2011 Online Video Advertising Trends & Predictions – Part II – Real-time Bidding

2011 Online Video Advertising Trends & Predictions – Part II – Real-time Bidding

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I reached out to some of the biggest names in the online video advertising industry to get their replies to just a couple questions about what they believe 2011 will hold for online video advertising.

The responses were so good and expansive that I decided to run it as a series of articles. In Part Two we hear from Iggy Fanlo (adBrite), Andy Tu (Break Media) and Chris Young (DBG) about how ads will be placed online and their thoughts on real-time bidding.After the first question about the big trend in video advertising next year, I had some thoughts about how ads are going to be placed and bid on.

The Biggest Change in the Way Online Video Ads are Placed?

Real-time Bidding for Specific Days, Dayparts and Sites

Iggy Fanlo, President & CEO – adBrite: The last 12 months has seen expansive growth in real-time bidding and a proliferation of DSP’s.  adBrite predicts that in 2011 DSP’s and real-time bidding will grow well beyond the standard banner format into expandables, video and mobile to allow brand advertisers, who want large impact format, to access inventory through real-time bidding platforms.

By the end of 2011, advertisers will be accessing multiple formats (including video) through one platform (an exchange) with real-time bidding functionality.

Video Advertisers Want Size Reach and Scale

Andy Tu VP Marketing – Break Media: For a sub-section of advertisers, real time bidding and more sophisticated levels of time based targeting will be a tactic but as an industry, these specific tactics aren’t going to be what move the overall needle for significant growth.

We more often find advertisers coming to us who want size, reach, and scale within digital video rather than new ways to segment the audience into smaller pieces. That isn’t to say that various forms of targeting whether they be time based, behavioral, or psychographic aren’t important, but again they are one of a wide arsenal of tactics advertisers will employ.

The Industry Needs Publisher Adoption of VPAID & VAST

Chris Young CEO – DBG (Digital Broadcasting Group): The placement of video ads online remains fairly complicated, as we are still waiting for mass publisher VPAID & VAST adoption. Until we see widespread adoption, very little change will be seen in the way video ads are placed online.

Media planners in 2011 will be looking more to purchase a specific audiences, rather than site-specific destinations. It’s a more efficient way to reach their target consumer.

Something to Watch for in 2011

Not nearly as verbose as they were on the first question and far more diverse answers here. Again the matter of standardization via VAST and VPAID comes up which seems to be a topic that the industry as a whole need to address. There seems to be a distinct separation here where some believe that real-time bidding with specifics will be key and others that don’t really see it making a major impact over the next year. It looks to be one of those trends that we’ll have to keep our eye on as the new year begins and offices re-open after the holidays.


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