Survey: Industry Definition Of Online Video Ad "View" Insufficient For Product Recognition

-- 75% of Consumers Need More Time to Identify Brand or Product, While Others Skip Ads --

May 21, 2015, 09:30 ET from STRATA

CHICAGO, May 21, 2015 /PRNewswire/ -- The advertising industry's definition of an online video "view" does not allow enough time for three-quarters of viewers to identify the brand or product being sold, according to a recent consumer survey conducted by STRATA, the leader in media buying and selling software.

The Media Rating Council has recently stated that online video ads are "viewable" if 50% of their pixels are in view for at least two seconds. However, the STRATA consumer survey reveals that 75% percent of viewers that are able to identify the brand or product in online video ads need at least three seconds to do so, with just 25% of viewers needing 1-2 seconds. In addition, 44% of all respondents report it takes them at least four seconds to recognize the brand or product at hand.  

Ad skipping is another issue with which advertisers must contend, as 41% of viewers hit "skip this ad" before they recognize the brand or product being sold. Forty percent of respondents would skip a video ad because they were in a hurry, while others skip ads because it has run repeatedly (20%), was too long (15%), or was not targeted (12%).

"The challenge of measuring viewability across different vendors and multiple screens is an on-going challenge, but an agreed upon standard across the industry will help determine ROI and ad effectiveness over time." said Joy Baer, president of STRATA.  "This is an important issue for our media buying and selling clients and we are committed to supporting its evolution in our systems."

The STRATA consumer survey also provides insight into the effectiveness of targeted advertising, with respondents finding that advertisers are not equally successful at targeting men and women. Of those that say they were targeted correctly most of the time, 57% were women compared to 43% of whom were men. Eighteen percent of online video ad watchers find targeted ads more invasive compared to non-targeted ads, while another 14% say neither targeted nor non-targeted ads feel invasive.

Targeted advertising, however, was also found in the survey to be a good tool to attract viewer attention. One-third of respondents say they would voluntarily watch an ad if it was targeted to their interests, the third-highest response rate of any viewer incentive. Humor and entertainment were the top two tools, with 52% and 45% selecting those factors as the best way to their eyes, respectively.

Other findings in the survey include:

  • Almost half (48%) of respondents find TV ads and online video ads equally "annoying," while over a third (36%) say online video ads more annoying.
  • A majority of respondents (77%) would not pay a premium to avoid online ads, while 19% would pay up to $5 per month.
  • Following humor, entertainment, and targeting, 29% of respondents would voluntarily watch an ad if it was educational/informative, and 17% would watch if a favorite actor appears in the ad.

Survey Methodology
STRATA conducted a national online survey of 654 online video watchers ages 18 and up. The survey was conducted from March 30-April 6, 2015. Fifty-three percent of the survey's respondents were female, 47% were male.   

STRATA is the only system provider that connects both media buyers and sellers. The custom solutions supplied by STRATA empower clients to sell and efficiently purchase all media types including cable, broadcast, newspaper, radio, outdoor and digital advertising mediums. On average, over $50 Billion in advertising dollars flow through STRATA systems per year.   

As the system of choice for over 1,000 agencies nationally, STRATA provides media technology that enables organizations to lead rather than react to industry developments.  By transforming the way advertisements are placed and tracked, STRATA adds a new level of transparency to campaigns that is necessary in the ever-evolving media world.