Yaniv Axen Thu Jan 9, 2014

In less than four weeks, Super Bowl viewers will see the first interactive commercial enabled for shopping via a smart TV. Online marketers are thinking, “Been there, done that.” Brands such as Target and Neiman Marcus have been experimenting with shoppable video ads online for the last few years, so this is for you guys: Five predictions for the direction video will head in and how it will shape the ad-tech landscape over the next twelve months.

1. 2014 will finally be the year that mobile video ads start to take shape in the landscape

[Tweet this trend.] Apple’s new mobile ad tracking technology coupled with the small form factor of mobile means it is only a matter of time before we see the surge of video ad impressions. On a small screen, video ads are front, center and more prominent – a fully immersive ad experience versus the diminished experience you get with repurposed banners. But ads will need to evolve as 15-, 10-, even five-second spots on mobile; repurposing 30-second spots from TV simply does not work. Now that the technology has caught up with the popularity and proliferation of mobile devices, businesses will find significant return on investment (ROI) from mobile marketing this year.

Additionally, we will begin to see the convergence of personalized video on mobile devices. Smartphones and tablets are more personal devices, and this essentially combines two great devices to make an even more powerful advertising vehicle. Speaking of personalized ad experiences…

2. More industries will join the personalized video advertising space to acquire new customers

[Tweet this trend.] The last couple of years have seen online retailers delivering personalized video ads leveraging consumers’ online activity, history and behavior to enable better targeting and drive conversions, revenue and brand awareness. Other industries will begin implementing the technology to support their customer acquisition efforts, too, such as wireless carriers, cable operators and even insurance providers. Personalized video advertising has proven to perform in the e-commerce space to drive orders and product purchases, so it is only natural that other online transactions, such as purchasing services, plans and policies, will perform and drive similar impact.

Facebook Video Ads

3. Facebook video ads will need to get personal, too

[Tweet this trend.] Facebook’s recent announcement is sure to disrupt the space and provide an alternative to YouTube’s dominance in video. Yet, the social giant will inevitably have to leverage user account and social data to personalize video content for a better, more relevant viewer experience that will perform well for marketers. Facebook is one of the few companies that can help bridge the gap between different identities of a single user across multiple devices and apps. By tracking consumer behavior across devices with Facebook Connect, the website holds a huge pile of data for smarter advertising.

4. Shifts and enhancements in how marketers track ROI means measurement across channels will improve

[Tweet this trend.] Attribution models have been influenced and impacted as consumer shopping habits adapt from online to showroom to in-store to webroom. As such, performance measurement will continue to improve, especially as advertisers demand measurement of online video advertising efforts to drive offline impact. Likewise, as cross-device usage continues to grow, cross-device user identification and tracking is sure to take shape, which will allow for better targeting and more personalized creative and content.

Advertisers are realizing their budgets need to be accountable, and sophisticated attribution models are being deployed to reveal the true value of each ad impression. From soft directional metrics, marketers are shifting their attention to measurable ROI and advanced analysis to back it up.

5. Lines will blur between marketing and ad-tech

[Tweet this trend.] The industry used to have a clear separation between marketing and ad-tech, but we are starting to see the convergence of the two. The same CRM data that is used to power your email marketing is now being leveraged to better target and personalize your ads. Marketers are looking for a holistic approach to manage all their touch points with their target audience via all the available channels at their disposal.

The ad-tech landscape is approaching a pivotal point, and online video is positioned right at the center to deliver value for advertisers, while engaging consumers with what they want.

What do you think? Which predictions do you agree with and which trends do you see of your own? Share your thoughts in the comments section below.


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