RSS LinkedIn Google Plus

Call us: 0800 014 9884

Online video advertising sold on audience figures

Online_video_advertising_sold_on_audience_figures_10601

Audience comes first

For the first time, a major internet publisher will sell online video ad space according to audience figures instead of traditional pay-per-click (PPC) metrics.

AOL has announced that it is now allowing marketers to buy online video campaigns across its properties based on gross rating points (GRPs). In the advertising industry, GRPs are used to measure the size of an audience – they are calculated by multiplying together the percentage of a target audience reached by an ad and the frequency of views. This approach marks a significant departure from the current norm of paying each time a viewer clicks on a video.

As seen on TV

By focusing on audience figures, AOL seems to be trying to bring its web properties in line with TV advertising. GRPs are widely used in TV and so they will probably appeal most to large advertisers with little or no experience of online campaigns. As if to underline the point, AOL plans to showcase the new advertising opportunities at an event it’s hosting as part of Digital Content NewFronts (DCNF) – a joint initiative to teach brands about digital marketing by the likes of Google, Yahoo, and Microsoft Advertising.

Ahead of DCNF, Ran Harnevo, senior vice president at AOL Video, explained: “AOL has a significant volume of high-quality content valued by advertisers and we are excited to take the lead on showing marketers the value and differentiated results we can guarantee.”

However, Natalie Booth, assistant marketing manager at theEword, warns that focusing on audience figures will not suit everyone. “One of the key advantages of online marketing is that advertisers only pay when they get a measurable response, such as viewers clicking on an ad. It’s obviously positive news if AOL’s new initiative encourages big TV advertisers to dip their toes into the web, but they’ll find that PPC provides more accountability in the long run.”

Written by Richard Frost

Testimonials

"theEword soon became an essential extension to our internal online marketing team."

~ Screwfix Bathrooms ~

  Screwfix Bathrooms

"We are extremely happy with the online visibility achieved through SEO and PPC."

~ Pure Student Living ~

  Pure Student Living

"theEword has consistently produced great results; very happy with the service."

~ Parasol ~

  Parasol

"theEword team has excelled itself in terms of client service, campaign measurement and responsiveness."

~ Linder Myers ~

  Linder Myers

View more of our testimonials »

james_riches_swap

Schmidt defiant on Google privacy efforts Monday 15th of December, 2014by James Riches Google chairman Eric Schmidt has outlined how the company responded in the wake of Edward Snowden’s shock revelations last year, including increased security and privacy measures.

More on this story »

Bing search results removed from Facebook Tuesday 16th of December, 2014by Andy Williams Facebook has completely removed Bing results from its internal search engine, instead focusing heavily on the improvement of their own search capabilities.

More on this story »

Google announces trending topics and videos feature Wednesday 17th of December, 2014by Martin Lindley The new feature is available in over 50 languages and allows users to deeper explore trending topics: to do so the user clicks on a trend of interest to them.

More on this story »
theEword - 2 days ago

Read our latest Eweekly wrap here: http://t.co/WkZKyDq4w8

Reply Retweet Favourite
theEword - 2 days ago

We are ready for our Christmas buffet! :-) http://t.co/a8jddlOBiu

Reply Retweet Favourite
theEword - 3 days ago

We already have one very cool Christmas Jumper this morning! http://t.co/jCkWMcQqjd

Reply Retweet Favourite
theEword - 3 days ago

Marketers: if you could send a message to yourself back in time to the start of 2014, what would it say? http://t.co/9kqlzuN11W

Reply Retweet Favourite
theEword - 4 days ago

Google announces trending topics and video feature: http://t.co/GYYJRatwKR

Reply Retweet Favourite

theEweekly Wrap: 12 Dec Friday 12th of December, 2014by Martin Lindley This week: Google Penguin gets live updates, Microsoft accepts bitcoin, and old iPod sells for thousands.

More on this story »
daniel_nolan_swap

Google Zeitgeist 2014 list reveals the world's search intere... Tuesday 16th of December, 2014by Daniel Nolan See the search terms the world has been looking for this year with Google's 2014 Trends.

More on this story »

theEweekly Wrap: 19 Dec Friday 19th of December, 2014by Dan Moores This week: The US thinks North Korea hacked Sony, IBM succeeds in cloud computing, and Google fights antitrust lawsuit.

More on this story »

Who loves theEword

Who loves theEword Who loves theEword