How Many Online Ad Video Predictions Do We Need?
By Anna Johnson on September 11th, 2008Here’s my forecast. I forecast that predictions of online video advertising expenditure will rise by at least 100 percent by the end of the year.
Well, that’s based on eMarketer releasing yet another forecast of online video ad spending – this time by video ad company LiveRail.
LiveRail predicts that U.S. online video ad spending will approach $1.4 billion in 2010, up from $619 million in 2008.
eMarketer, which bases its analysis on the forecasts of several firms, expects online ad spending in 2010 to reach $1.15 billion, up from $505 billion in 2008. While online video will represent 2 percent of total online ad spending in 2008, it is expected to reach 10 percent in 2013.
Of course, there are at least two reasons why all these companies keep issuing optimistic predictions of online video ad spending. Firstly, it’s logical that advertisers will spend more on a medium that does seem to be growing – eMarketer reckons more than 50 percent of U.S. consumers currently watch online video, with 90 percent expected to do so by 2012.
Secondly, they WANT advertisers to spend more on online video. Put it this way, if you’re a video ad company… or a company that provides services to online advertisers… you’re going to do what you can to attract more clients and bigger budgets, right?
Source: eMarketer, ” Online Video Ad Outlook Still Optimistic”, September 8, 2008
