The growth of hybrid video on-demand

As premium video evolves advertisers and publishers alike have their sights set on one thing – how to deliver a classic advertising message to viewers who are increasingly streaming reliant. An interesting trend has emerged as viewers look for more value from their media habits, and that’s a willingness to view ads in exchange for lower subscription costs. A hybrid approach to streaming means more advertising opportunities.

The latest edition of the Video Marketplace Report (featuring both U.S. and European data) explores the expanding digital video advertising landscape and current audience viewing habits, current distribution of ad views by platform, as well as updates on programmatic expansion.

Key findings include: 

1. Business models are evolving: Hybrid video on demand (HVOD) services are becoming more prevalent in the shift toward a more financially sustainable approach to the streaming business
    
2. Ad viewership continues to grow: Ad view growth has increased at a healthy rate in both the U.S. (6%) and EUR (15%) during a time of industry-wide change
    
3. Viewer experience remains essential: Optimisation of the viewer experience is of increasing importance, as audiences are inundated with choices
    
4. Screen size matters: 81% of U.S. and 53% of EUR ad views occur on large screens
    
5. Precision will help fuel engagement: Targeting based on audience characteristics (behavioral, demographic) has expanded +80% year-over-year (YOY) in the U.S