Adobe has released a new report about consumer perceptions of advertising based on survey responses from over 1,000 US consumers titled “Advertising Demand Report 2016 – North America.” It reports a wealth of insights into video advertising and how publishers can optimize the video ad experience. Among the findings:
- 34% of US consumers prefer seeing ads over paying for content
- 25% of US consumers don’t worry about video ads because their adblocker removes them
- Consumers are annoyed by video ads that they can’t control and that play for too long
- The amount of online video advertising that consumers are willing to accept is lower than traditional TV standards at 3.5 minutes of ads per 30 minutes of content in the US
- Publishers can make the ad experience better in a number of ways
There is bad news and good news in this data for publishers.
The bad news is that there are attributes of online video ads that upset users to the point of blocking video ads completely. Consumers don’t like the inability to skip video ads, or video ads on webpages that start automatically, or video ads that run too long. Long ad breaks especially annoy younger Millennials in the US, ages 18–24, among whom 58% say that ad length is a problem.
The good news is that publishers have a great amount of control over the ad experience including the control to improve it. In particular, consumers want shorter and more relevant ads that are delivered less frequently.
Ad technology absolutely can enable the ad experience that consumers want. To make ad breaks shorter, publishers can adjust the length of ad breaks and the number of ads within each break for different audience segments. For instance, publishers can deliver shorter ad breaks to younger users and longer ad breaks for everyone else. Publishers can use frequency capping to ensure that viewers see each video ad just once or twice. Publishers can also empower relevant advertising with precise targeting technology and dynamic ad insertion.
Technology empowers such great flexibility in the ad experience that it really pushes the question of what to do back to executive teams. There are revenue implications to delivering the optimal user experience. And, there are churn implications to achieving optimal revenue. This is one of those times where a metric like lifetime value of a subscriber could be very useful.
To learn more about how Adobe Primetime empowers an optimal ad experience, read our product page on dynamic ad insertion.