NEW YORK--(BUSINESS WIRE)--The majority of advertisers (78%) have already leveraged some form of advanced TV in their marketing efforts, according to “Advanced TV: Ad Buyer Perceptions,” a survey of 255 brand and agency decision-makers published today by the Interactive Advertising Bureau (IAB) and its Digital Video Center of Excellence. The survey, conducted by Advertiser Perceptions, reveals that although the current median budget allocation for advanced TV is a modest $1.4 million, 70 percent of advertisers expect to spend more on the medium within the next 12 months.
Funding of advanced TV advertising is expected to come from both TV budgets (68%) and expanded or experimental ad budgets (54%). Use of most advanced TV ad formats is expected to increase in the next year, especially addressable advertising (38%, up from 28% who currently use it), second screen ads (35% from 23%) and interactive tags (30% from 21%).
Nearly three-quarters (72%) of those surveyed sees advanced TV becoming an important advertising platform within five years. Several of its strongest benefits – echoing longstanding digital marketing characteristics -- were called out, including:
- Better targeting capabilities (51%)
- Ability to reach consumers anytime on any device (38%)
- Improved ROI (37%)
- Ability to personalize or localize messages (35%)
Advertisers also noted obstacles that may challenge advanced TV’s growth as a go-to marketing platform, with marketplace confusion about the medium singled out. Nearly three out of five weren’t sure about the differences between advanced TV and connected TV. A lack of understanding of the advanced TV technical process was also cited (35%), followed by high cost concerns (33%).
“Advanced TV advertising provides a captivating digital forum to reach consumers,” said Anna Bager, Senior Vice President and General Manager, Mobile and Video, IAB. “In the coming years, a growing percentage of advertising dollars will be directed towards advanced TV and other digital video advertising, as marketers and agencies are able to embrace this new medium’s blending of traditional television with digital attributes.”
In response to member interest in advanced TV, IAB is establishing a committee devoted to the subject. To learn more, please contact Donelly Bacchus, Senior Manager, IAB Video Center of Excellence, at firstname.lastname@example.org.
“Advanced TV: Ad Buyer Perceptions” was sponsored by Samsung and AT&T AdWorks. To review the complete findings, please go to http://www.iab.net/advancedtv.
The research was conducted by Advertiser Perceptions, which surveyed 255 marketer and agency executives online from June 29 – July 8, 2015. In addition, qualitative comments from the IAB Advanced TV Qualitative Study fielded by Advertiser Perceptions from May 21st – June 8th 2015 were included. Collected opinions stemmed from both agency (60%) and marketer (40%) executives, with more than three-quarters (78%) of respondents identifying themselves as either VP and above or Director/Supervisors. To qualify, these executives needed to be TV, online video, mobile or advanced TV media decision makers at a company responsible for $1M+ total ad spend in 2014.
About Advertiser Perceptions
When it comes to gaining knowledge and clarity about what advertisers think, nothing compares to what Advertiser Perceptions delivers. They are the world leader in providing media company executives with the research-based advertiser insight and guidance necessary for producing superior advertiser experiences, strengthening media brands, improving advertiser satisfaction and increasing advertising sales. The company specializes in determining, analyzing, communicating and applying what advertisers think — their plans, opinions and motivations.
About the IAB
The Interactive Advertising Bureau (IAB) empowers the media and marketing industries to thrive in the digital economy. It is comprised of more than 650 leading media and technology companies that are responsible for selling, delivering, and optimizing digital advertising or marketing campaigns. Together, they account for 86 percent of online advertising in the United States. Working with its member companies, the IAB develops technical standards and best practices and fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. The organization is committed to professional development and elevating the knowledge, skills, expertise, and diversity of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the IAB advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, the IAB is headquartered in New York City and has a West Coast office in San Francisco.