Video Advertising: Unraveling the Trends and Innovations Reshaping the Industry in 2024
The digital advertising landscape is undergoing a transformation, with the industry adapting to the changing dynamics of a maturing market. Video advertising, however, remains a resilient force, poised to maintain its prominent position. This comprehensive analysis delves into the key trends and innovations shaping the video advertising landscape in 2024, highlighting the resurgence of outstream formats, the growing significance of SaaS video player technology, the continued dominance of CTV and FAST TV, and the focus on personalization and data-driven strategies.
Outstream Video Regaining Prominence in Editorial Content
Outstream video ads are making a comeback in the editorial segment. This resurgence is driven by several factors, including the growing interest among brands in “accompanied content” outstream placements, which offer high viewability at lower CPMs compared to instream ads. Sticky video placements have also proven effective, demonstrating exceptional VTR rates and audience engagement in the editorial content environment while providing flexibility in ad creative display.
Intensified Focus on SaaS Video Player Technology
From a technical perspective, several aspects are expected to dominate the digital video advertising news in 2024. AI-powered solutions, specifically designed to streamline the production of highly personalized video ad creatives with unprecedented speed, are gaining traction. Additionally, the demand for video player SaaS technology that can adapt to evolving business needs is escalating.
HTML5 Video Players and Advanced Ad Serving Functionality
In line with the rising popularity of Sticky video, digital businesses are increasingly seeking HTML5 video players that support a wide range of outstream formats, particularly Sticky ad variations. Moreover, the need for seamless integration of video header bidding partners is becoming paramount. Header bidding, particularly with prebid.js support, has been shown to enhance revenue generation compared to conventional waterfalling practices, ensuring higher bidding transparency and minimizing negative impacts on page load.
All-in-One vs. Focused SaaS Video Ad Tech: A Tale of Two Approaches
The selection of a video player may vary depending on the specific needs of businesses. All-in-one suites, which encompass core technology and video production software, remain a popular choice for large corporations with substantial budgets and limited resources for delving into the technical aspects. However, smaller businesses may find greater value in focused SaaS video ad tech, which offers streaming technology and ad serving features without additional Premium capabilities, resulting in lower costs and greater flexibility.
CTV and AVOD/FAST Ads Maintaining their Momentum
Connected TV (CTV) is anticipated to retain its position as the fastest-growing channel in 2024, with an impressive market increase of approximately 30%. This growth is attributed to brands’ access to premium video inventory in a brand-safe environment, along with the expected availability of more precise co-viewing and engagement metrics measurement. The penetration of ad-supported streaming services is also witnessing a steady surge, with the FAST TV niche continuing to attract attention due to its appeal to consumers seeking free access to media content beyond entertainment, including lifestyle and news segments, particularly on a local scale.
Conclusion
As the video advertising landscape evolves in 2024, the industry is adapting to the changing dynamics of the maturing online advertising market. Outstream video, SaaS video player technology, CTV, and FAST TV are among the key areas driving innovation and growth. By embracing these trends and leveraging the latest technologies, businesses can optimize their video advertising strategies to achieve enhanced engagement, increased revenue, and a competitive edge in the digital marketplace.