Pre-roll video ads are the most affordable ad units in the estimated $5.96 billion U.S. digital video ad market during 2014, a new study says,
Connected TV and mobile cost per minute came in at 5 cents, with skippable ads running 12 cents and social averaging 18.1 cents, down from 26 cents at the start of the year.
The costs were calculated including fees divided by the total of ad minutes played.
Online video pre-rolls saw average viewability increase 14% from the first quarter to 32%; but it was down 6% from Q3, which TubeMogul attributed to “less selective end-of-year budget spending.”
Nearly two-thirds of agencies (64%) already use programmatic platforms to buy programmatic pre-rolls, as do 56% of marketers and 46% of publishers.
eMarketer forecast that continued performance improvements are likely to increase programmatic pre-roll activity up this year.
According to TubeMogul, meanwhile, inventory for mobile pre-roll ads is “quintupling every year,” and showed a 387% annualized growth rate last quarter. In the U.S., that inventory was up 67% quarter over quarter, 10% faster than global growth.
Since the bulk of mobile ads expand to full-screen, issues like above- or below-fold position, and player size are not concerns. Viewability in general, TubeMogul said, was up 14% in 2014.
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