Online video ad spend beats TV on per-hour metric


online_video_small.jpgADOTAS — The focus on online video potential has cooled a bit amid the ongoing advertising economic meltdown, but seeds of future growth are still emerging.

According to eMarketer, video spending will account for 11% of online ad spending and 5.5% of the TV ad spend by 2013. After a big burst last year—over 125% growth—eMarketer expects to see growth over 40% for four years, “falling” to slightly over 30% in 2013.


“As the main vehicle for brand marketer ad spending, TV is not losing its place to online video advertising anytime soon,” according to David Hallerman, eMarketer senior analyst and author of the new report, Digital Video Advertising: Where’s the Money?. “In 2009, for example, for every $100 advertisers spend on television, they will spend only $1.60 for video ads. Even by 2013, that number will only reach $5.50.”

But in an interesting number, eMarketer projects that TV advertisers in the US will spend only $0.13 per hour of viewing, while their online video counterparts will spend 38% more, at $0.17 per hour.


“Since,” Hallerman added to his note, “the time people spend watching video or TV content produces potential engagement points—moments to reach them with the marketer’s message—this is a suitable method for gauging the strength of these two parallel ad spending formats.”


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