Video ads soar 1,260% as 4G rises

videowatchingClient marketers are waking up to the power of video content in their advertising, with the latest figures showing video spend has rocketed 1,260% year on year from £1.7m to £23m during the first half of the year.
The move, flagged up in a PwC report for the Internet Advertising Bureau (IAB), coincides with the roll out of 4G services, which have provided much greater scope for marketers to interact with their customers at speed.
The study shows that advertising on the Internet and mobile phones increased, like-for-like, by 17.5% to £3.04bn in the first half of 2013 – up £435m from £2.61bn in the first half of 2012.
Perhaps unsurprisingly, given the ubiquity of the smartphone, total mobile advertising has also exploded; by 127% to £429m in the first half of the year, sparking predictions that mobile ad spend will break through the £1bn barrier by the end of the year.
The study also highlights what consumers are doing with their time while on the Internet, claiming consumers spend an average 43 hours a month online. Entertainment is top of the pile, accounting for just over 13 minutes of each hour spent online, it is followed by social networking on 7 minutes, email (3 mins), news (2 mins 56 secs), retail (2 mins 31 secs) and games (1 min 48 secs).
“Nothing illustrates the Internet as an entertainment platform better than the fact that over one in five minutes online is accounted for by entertainment, and that advertisers spent almost 1,300% more on mobile video than a year ago,” says Tim Elkington, director of research and strategy at the IAB. “With smartphone penetration crossing the two-thirds landmark and the successful roll out of 4G, 2013 could be the year when advertising spend on mobile crosses the £1 bn threshold.”

2 Comments on "Video ads soar 1,260% as 4G rises"

  1. 4G roll-out pushes up video ad spend by 1,260%…what are you waiting for? http://t.co/gTBzauBqwD #digitalmarketing #data #directmarketing

  2. RT @DM_editor: 4G roll-out pushes up video ad spend by 1,260%…what are you waiting for? http://t.co/gTBzauBqwD #digitalmarketing #data #d…

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