FreeWheel Report: Programmatic Digital Video Ad Buys Likely to Reach 50% Milestone in 2026

Two forces are at play automated buying is becoming more accepted and as more Americans stream digital video marketers have wider opportunities to advertise in premium digital videoThanks to reliable highspeed Internet affordable streaming services and highquality content more Americans than ever are accessing video through overthetop OTT services OTT accounted for more ad views during the first half of 2022 than signedin cable and satellite subscriptions according to the report which details the rapid rise of both digital video consumption and programmatic advertisingquotMore viewers are finding ways to consume content outside of a cable subscriptionquot noted Terri Ryan lead consultant for FreeWheel39s advisory team and a coauthor of the report She pointed to data showing that 59 of video views in 1H 2022 were via OTT compared to 41 via cable or satellite service user authentication What39s more the number of households with four or more subscription streaming plans jumped 218 from 2019 to 2022 according to the report per Nielsen quotState of PlayquotProgrammatic transactions have increased as well It jumped 26 from 1H 2021 to 1H 2022 according to the report FreeWheel predicts that a larger share of Upfront deals will be transacted programmatically in the futurequotWe39re moving into a world where advertisers want automation and they want things to be quicker and have the process be less laboriousquot Ryan said quotAs the supply grows then the demand grows And programmatic can come into play to fill that extra inventoryquotIn the past advertisers have been concerned about fraudulent audiences transparency and access to detailed reporting Ryan said She added that as technology and data analytics have improved marketers have more confidence in programmatic buys and are willing to participateFor instance Freewheel partners with Human Security to monitor invalid traffic and reports that more than 99 of its traffic is valid That kind of evidence can help sway cautious marketersAt the same time digital video consumption is booming and marketers are taking note Publishers are adding fresh content and launching new apps giving viewers more options than ever Among the most popular offerings are free adsupported TV FAST channelsAnalyzing OTT ad views in the first half of 2022 the Freewheel report determined that FAST channels accounted for 29 of views while apps represented 13 and subscription video on demand was 10Because publishers are adding more highquality content to their programmatic inventory including longform premium video original series and new FAST channels there39s more to choose from Ryan pointed outWhen it comes to digital video consumption connected TVs are the most popular choice with an impressive 82 of premium digital video consumed at home on quotbig screensquot according to Freewheel39s 1H 2022 data When viewers are at home enjoying a leanback experience brands have opportunities to connect and engageArmed with granular viewing data from programmatic platforms Freewheel suggests that ad buyers create tailored programmatic buys across multiple distributors The selections might include streaming services like Roku and Fire TV as well as directtoconsumer apps By casting a wide net a brand can amplify its reach and extend brand engagement Ryan said Once campaigns go live marketers can analyze the results in real time and make adjustments that optimize campaignsquotProgrammatic connects brands to these quality audiences using a datadriven approachquot Ryan said quotWe39re able to provide an advertiser with a much clearer picture of their campaign nowquotIn another boost for programmatic FreeWheel39s data noted that 85 of programmatic ad buys are now guaranteed In other words sellers agree to deliver a set number of impressions for the agreedupon rates That39s transforming programmatic into a forwardlooking strategy rather than a way for sellers to dispense with excess inventoryquotMore advertisers are becoming savvier about using programmatic They39re going in early rather than using it as an afterthoughtquot Ryan concluded quotIt sets you up for more successquotClick the social buttons to share this content with your friends and colleaguesThe opinions and points of view expressed in this content are exclusively the views of the author andor subjects and do not necessarily represent the views of MediaVillagecomMyersBizNet Inc management or associated writers

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FreeWheel Report: Programmatic Digital Video Ad Buys Likely to Reach 50% Milestone in 2026

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Alli Romano

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FreeWheel Report: Programmatic Digital Video Ad Buys Likely to Reach 50% Milestone in 2026

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