Paid Video Ads Surge Globally: Ooyala Survey

A new study has shown that video ad impressions surged globally by 74 per cent off the back of a 22 per cent increase in the amount of premium video inventory.

The study also found that reinsertion technology – basically adblock blockers, in your language – is a more effective way of overcoming consumer resistance.

The findings are based on data from the Telstra-owned Ooyala which last week released its Q1 2016 Global Video Index.

The study also found uncovered 13 per cent increase in private marketplace CPMs during the quarter. This is interesting as this figure traditionally falls off the cliff after the Christmas holidays.

Mobile video starts also increased. “Nearly half (48 per cent) of all video starts in the quarter were on mobile devices, up 129 per cent from Q1 2014 and 14 per cent from a year ago. The mobile segment continues to expand, but at a slower pace.” (Video plays on tablets made up 18 per cent of mobile plays in the quarter, the third consecutive quarter of growth despite a slowdown in tablet shipments worldwide).

The Video Index – which draws insights from more than 3.5 billion video analytic events per day from 220 million viewers across the world – also took a deeper look at viewer engagement, specifically in terms of Quality of Experience (QoE). It found that viewers (for now) are far more willing to endure extended buffering events when watching live content than while watching VoD.

The authors said, “Partnering with Nice People at Work (NPAW), Ooyala found that more than 40 per cent of viewers dropped if VoD buffering exceeded 5-6 second. Viewers of live events, meanwhile, will sit through 25-30 seconds of buffering waiting for the start of a live-streamed event before dropping in similar numbers.”

The report also found that helping viewers discover relevant content keeps them on a site longer. On average, viewers watched 40 per cent of all content recommended to them, increasing their time on a website by between 6 per cent and 23 per cent.

The authors also said that the jury is still out on the argument between the SVOD vs. AVOD business models, and particularly which creates the highest viewer response and extended engagement. “Long-form SVOD content (over 20 minutes in length) saw the highest completion rates on all devices. For AVOD, device use – and completion – varied.”

Adblocker blocking

Meanwhile the data reveals that Smartphone and PC viewers prefer short-form content the most (66 per cent and 55 per cent respectively), while tablet AVOD viewers are split between long-form (43 per cent) and short-form content (44 per cent).

Finally, one more sign of mobile’s increasing role in the ecosystem: it increasingly is being used to watch video at all times of the day.

Previous Video Index studies have shown that PCs generally see the greatest share of video views during the workday. While they still remain as the principle device being used, smartphones and tablets have begun to close the gap — and continue to rule evening viewing.

This article originally appeared on B&T’s sister business site www.whihc-50.com

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