Advertisers are rapidly embracing mobile video as a means of reaching consumers who are increasingly away from traditional media channels, according to a study from eMarketer. They report that 75% of media planners (the people who determine where ads are placed) reported that they will include digital out-of home video in their marketing plans this year. That's up from 65% in 2010. The media buyers surveyed reported that the new money for mobile video is primarily coming from other out-of-the-home media, with another chunk coming from TV, and some shift from other online advertising categories. However, the amounts are given in terms of percentages of media buyers indicating they are shifting funds (54% reporting shifting from outdoor, 44% indicating shifting from TV buys, and 22% from online media), rather than the amounts of money being shifted to mobile video.
The report did provide some aggregate numbers: Outdoor media buys should reach a total of $6.4 billion this year, with mobile video accounting for $2.4 billion (38%) of that total. Further, ad spending on mobile video is growing three times faster than the the general Outdoor category. To put that in perspective, local TV ad revenues are projected to be about $18 billion this hear, with national and spot buys adding another $32 billion in ad revenues.
The report suggests continued growth of advertiser interest, and willingness to buy into, mobile video, and the potential for continuing growth in revenue potential for the DO video industry.
Source: "DO Gets TV Dollars, 44% Shift Spending From TV Budgets", MediaDailyNews