April 26, 2017
Pity the networks who have to launch TV these days. Last year, the FX Network claimed that there were 455 scripted original shows across the major networks, cable networks and streaming platforms like Hulu and Netflix. That’s up from 210 shows seven years ago.
Meanwhile, marketers are pumping out more video content too. Research from Pixability found the top 100 brands loaded 39% more videos to YouTube in 2016 versus 2015. LG alone created 150 videos last year.
Despite this flood of content, performance video continues to work better than banner ads. A recent J.P. Morgan report predicted that digital video ad spending would grow 12% in 2017 and 9% in 2018. That growth comes at the expense of rich media banner ads and sponsorships – not broadcast television.
To break out of the pack, advertisers need to target their messages to the individual consumer. If you’re on a busy street and someone yells, you ignore it. If they yell your name though, you look. That’s the thinking behind targeted advertising. Personalized video ads work even better.
A study from Jivox, for instance, found that personalized digital ads had three times the engagement of standard display ads. Location-based ads are another tool in the marketer’s arsenal. Another recent study found that geotargeted ads boasted click-through-rates that were twice the industry average.
Luckily for marketers, the technology behind personalization and geotargeting can be brought to them via Sightly. The best way then to thrive in this video content explosion isn’t necessarily to make more video, but to make video that’s more relevant to consumers. That’s a simple answer to a complex issue, but it turns out to be true.