Media Insights Spend & Trends Report

MONETIZATION & COLLABORATION Marija Masalskis outlines the how the monetization initiative can only be fully realized once the industry realizes the power of collaboration.

The majority of this survey respondents are part of organizations that are both media owners and advertisers. What I found most fascinating about the results is how developments and strategic concerns on one side of the house are mirrored on the other side too. In particular, the explosive growth of premium ad-supported online video segment is currently one of the most transformative trends for large media owners – at Omdia we track this development very closely and estimate that this segment will roughly double over the next five years. This survey shines a light on how the marketing organizations are participating and contributing to this trend. As premium ad-supported online video services gain scale, we finally have a fully digital product that is an alternative to traditional linear TV that offers not just reach, but the immersive brand-safe environment. Moreover, growing scale of premium ad-supported video services opens new opportunities for advertisers to have a choice of the exact content they want to advertise against without sacrificing reach. The fact that most of the major media owners are now active in both upfronts and new fronts is a testament to that. The expected growth in spend on premium online

“All of the big major media owners are now both in upfronts and the new fronts. This result is a validation that advertisers are also thinking in the same way that content owners are thinking about the space.” video that this survey has shown is a validation that advertisers are also fully onboard with this trend. Third party measurement plays a critical role in the growing premium online video ad marketplace, particularly as this segment competes with the walled gardens and big social media players. Premium online video space is diverse, competitive and offers an alternative to the duopoly we see in display advertising market. This means that advertisers will not work with anyone exclusively in this space and, in order to bring together the data from the multiple service and platform partners, advertisers will need independent third- party measurement and attribution. Equally, there is a broad industry understanding of the value of first party data. In this survey we see how advertisers are making investments in talent and tools in order to process and

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