New York 16 February 2015 – The format of an online video ad and the context in which it appears have a material impact on ad effectiveness metrics, according to a new Nielsen study commissioned by Teads launched today.
Nielsen created two mock-up ad environments, each featuring the same consumer electronics brand video ad. However, in one environment the ad creative was delivered using the Teads inRead format, and a skippable pre-roll format was used in the other.
inRead boosts purchase intent
The report reveals that Teads’ inRead format outperformed the skippable pre-roll across a range of metrics, including purchase intent. A third (30%) of users shown ads through the innovative Teads format said they were likely to purchase the advertised consumer electronics product, compared to just a fifth (20%) of those who watched it through skippable pre-roll – an increase of 50%. This is even greater amongst viewers aged between 18-34 years old, where purchase intent increases by 74% compared to skippable pre-roll. Millennials also show a 60% increase in likelihood to recommend the brand when viewed in the inRead format.
inRead: good for brands, good for publishers
Teads’ outstream inRead format gives users full control over how they watch video advertising, allowing them to choose when they activate sound or if they skip from the start. For premium publishers, this format not only unlocks valuable inventory on their websites, but also provides the quality brand experience their readers demand. Consumers noticed that inRead only places ads within premium, relevant content, as they were more likely to say that the inRead ad felt like a natural fit for the other information. In addition, inRead viewers were likely to watch the ad all the way through because they thought the ad fit visually with the rest of the webpage (26%) and other content on the page (18%). In addition, ad likability showed a 21% lift when viewed in the inRead format, compared to when it was run within the skippable pre-roll.
The study’s findings will make essential reading for brands that are expected to spend $11.4 billion on online video advertising in 2016 (source: Magnaglobal).
Bertrand Queseda, CEO of Teads said: “As an industry, we place huge emphasis on the quality of ad creative, which is of course vital to the success of any campaign. But the format in which an ad is delivered and the content that surrounds it is also crucial to whether someone recommends a brand or buys a product. This is critical to understand: you may have the best ad creative in the world, but if it interrupts user’s experience, it could actually damage your brand. Teads’ inRead offers a win-win situation for brands and publishers alike by seamlessly integrating with editorial content to ensure ads enhance a brand’s creative rather than devalue it. For publishers, it also provides valuable premium inventory without having to spend time and money creating their own video content.”
InRead video advertisements appear ‘outstream,’ in the heart relevant editorial content. Videos only play when completely visible, and only play sound when users choose to activate it. The format’s Cost Per Completed View billing is triggered only after minimum viewing time, meaning advertisers only pay for completed views. The format allows publishers to boost their premium inventory by placing ads within existing editorial, rather than creating their own costly video content. Skippable pre-roll ads run either before or alongside video content, and give the user the option to skip, typically after five seconds. Typically, advertisers only pay for ads viewed for 30 seconds or to the end of the video, whichever comes first.
Notes to editors
Nielsen carried out the research between 4th and 12th December 2014 and surveyed 599 US adults aged 18+.
Teads, founded in 2011, is an enterprise software company for digital branding, who operates a disruptive video advertising SSP (Supply Side Platform) for the benefit of the world’s leading publishers and brands. Publishers use its platform to create brand new outstream video advertising inventory, and monetize it through their own sales force, third parties or programmatic buying.
The company employs 300 staff including 100 developers. Currently operating in the US, LatAm, Europe and Asia, with teams across 18 countries and 26 offices. It’s revolutionary inRead branding video format has been adopted by the world’s leading publishers, including The Washington Post, Slate, Reuters, The FT, The Guardian, Le Monde, Le Figaro, La Republica, ABC, Globo, Nikkei, Die Welt, Conde Nast, and many others. Premium brands such as Cartier, Breitling, Tag Hauer, Samsung, Volkswagen and Lacoste work with Teads to roll out their global video advertising campaigns.