insertion frequency is 2.27.
Publisher by publisher analytics indicates a less interruptive insertion approach being taken has led to an increase the average length of pre roll spots in 2011, with the 30-second format exploited more frequently; also popular is 15-second counterpart.
“There are 19.5% more sites, networks and brands monetizing with pre roll in 2011 compared to 2010, a testament to the durability, flexibility, targeting and accountability associated with this execution format,” noted research director Paul A. Palumbo.
AccuStream Research produces sector reports bridging digital video, audio, subscription stores, online video advertising, video advertising networks and exchanges, mobile advertising networks, video platforms and integrated media optimization solutions.
Contact: Paul A. Palumbo, email@example.com