Last year was proclaimed the year of online video. And if the numbers released by several research shops hold true, online video advertising will be a growing industry this year as well. Analysts expect this format will grow from $2.16 billion in 2011 to $3.09 billion in 2012.
In the past year, PointRoll has been tracking trends in the video ad industry. Previously, telecommunications had the highest interaction rate by vertical (8.03%). Restaurants/food service came in second with 6.38%. In addition, forced video had a 4.65% interaction rate and an interaction time of 19.4 minutes. Both user-initiated and non-user initiated video experienced a CTR of 0.17% in 2010. And video completion rates in 2010 were highest for pharma (63.8%) and telecom (34.9%). In addition, video completion rates by website type varied. In 2010, websites which delivered the highest 100% video completion rates were news sites at 66.2% and game sites at 56.7%.
Analysts say that 100% video completion rates are growing. In 2011, the statistics collected by PointRoll show the superiority of the interactive in-stream method with a completion rate at 77.67%. The non-interactive, in-stream method experienced a 68.75% completion rate. The in-banner video placements had only a 100% completion of rate of 38.81%. During 2011, verticals with the best 100% video completion rate (non-interactive, in-stream) include consumer goods manufacturers at 96.85% and consumer electronics manufacturers with 82.89%. However, the highest click through rates belonged to insurance (1.54%) and telecommunications (1.34%).
When it comes to interactive in-stream video, 100% video completion rates are highest for automotive (80.66%) and non-profit organizations (70.8%). The click through results are slightly different, though. While non-profit organizations lead with a 0.99% CTR, the retail industry had the second-highest CTR rate at 0.81%.
Rob Gatto, CEO of PointRoll. “As advertisers increasingly look to expand campaigns across digital platforms and consider video ads as a tool to do that, they must consider interactivity as a feature in their video ads. Our latest research supports how valuable these ads can be in helping advertisers to achieve ROI on their video campaigns.”[Sources: 2010 Rich Media Benchmarks. Pointroll.com. Web. 14 Feb. 2012; Video Ads Becoming More Interactive. Pointroll.com. 19 Jan. 2012. Web. 14 Feb. 2012; Online Advertising Market Poised to Grow 20% in 2011. Emarketer.com. 8 Jun. 2011. Web. 14 Feb. 2012]