SAN FRANCISCO, CA--(Marketwire - Jun 12, 2012) - BrightRoll, the leading provider of digital video advertising services, today announces the results of its inaugural 2012 Germany Video Advertising Report. The study, carried out in April 2012, is the first of its kind in the German market and based on responses from advertising agency executives.
The report reveals that one out of two respondents expect digital video to experience the largest overall increase in digital media spending in 2012. However, despite predictions that video spending will increase an average of 28 percent over the next two years, there is still a significant gap between advertiser spending and consumer adoption of digital video. While 82 percent of the German web population consumes video, online video ad spending accounted for only 3.5 percent of total digital ad budgets in Germany last year, according to a 2011 MagnaGlobal advertising report.
German consumers are also increasingly watching more online video monthly according to recent comScore Video Metrix, in March 2012, 46.9 million Internet users in Germany watched an average of 11 billion videos online, an increase of 71 percent since January 2011. The average time per visitor increased to 27 hours per month, up 33.7 percent since last year.
To reach this rapidly growing and engaged population, advertisers agree digital video is a powerful way to target and communicate with their audiences. According to BrightRoll survey respondents, more than 78 percent view digital video as equally effective or more so, than display advertising and 59 percent view digital video as equally effective as or more so, than TV advertising. Furthermore, when asked what aspects of digital video they view as most valuable: 32 percent of respondents cite ad unit format followed 21 percent who cite targeting capabilities.
Rene Hartwig, deputy managing director - Opera, part of Omnicom Group, who participated in the survey, explains, "Based on current supply and demand for video in Germany, I don't think digital video is a competitor to TV yet, however, I've seen brands benefit using online only options or by combining the two channels for specific target groups. What is lacking in digital video, in my opinion, is creativity when one spot is still used for both TV and online. The greater opportunity in the German advertising market is combining video with rich media campaigns, allowing advertisers to generate greater interactivity with digital ads."
- When combined with reach, targeting and even rich media components, video is a powerful way for advertisers to communicate with desired audiences. In fact, 32 percent of respondents explain they specifically value the creative aspect rich media adds to a video campaign while 21 percent feel rich media adds value by increasing user engagement.
- Nearly one out of three advertisers in the US turn to video ad networks to deliver the scale needed to maximise the reach and impact of video campaigns across online and mobile platforms. However, German advertisers are slower to adopt this media strategy with only 8 percent of respondents reporting they are likely to work with a digital video ad network, while 63 percent say they were more likely to work with a publisher.
- When asked if research about the efficacy of digital video provides value, 90 percent of survey respondents agree it does. When asked if they had conducted any such research, 68 percent of respondents admitted they had not.
"We've conducted our annual US agency survey for the past three years -- launching the survey last year in the UK and Canada -- to provide the digital video industry with unique global insights," explains Tod Sacerdoti, CEO and founder of BrightRoll. "BrightRoll invests heavily in research, including industry reports and more than 300 campaign planning and impact reports annually, to identity key digital video advertising trends and move the category forward in Germany and globally."
To download a full copy of the results, please visit: http://www3.brightroll.com/brde/en_videoadvertisingreport_12.
BrightRoll is the world's leading provider of digital video advertising services. The company has access to billions of monthly digital video impressions across the globe. The company enables advertisers to execute smart digital video campaigns across the web and mobile landscape. Proprietary buying technology, combined with full site disclosure and flexible targeting provides BrightRoll customers with the reach, frequency and scalability needed to achieve campaign goals. The company provides publishers with access to the industry's largest video marketplace to maximise monetisation of their inventory. BrightRoll is a privately held, venture-backed company headquartered in San Francisco, California with European headquarters in London and German offices located in Hamburg, Germany. For more information, visit www.brightroll.de.