TV and Online Video Viewing to Grow Together

Wed Mar 16, 2016

Kathy Crosett

Should your clients shift more of their TV ad budget into online video? This is a question many media sales reps arewatchingtv3 likely hearing these days. There’s no question that consumers are watching more digital video. But the most recent study from Videology also shows that, over the next 3 years, consumers will continue to watch traditional TV.

There’s no denying that a gradual shift is taking place with respect to digital video viewing.  According to the Videology study, consumers will significantly or moderately increase their non-traditional TV viewing as follows between now and 2019:

  • Online streaming of full-length TV programs from network sites 73%
  • Online streaming services from providers like Netflix and Hulu 73%
  • Original online professional programming 70%

However, 49% of media buyers and sellers believe consumer viewing of TV at time of broadcast will significantly or moderately increase during this same time period.

Similarly, while many consumers (46%) will likely increase their TV viewing via a traditional set with an antenna or cable/satellite providers, many more will take up the habit of checking out video programming through their laptops, tablets and smartphones.

These changes in consumer behavior are driving shifts in media buying. Three years ago, 70% of buyers said they were shifting funds from TV to online video ad formats. This year, that number is 75%.

With the digitization of video ad buying and selling comes additional capabilities. Buyers like the ability to adapt quickly using programmatic tools. They also says interactivity may be the best tool available in the digital video universe. About 80% of advertising  industry pros believe direct response campaigns will rule going forward. This may be especially true for personalized, short-format digital videos which will also lend themselves to easier ROI measurement.

While the digital video world continues to change and grow, it’s clear that your clients will benefit most from a media campaign which uses that format along with traditional TV for the next several years.

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About Kathy Crosett

Kathy is the Research Director for SalesFuel. She holds a Masters in Business Administration from the University of Vermont and oversees a staff of researchers, writers and content providers for SalesFuel.

View all posts by Kathy Crosett
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