com score tubemogul_online_video

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Online Video: What you need to know to be more effective

ad:tech Melbourne

Stephen Hunt, Managing Director, TubeMogul Australia & New Zealand

Kate Palmer, Account Director, comScore Australia & New Zealand

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73% of Australians streamed a video in May’13

11 of the 17 hours the average person spent online this month were spent streaming video

Video makes up a big part of our online lives

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…. and there’s plenty of room to grow

0 5

10 15 20 25 30 35 40

Aver

age

hour

s pe

r vie

wer

Average hours streaming video May ‘13

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Youth habits indicate the way of the future

% viewed video, May’13

Average hours of videos watched, May

‘13

15-24s 86% 16

55+ 81% 10

>80% of 15-24 time online was spent with video!

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IAB

Video advertising market is experiencing explosive growth

0

100

200

300

400

500

2012 2013 2014 2015 2016 2017

Mill

ions

of d

olla

rs

Annual Spend on Video Advertising (Estimated)

$86 million

$442 million

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However, the current process is messy

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Some questions to consider…

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To Add Interactivity Or Not?

Is Your Investment Substantial Enough To

Justify The

Creative

Cost? Number of

Interactions /

TOTAL Budget = Cost Per Interaction

What Frequency Should Be Set? Empathise With Your Consumer

Frequency and Purchase Intent

Absolute Difference (Exposed minus Control)

Source: Dynamic Logic Global MarketNorms, Q3/08; Video Freq 1-2= c194, Freq 3-6= c64, Freq 7+= c33.; Rich Media Freq 1-2= c1756, 3-6= c1234, 7+= 1030.

Diffe

rence in

Purchase Intent

Frequency (Number of Exposures)

Q4 / 2008

-‐2

-‐1

0

1

2

0 2 4 6 8 10

Video

Rich Media

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Should digital planners conform to TV norms or Should TV planners conform to digital?

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What is a TARP in Australia?

20 TARP’s are equivalent to reaching 20% of people within a target audience once

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20 GRP’s could be the sum of multiple exposures across a consistent or average target audience penetration – e.g. 10% @ frequency of 2

Different Than a GRP…or Total Reach

FREQUENCY 100GRP = x xUNIQUESTOTAL

TARGET POP

UNIQUES: The number of people or households reached

TOTAL TARGET POPULATION: The size of target population or households

FREQUENCY: The number of times an individual or household saw an ad

Interchangeable Terms in Aggregate

100 TARPs 50% of Population

@ 2x Frequency


@ 1x Frequency


@ 1x Frequency


@ 1x Frequency


@ 1x Frequency

100 GRP 50% of Population

@ 2x Frequency


(on average) @ 2x Frequency


@ 1x Frequency


@ 1x Frequency

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How This Translates Online

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Accuracy Falls In Line With Targeting – Just Like TV

Guaranteed eCPMs are Higher Than Advertisers Expect Because Match Rates are Lower Than Expected

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Is Wastage Such A Bad Thing?

The planner/buyer targeted young people, but pensioners were engaging the most and bought the product too

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Optimize on targeting efficiency, and think beyond age/gender

69%

31% 20%

30%

40%

50%

60%

70%

80%

Demographic Data: % of women aged 25-45 exposed to

the campaign

Out-of-Target

In-Target

40%

60%

20%

30%

40%

50%

60%

70%

80%

Behavioral Data: % of people exposed to campaign who were also heavy consumers of “parenting/cooking/home content”

Out-of-Target

In-Target

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What About Context?

Most marketers won’t sacrifice all their context for audience

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If total reach goal was 50 %@3x, millions of impressions were wasted on higher frequencies – 450 TARPs

TV Builds Reach With A Surplus Of Volume

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10

20

30

40

50

60

70

80

90

1+ 2+ 3+ 4+ 5+ 6+ 7+ 8+ 9+ 10+

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Online Video can cap the frequency on the upper end driving huge efficiencies with far less media – 184 TARPs

Online Can Hold Frequency Reducing Wastage

0

10

20

30

40

50

60

70

80

90

1+

2+

3+

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Not the placement you’re looking for…

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5th annual study

60% of agencies cited Brand Recall and

Intent to Purchase as the most important measures of online success.

However, ‘Performance’ (clicks/conversions) remains the key criteria agencies say they use to evaluate

media.

How will you evaluate success?

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Real-time optimization based on brand lift

0

20

40

60

80

100

1 to 2 3 to 4 5 to 6 7 to 8 9+

% L

ift

# of Exposures

Awareness x Frequency

Media Plan Average Frequency Optimization

Media Partner A 5 Cap Delivery

Media Partner B 1 Increase Delivery

Media Partner C 9 Cap Delivery

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QUESTIONS?

www.comscore.com www.facebook.com/comscoreinc @comScore

Thanks