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Ott preso iab tv insider summit
1. OTT Landscape
Game ConsolesOTT Devices Smart TVs Video Services
/ Streaming Apps
Connected devices:
“Smart” Blu-ray &
DVD players
• Global streaming media devices to grow at a 10% compound annual growth rate (CAGR), from 240 million in 2016 to 382 million in 2021. (BI Intelligence 2016)
2 out of 3 people are Streamers (GfK MRI 2016)
2. Ad View Share by Device / Service
• 76% growth across OTT (Roku, Apple TV, Chromecast, Gaming Consoles, and Smart TVs)
• Apple TV and Roku have largest ad share
• Market will evolve as programmers and digital pure plays continue to develop apps
Interactive Works
Purchase intent +225% v. pre-roll ads
(IAB)
• Brand awareness +51%
• Message +31%
• Completion rates increase
by up to 5 percentage
points
3. New Models : True[X]
• Offers viewers the option to pick an “engagement” spot versus a heavier, more traditional ad load, ensuring that the
message from the advertiser is relayed to the viewer.
• Up to 80% of viewers opt for the interactive ad experience when given a choice, depending on the show.
OTT Devices - Google Chromecast should be included. Connected devices like blu-ray players that may be “smart.”
Smart TVs, including Panasonic and Toshiba
Game consoles – even Nintendo Wii can still be used as an OTT device.
Internet TV services, Hulu has confirmed that it’s launching one.
TV on the TV accounted for 20% of total video ad views and an even greater share for those focused on Entertainment programming.
We expect both the volume and share to continue to increase as the cable and satellite operators go live across the Dynamic Ad Insertion (DAI) environment, tapping into their existing large scale volume of on-demand viewing subscribers. The 32% of monetization happening on the big screen (i.e. STB plus OTT) is indicative of the increasing promise of ‘unification’ (which is critical to achieve scale) and a recognition from the buy-side that the big
screen represents a safe, viewable, engaging environment to reach their audiences.
“We expect both volume and share to increase as cable and satellite operators go live across the Dynamic Ad Insertion (DAI) environment, tapping into existing large scale volume of on-demand viewing subscribers” - Brian Dutt, VP, FreeWheel
True[X], which Fox acquired for a reported $200 million in late 2014, develops video ads that digital consumers can choose to watch in exchange for access to a favorite program
In the streaming cord-cutting sort of world, advertising will persist, but not in its current state. I do think interruptive advertising is seeing its decline. I think that if TV is going to become interactive and on-demand, then advertising is going to become interactive and on-demand. People will be able to control ad loads, but they won’t have to interrupt the story arcs.
Fox’s True[X], which recently struck a deal with Hulu, offers viewers the option to pick an “engagement” spot versus a heavier, more traditional ad load, ensuring that the message from the advertiser is relayed to the viewer.
Marchese said more than 80% of viewers opt for the interactive ad experience when given a choice, depending on the show.