Recent research on the effects on reach of different allocations of spend on TV and other forms of digital video platforms from Nielsen and YuMe, the video technology company indicate that the online video is pulling viewers away from traditional TV.
The Research Numbers Tell the Story
In order to continue to reach these audiences, advertisers will need (Need a Cross Platform Video Plan) to include these platforms in their marketing budgets. Especially, with millennials and male-millennial audiences:
– Men 18-34: Shifting 10% to 30% of a television budget to digital video (online, mobile, tablets, connected TV) increases plan reach between 6% and 11%.
– Adults 18 – 49: In this key demographic, 10% to 30% in reallocation from a television budget to digital video increases reach between 4% and 5%.
– YuMe has created a calculator that shows how reallocating mid- and larger-sized budgets works in reaching younger, male audiences — while showing that approach is not as effective for women in the 25-54 age range.
Research is Providing Proof for Allocation Attribution
Take some time to look into the data but the emergence of this type of research and tools will give media planners an effective method for allocating spend and a way to measure the uplift in reach. With the publishing of this real research, we now have data that can support and quantify that shifting money from traditional television to new video platforms is smart business.
The Growth of Mobile and Online Video Advertising Will Accelerate
Industry consensus has been that the growth of mobile and online video advertising has been slower than expected because up until this research there have not been enough tools to measure these alternate channels. With YuMe and Nielsen investing in research and trying to understand how viewing pattern changes translate to changes in audience reach, more sophisticated strategies will emerge for reaching brand prospects with the right T/V (Television/video) message at the right place and time.