/// Survey: Online Video Advertising Dominates Local TV Stations’ Online Tune-In Campaigns
A new survey of local TV stations by video marketing platform provider Mixpo has found that between 58%-70% of local TV stations’ online tune-in campaign budgets (depending on market size) are allocated to online video ads. Fully 85% of local stations intend to use online video advertising for tune-in campaigns in 2013.
Keeping this in perspective though, online advertising still only represents 14%-24% of local stations’ tune-in ad spending, with stalwarts radio and cable still leading. However, online advertising already has strong buy-in from stations, with between 86%-100% reporting that they’ll use it in 2013. And online advertising is poised to get a greater share of stations’ ad budgets, as between 36%-57% of stations said they intend to increase online ad budgets. Video advertising would be a clear beneficiary of such moves.
With more of their viewers consuming online video (plus on-demand and DVR), local TV stations face a rising threat to their audience ratings and the advertising revenue tied to them. Despite these shifts, linear viewing still dominates so it seems smart to marry new and old behaviors with online tune-in. In short, online video ads can help lure viewers to local news and other scheduled shows.
Looking ahead, Mixpo notes that TV stations, with access to engaging video content and established social media and online content units, are well-positioned to take advantage of online advertising options involving video. Stations typically use online advertising to extend the reach and frequency of program promos running on their own airwaves.
Even so, there’s considerable uncertainty among stations about how to best integrate online advertising into promo efforts. Only 20% of respondents said they have a “reasonably effective program in place” for orchestrating online tune-in ads. Mixpo, which advises stations on how to run effective online campaigns, says that finding suggests stations can use some help in creating and managing more sophisticated ad programs.
VideoNuze – Stewart Schley, Contributing Analyst