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Independent Research Firm Finds Real-Time Buying Bringing Efficiency and Transparency to Video Advertising

The report finds consensus among top brand marketers that real-time buying of video ads yields better results for video advertisers than network-based buying.

July 18, 2012 -- Today, Forrester Consulting released a research paper commissioned by TubeMogul demonstrating that real-time buying of video ads is “reshaping the very foundations of video advertising” through greater efficiency and transparency.

The study is the first by a leading independent research firm investigating the effectiveness of real-time buying of digital video compared to alternatives, such as video ad networks. In a previous paper commissioned by SpotXchange on the size of the market, Forrester projected that real-time buying of video ads will reach $667 million by 2013, reflecting over one out of five dollars spent in digital video. The growth begs the question: is real-time video a superior method for buying digital video? The results of Forrester’s new market research suggest the answer is yes.

In Forrester’s interviews with top executives from agencies, brands and trading desks, a consensus emerged. Every major executive interviewed is using real-time buying for video advertising, with a majority leveraging video to improve branding objectives and reporting improved results, “both in terms of reaching their target audience and showing measurable lift across a range of success metrics,” the report says. The report also found universal agreement in the “growth of the RTB video market among brand advertisers in the coming years.”

“Real-time buying puts marketers in the driver’s seat, not only in terms of seeing exactly where an ad is running and for what price but by reducing media waste by allowing for real-time adjustment based on impact and budget,” comments Joshua Dreller, among the interviewees quoted in the report and former VP of Media Technology and Analtyics at FUOR Digital.

The report is most explicit in outlining the benefits of real-time media buying over alternatives due to its unique ability to couple “video’s potential as a branding medium with the enhanced transparency, targeting and optimization enabled through RTB-based buying and management.” In contrast to video ad networks, the report points out, marketers are “in the driver’s seat” and can select the exact sites and audiences they want to advertise with, reducing media waste. This also allows for “constant” optimization and the ability to shift budget “fluidly across a portfolio of placements.” Efficiency is also a large factor, and the report finds that “buying digital video inventory more directly through a DSP, compared to a video ad network for example, can bring significant cost savings.”

The report is available for download here.



About TubeMogul
TubeMogul is the only video marketing company built for branding. By integrating real-time media buying, ad serving, targeting optimization and brand measurement into its PlayTime platform, TubeMogul simplifies the delivery of video ads and maximizes the impact of every dollar spent by brand marketers. Founded in 2006, TubeMogul is based in Emeryville, CA with offices in New York, London, Sydney, Chicago, Detroit, Austin and Los Angeles.

For more information, contact:
David Burch, Director of Communications
david@tubemogul.com