|By Marketwired .||
|January 2, 2013 05:28 PM EST||
NEW YORK, NY -- (Marketwire) -- 01/02/13 -- Brands in 2013 will increasingly use digital video advertising to test creative ideas before producing expensive TV commercials, tell more engaging and multichannel stories, and improve the way they measure the effectiveness of their marketing dollars, according to a new report produced by Tremor Video Inc. Moreover, brands will use video metrics to better understand their audience and eventually end the practice of gender stereotyping that has arisen due to comparatively simple TV metrics, the report states.
"Brands in 2013 will create and run multiple ads online, assess which ones people engage with most, and use that insight to decide which creative to use for their TV ads," says Tremor Video CEO Bill Day in his company's Video Predictions 2013 report. "This approach could be used for the Super Bowl, the Oscars, or any large TV media buy where historically there has been a hope and a prayer in terms of the right creative for the right audience. We're starting to see marketers use online video strategy to ensure their bets are the right ones."
With regards to gender stereotyping, Day predicts that marketers this year will use online video to understand who is interested in their products.
In the report's video, Day says:
"Because of the relative simple nature of TV metrics, marketers had to make short-cut assumptions that all men want to look at car ads and women are the ones to target for food and cleaning products. And as we know in today's environment, that's just not true... the opportunity with online video is not to chase gender-stereotypes... but to extend your buying and your understanding. Who better to target your ad to than the people who are leaning forward... and sometimes those people look nothing like the audience you have traditionally assumed is the audience for your product. Done well, online video allows you to not be constrained -- to use a broader approach to reach all those customers, some you've reached traditionally and some you have not, in an effective way."
Tremor Video Inc. is using financial data to predict that more marketers will increase their investments in digital video advertising. The company's revenue from interactive online video ads, which give people the chance to opt in to see more content, nearly doubled from Q1 to Q4 in 2012. At the same time, mobile interactive video units grew: In Q4, 55% of the company's mobile ad revenue came from interactive units, up from 12% in Q1.
The report, consisting of a blog post and video, also predicts that brands and agencies will:
1. View TV and digital video ad channels as complementary. When shooting TV ads, brands and agencies will develop additional content designed specifically for interactive ad units. The power of touch (enabled by myriad touch-screen devices) will join sight, sound and motion as the best ways to engage an audience.
2. Jump on the transmedia bandwagon, following in the footsteps of Hollywood. With the ability to tell stories across myriad platforms, media planners will embrace agnostic planning across all screens. TV and video will rule branding to the detriment of print, outdoor, radio and online display advertising.
3. Diminish the reliance on the decades-old TV metric -- the GRP. In addition to Gross Rating Points, which assess how many times an ad has been shown to a given audience, brands will use online video metrics to arrive at an ERP for their ad campaign. Effective Rating Points, a relatively new industry term, reveal which segments of an ad campaign's broad target audience are engaging with the ads, and if they are watching them to completion.
About Tremor Video Inc.
New York-based Tremor Video Inc. is ranked 13th on The Wall Street Journal's list of the top 50 U.S. start-ups funded by venture capital. The company has offices in Atlanta, Boston, Chicago, Dallas, Detroit, Los Angeles and San Francisco, with international offices in London, Munich, Singapore and Toronto. It has two operating divisions that provide complementary media and advertising services:
Tremor Video, founded in 2005, provides video advertising services on four screens: connected TV, computers/laptops, mobile phones and tablets. On behalf of brand marketers and agencies, the company uses proprietary technology to serve video ads to the right people at the right time in brand-safe environments. It can do this through its direct relationships with hundreds of premium-quality publishers of which more than 170 have chosen Tremor Video as the only outside party to sell their digital ad inventory. Tremor Video pioneered the cost-per-engagement (CPE) pricing model, helping agencies and brands to get more for their brand-marketing dollar by making video ad units interactive and inviting. For more information, visit www.tremorvideo.com and find us on Twitter, Facebook and LinkedIn.
VideoHub was founded in 2011 by Tremor Video Inc. to fill an unmet need among brand marketers, media agencies and publishers for a simple way to buy, measure, verify and analyze the effectiveness of video advertising campaigns. VideoHub is the first video ad platform to have integrated Nielsen's Online Campaign Ratings, which provide demographic ratings for online ad campaigns. Going one step further, VideoHub uses proprietary technology to analyze multiple variables that explain ad reach in the context of how, when, where and why people engage with a brand's video ad campaign. Its robust, flexible platform simplifies operations, provides actionable insights, and eliminates the need for multiple third-party products. Media agencies and publishers around the world are integrating the platform into their own operations to gain true transparency into their video advertising. VideoHub was named the Festival of Media's "MAP Hot Company of the Year 2012." For more information, visit www.videohub.com and follow us on Twitter, Facebook and LinkedIn.
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