VideoAdvertisingStateoftheNationReport IWave2IMay2022 iab australia iabaustraliavideocouncil theiabthanksthevideocouncilfortheirsupportofthisresearch aNFLL AshCooperGeorgieCharlishAndrewDixonSarahCooperNikWeberDanSinfieldGeorginaFoxChrisOxleyCallyScivettiValentinaLizziJamesYoungMatthewWheeler AdobeAdstreamAmobeeBuzzfeedESPNFacebookFinecastFoxtelInMobiMagniteNews JordanCassGilbertTimPurssNickOGradyLauraWallBrettIslaubAdamRobertsMattCootePeterMaheJocelynKowaldDanConnorHamishMcPhee NinePubmaticSamsungAdsSBSSeenThisSnapTeadsTikTokTwitch NicoleCadizJonathanMunschiDavidHaddadMarkSerhanAlbaMarcoVikkiPearce TwitterTwitterUnrulyXandrYahooZenithOptimedia iab ausfralia introductionKeyareasoffocusinthereportinclude: -driversfordigitalvideoinvestment -useofvideofordifferentpurposesinthemarketingfunnel Thevideolandscapecontinuestobean-importanceoftailoreddigitalvideocreativealignmenton andcomplexspace.SignificantnumbersofAustralian'smetricswithcampaignobjectivespreparednessfortheretirement continuetoconsumediversedigitalvideocontentacrossofthird-partycookies. multiplescreens.Digitalvideoadvertisinghasdriventhe post-pandemicrecoveryandgrowthintheonlinedisplay Thishelpstoidentifyareasforindustryand advertisingmarket. developmenttosupportthemarketin2022andbeyond.The councilprovidesabroad,collectivevoiceinaddressingthekey TheIABCouncildriveindustryprojectsinrelationtoissuesandopportunitiesfortheindustrywithmembersfrom advertisingstandards,bestpractice,creativeandresearch mediaowners,networksandagencies ofstreamingadsinallenvironmentsacrossdifferent consumerscreens.Thecouncilareproudtolaunchthis reportpresentingtheresultsofthesecondwaveofthestate ofnationsurveyinsightintoJennThomas videoadvertisinginvestment.HeadofMarketingandMembership IABAustralia iab ausfralid executivesummary AustralianadvertisersspentbillionvideoShort-formvideoisthemostoftenusedformat.Asignificantnumberof in2021.Expenditureincreased48%onyearprior,agrowthratenotseenagenciesareexperimentingsomeoftheemergingvideoformats sinceandsimilartothegrowthratesinUKandUSlastyear.suchasshoppableads,in-gameandrewardedvideo. ExpandingthereachofTVhasincreasedsignificantlyasadriverfordigitalThereisanopportunitytoimproveeffectivenessofdigitalvideo videoinvestmentanditisnowthe#1mostimportantdriver,howevertherearecreative.46%ofagenciesrarelyorneverdevelopdigitalvideo challengesinintegrationofbuyingandmeasuringacrossscreens.Whilemostadvertisingforthespecificmediaenvironment.Adeffectiveness agenciesarecollaborativelyworkingoncampaignsacrosslinearTVandresearchhighlightsthatcreativequalitycontributessignificantlyto digitalvideo,for8in10agencyrespondentslinearanddigitalvideocampaigneffectiveness,highlightingtheimportanceofdesigningvideo mediaareboughtbydifferentteams.Thelackofstandardisedreachandcreativewithcontextinmind.Digitalvideo'sactivationtimethan frequencymetricsacrossscreenschallenging.linearTVhasincreasedasadriverfordigitalvideousagesincelastyear BrandbuildingisstillthedominantobjectivefordigitalvideoadvertisingAgenciesrelyonadiverserangeofdatasignals.Someofthesetargeting campaignsandagenciesarehighlysatisfiedwithdigitalvideodeliveringonoptionspotentiallyutilisethird-partycookiesandthereisasignificant brandobjectives.Theuseofconnectedtvforincreasingbrandawarenessisproportionofagenciesandmarketersnotyetmakingstepstopeople- onparwithlineartv.Digitalvideooncomputerandmobileismorefrequentlybasedmarketing,howevertheusageofcontextualdata(fromcontent) usedforotherbrandrelatedobjectives(suchasinforming/educatingandhasincreased(from40%to50%)sincelastsurvey. purchaseintent)andtoincreasesales/conversions. Measurementcomplexitiesarechallengingtheadvertisingindustry DespitebrandingbeingthepredominantobjectiveandaperceivedhighCross-screenmeasurementforbothmediaplanningandcampaign importanceofbrandliftmeasurement,thereisadisconnectwiththemetricsdeliveryarecitedaskeychallengesthatindustryislookingto agenciesareusingtoevaluatesuccess,withcampaigndeliveryandcostsolvetorthefuture.ThelaunchthisyearofIABendorsedIpsosiriscontent (R&F,costpercompletedview,CPM)themostcommonlyusedmetricsratings,measuringvideoaudiencesacrosscomputer,smartphoneand Agenciesarepreparingtheirmeasurementtoolkitsfortheretirementofthird partycookies,movingtowardsustainablemeasurementtechniques.TheusageofMarketMixModellingtomeasuresuccesshasincreased significantly tabletalongwithintegrationofOzTamCTVaudiencedata,willbea iab australia contentandare videoconsumption driving iab australia monthlyreachofaustralianadultsstreamingvideotimeperaustralianadultstreamingvideo 18-2493%18-2466:37 25-34%9625-3464:42 35-4495%35-4464:28 45-5492%45-5443:52 55-6482%55-6424:26 65+68%65+30:15 17.4million australians over5ohourspermonthon: desktop 9in10 -desktop 18-44'sarestreamingvideocontent-smartphonesmartphone forover64hourseachpermonthon:-tabletdevicetablet Source;NielsenDigitalContentRatings,Video,November2021,People18+,AvgTimeSpent,Panel+Census; connectedtvaudienceiab australia continuesfogrow. 8,581,000 7,281,000 ustralians 18%YO