According to an eMarketer report, digital video advertising is on the rise and ad budgets are likely to triple by 2016.
Metrics For Measuring Video Advertising
It is difficult to measure the ROI of video advertising and there is a lack of standardized metrics.
According to BrightRoll 2013 Video Advertising Report. a survey conducted with 150 advertising executives;
- GRPs/TRPs are considered the form of audience measurement that clients value most in video advertising – a 46 percent increase from last year
- 36 percent of respondents think behavioral is the most valuable form of targeting
- Almost 40 percent of respondents say completed views are the most important success metric – a 42 percent increase from last year’s survey
Significant Metrics of Measurement Click-through rate Actual product sales Visits to the brand website Brand awareness or recall Video completion rate Reached target audience Social engagement (sharing/likes) Time spent watching video Number of times video was viewed Intent to purchase
Popular Metrics that are provided for Video Advertising are
Video Impressions Video Click Through 50% Midpoint Plays 100% Complete Plays "Skip" button clicks (for skippable ads)
An infographic from Videology explains metrics that can be used across Content Genres and Categories to understand online video advertising performance.
In addition to looking at completion rates, ad length and ad category, Audience Measurement looking at combined digital advertising is an important metric.
It is important to look at Audience Measurement as it provides greater clarity and reach with the Target Audiences:
Audience metrics are clear, objective and have the same universal definition. For example, percentage reach to men, ages 25-54, means the same thing to everyone in the industry and is not subjective like brand engagement. Audience metrics provide a more accurate measure of video ad effectiveness, in comparison to click-through rate (CTR) or completion rate, which are not truly indicative of ad performance because of accidental clicks and auto starts. Audience metrics provide a powerful foundation to enable true cross-platform measurement.
Source: eMarketer, US TV vs. Digital Video Ad Spending, 2010-2016, Dec 2012
Videology, Performance At A Glance
BrightRoll, On-Trial, Online Video Metrics, 2013
- Videology Research Shows TV-like Sales Accountability for Video (virtual-strategy.com)