Growth in video consumption across devices is failing to deliver revenue
Videoplaza and IHS Screen Digest present A Future for TV – IP-delivered video advertising in a connected world
The world is changing. TV advertising growth is flat in Western Europe and the US. Whilst TV is still a hugely important medium for achieving reach, audiences are shifting across other devices. Videoplaza, working with IHS Screen Digest, have collaborated to deliver this research report on the IP-delivered video advertising space, to bring data and clarity to the industry. The first of its kind, the report examines the growth of IP-delivered video advertising, and the opportunities and challenges faced by broadcasters in an IP connected world. Key highlights include:
- Whilst TV still provides superior reach the Broadcast TV ad market is not growing – TV ad spend is flat in W Europe and the USA
- There are already 124m connected living room devices in Western Europe and North America
- IP-delivered video advertising is not following the upward trend of video consumption on connected devices at the same rate, although it’s growing faster than TV. In 2012 revenues will reach €460m (or around 2% of global TV ad spend), a growth rate of 53% from 2011
- Media owners risk missing out on growth, at the current rate of adoption, by not monetising services that address a full range of connected devices
- Ad delivery to non-PC connected devices grew from under 2% to over 16% in the last year, based on data from Videoplaza’s broadcaster clients
- Now is the time to act – the tipping point is happening now and broadcasters need to prepare for IP to keep or grow market share
- Broadcasters need a clear strategy in place across a number of key areas – content, distribution, devices and technology, to succeed in an IP-delivered world
