Two ad tech firms presented possible answers last week to advertising’s Dirty Little Secret.
That Secret, of course, is that few people actually watch content-interrupting ads. At a breakfast hosted by the Interactive Advertising Bureau (IAB) in New York City, Head of Market Development Frank Maguire from native ad platform Sharethrough highlighted the bad news.
Eighty-six percent of viewers skip TV ads these days, Sharethrough said, citing a YouGov study for Deloitte. Eighty-seven percent use a second screen while watching TV, particularly during commercials, per Accenture. Ninety percent skip pre-roll ads, says ORC International.
But that’s only half of the bad news. Here’s the rest: About three-quarters of video ad budgets are spent on these kinds of interruptive TV and pre-roll ads, per the Zenith Advertising Expenditure Forecasts.
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