Ad spend in digital video continues to accelerate: Marketers report an increase for digital video budgets by 25% y/y. We are seeing this growth occur across all categories—with Media and Entertainment reported up +75%, and Fashion and Apparel up +45%, since 2018.
NewFronts are a prominent driver of this growth. According to this report, 84 percent of advertisers attending reported that the event has a significant influence on original digital video spending. 8 out of 10 advertisers agree that their attendance resulted in increased spending on original digital video content.
Direct-to-consumer (DTC) brands that have marketing budgets greater than $1 million per year are shown to be digital video fans. Of this group, 78 percent plan to increase their ad spend on digital video in the next 12 months, and these DTC ad buyers are expected to boost their investment by 50 percent over a year ago—a faster pace than buyers for incumbent brands.
Other key findings include:
- New digital video ad formats are expected to have significant increase in adoption in 2019–particularly stories and shoppable ads
- Nearly two-thirds (59%) of ad buyers plan to increase their advanced TV spend in the next 12 months, with half reporting increases in OTT
- Buyers report that half of digital video budgets will be spent through programmatic buys
- 7 in 10 digital video advertisers currently use influencers in their digital video advertising
- More than 8 in 10 advertisers agree that a unified multi-platform buying solution (TV + digital video) is important