Advertisers might find it advantageous to shift some funds to Original Digital Videos (ODV), according to a recent IAB study.
ODVs refer to professionally produced content – made by publishers, media companies, and online-only companies – that is consumed on ad-supported over-the-top (OTT) platforms. Videos on non-ad supported platforms like Netflix or Amazon, as well as network TV shows distributed on OTT platforms like ABC.com, Hulu.com, and HBO.com are not counted as ODV.
Monthly viewership for ODV has grown from 45 million to 63 million in the past three years, according to the study. This presents a large and growing market for brands. In particular, brands should consider advertising in the ODV medium for the following reasons:
- Tapping into a young and growing audience. While growth in online viewing of network TV and amateur video is flat, according to the IAB study, original digital video viewing continues to grow. This is being driven by the viewing habits of young adults between the ages of 18 to 34 years old. This population is twice as likely as adults aged 35+ to watch ODV on a monthly basis, according to the study.
- Accessing audiences that are difficult to reach on traditional TV. The 18- to 34-year-old population also makes up the largest share of cord-cutters and cord-nevers in the US. And more than half of cord-cutters/nevers between 18-34 years olds watch ODV at least once a month, more than any other demographic, according to the study.
- ODV ads are becoming increasingly effective. Across all age groups, respondents found ads within ODV to be about as memorable as ads within TV watched online. However, adults aged 18-34 found ODV ads to be substantially more memorable than ads in online TV or amateur video. Moreover, 50% of respondents in this segment ranked ODV ads as the most memorable ad format.
Every subscriber to the BI Intelligence “Digital Media Briefing” newsletter received this story first thing in the morning, along with other insightful and informative content. To learn more and subscribe, please click here.