In case you’ve been living in a cave, you already know that mobile is set to drive gigantic digital-video ad spend in the near future.
In fact, mobile video ad revenue is on target to grow more than 3 times faster than desktop all the way through 2020 — and most likely beyond.
Why the digital video explosion? For starters, traditional display advertising is shifting to video. Further, as more people spurn desktop for mobile devices, that’s where their media time is spent. And last, but not least, video has been proven a very effective format for brand marketing and advertising.
“In all-new in-depth research from BI Intelligence, we dig into the rise of digital video and find that overall US digital-video advertising revenue will top nearly $5 billion this year, and grow at a five-year compound annual growth rate (CAGR) of 21.9 percent,” according to a post at Business Insider. “Total revenue will reach $13.3 billion by year-end 2020.”
The BI data shows several trends:
Video is quickly replacing static display advertising on desktop and will garner 41 percent of total desktop display-related spending in 2020.
Video ads perform better than standard display ad units. Click rates for video are off the charts compared to traditional advertising.
Video is being promoted everywhere. Facebook, Instagram, and Twitter — among many others — have all introduced new digital-video ad products that are being quickly adopted by everyone in the marketplace.
Want to know more? Check out the full report here.