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Mobilising video
advertising:
trends, challenges
and opportunities
April 2016
2 3
Contents
Introduction 5
1. Video advertising going mobile 6
a.	 Different	approaches	to	online	video	 6
b.	 Digital	is	more	and	more	mobile	 7
c.	 Cost:	the	barrier	to	adapting	TV	spots	 8
2. Planning for cross-screen 10
a.	 Pushing	back	the	point	of	diminishing	returns	 10
b.	 Following	the	consumer	throughout	the	day	 12
c.	 Adapting	distribution,	creative	and	format	for	mobile	 12
3. Adapting video formats to mobile 13
a.	 Intrusive	formats	drive	ad	blocking	 13
b.	 Native	video	ads	are	better	tolerated	 14
c.	 Getting	up	to	speed	 15
d.	 Control	is	crucial	 16
e.	 Opt-in	video	sees	greater	ROI	 16
4. Mobile as a compass to reset the creative standards 17
a. Challenge 1: Sound	on/off	 18
b. Challenge 2: Going	vertical	 19
c.	 Challenge 3: From	big	to	small	screen	 20
d.	 Challenge 4: Time	matters	 21
5. New opportunities to reach, engage and drive to store 22
a. Opportunity 1: More	engaging	messages	 24
b. Opportunity 2: New	channels	for	live	streaming	 25
c.	 Opportunity 3: Second-screening	&	mobile	first	 26
d.	 Opportunity 4: Drive	to	store	 27
6. Creating for mobile video 30
a.	 Why	it	matters:	The	ten	golden	rules	of	mobile	native	video	advertising	 30
Mobile	is	also	everywhere	with	more	than	half	of	the	global	population	
owning	a	smartphone	or	tablet	and	developing	a	deeply	personable	
relationship	with	their	devices.	
As	a	consequence,	mobile	is	expected	to	be	the	main	driver	of	global	adspend	growth	and	
will	contribute	a	full	83% of the extra adspend between 2014 and 2017	according	to	
ZenithOptimedia	forecasts.
At	Teads,	we	believe	that	mobile	is	not	just	another	screen	to	be	added	to	the	video	stack.	
As	users	are	more	averse	to	advertising	on	mobile	and	more	sensitive	to	intrusiveness,	
the	industry	needs	to	adapt	video	ad	formats	and	creatives	to	mobile	devices.	This	means		
reducing	the	length	of	the	videos.	The	US	leads	the	way,	with	50%	of	campaigns	planned	
with	a	mobile	version	of	the	ad	in	mind.	If	this	shift	in	thinking	doesn't	happen,	we	risk	
speeding	up	the	adoption	of	ad-blockers,	missing	the	opportunity	to	make	brands’	messages	
resonate	with	their	audience.
On	mobile,	users	are	in	a	particular	state	of	mind	that	differs	to	that	of	watching	TV	or	working	
on	a	desktop.	Mobile is flexible; it’s adaptable, it satisfies a curious appetite	–	be	it	
immediate	access	to	entertainment,	shopping	or	friends.	
The	day	is	fragmented	in	hundreds	of	micro-moments	that	each	bring	with	them	a	new	need	
and	a	new	opportunity	for	brands	to	deliver	relevant	and	engaging	messages.	
As	content	and	context	play	an	important	part	in	the	race	for	user	attention,	it	comes	as	no	
surprise	that	native advertising formats are experiencing such stellar growth.	Integrated	
in	the	feed	of	the	content,	they	are	very	well	adapted	to	mobile	consumption,	being	viewable	
by	default	but	not	forced	upon	the	user.
Based	on	Teads’	video	distribution	expertise,	this	white-paper	looks	into	the	trends,	
challenges	and	opportunities	offered	by	native	mobile	video	advertising.	
4 5
Mobile is
everything
was	the	motto	of	this	year’s	
Mobile	World	Congress.
6 7
Global Media Spend
2014
8
30
62
2017
17
29
55
Daily Screen Share (%) Mins
(Video	&other	web	browsing)
MOBILE COMPUTER TV
2015
52
21
27
1
Video advertising going mobile
Video	advertising	is	rapidly	growing	on	a	global	scale,	with	adspend	forecast	to	double	
from	2015	to	2017.	However,	it	represents	less	than	10%	of	TV	ad	spend,	with	an	
approach	that	pushes	TV	spots	into	the	video	stream	still	dominating	digital	video	
advertising.	With	users	and	budgets	shifting	to	mobile,	brands	are	slowly	starting	
to	adapt.
a. Different approaches to online video
Since	video	is	distributed	online,	two	
advertising	approaches	co-exist.
The	traditional	TV	approach	is	a	clear	
“push”	marketing	technique,	with	content	
forced-exposed to users in a bid to pass
a TV ad in a video stream.	On	the	other	
hand,	the	rise	of	digital	video	and	mobile	
devices	saw	the	development	of	a	“pull”	
approach:	users are given the option to
watch a	promotional	video	and	can	control	
whether	to	skip,	scroll	past	or	simply	close	
it.	Compared	to	TV,	video	advertising	can	
also	be	distributed	in	all	content	streams,	
not	only	in	video,	for	instance	within	an	
article	or	in	social	feeds.	
b. Digital is more and more mobile
On	average,	people	view	a	total	of	3.5 hours of video a day,	with	half	of	videos	watched	on	digital	screens.	
Two	thirds	of	online	video	consumption	is	occuring	on	mobile.
As	a	consequence,	mobile media spend should double from 2014 to 2017	according	to	ZenithOptimedia.
The	digital	approach,	relying	on	brands	producing	
video	content	for	digital	platforms	to	create	user	
engagement,	has	evolved	since	2010	and	is	shifting
towards mobile-centric platforms	like	Facebook	
and	other	mobile,	native	video	applications	like	
Instagram,	Twitter	or	Snapchat.
At	the	2015	Super	Bowl,	there	were	more	shares	of	
Big	Game	ads	occuring	on	Facebook	than	YouTube.	
Today	there	are	8	billion	videos	viewed	daily	on	the	
social	platform.
Twitter	has	also	witnessed	a	150-fold	year-on-year	
increase	in	video	views	as	of	September	2015,	with	
tweets containing video seeing 6 times more
retweets than those only containing images.
These	platforms	create	new	opportunities	for	brands	
to	reach	out	to	their	audience	using	video formats
that are specific to each distribution channel in
terms of duration, size, and placement.
This	fragmentation	and	the	flexibility	of	the	digital	
video	landscape	makes	it	more	challenging	to	plan	
content	creation	and	distribution	accordingly.
Source:	Millward	Brown	Ad	Reaction	Study,	November	2015
PULL
USER
Content
Engagement
BRAND
Media
PUSH
Visibility
Viral video
2010 2015
Skippable	
pre-roll
Click-to-play
Social video
Auto-play
Digital
centric	
• Pre-roll	ad	on	
catch	up	TV
• TV	ad	short	
form
• Pre-roll	ad	
(skippable	or	not)
• TV	ad	short	
and	long	form
TV
centric
OUTSTREAM FORMAT
c. Cost: the barrier to adapting TV spots
As	eyeballs	and	budgets	shift	to	mobile	devices,	the	“pull”	model	should	progressively	gain	ground;	however	the	
share	of	TV	budgets	in	video	media	spent	will	still	be	greater	than	digital	for	the	next	few	years.	
TV dictates the format and duration of the ad,	as	it	represents	the	bigger	media	spend.
Moreover,	the	cost	of	adapting	a	TV	ad	to	desktop	or	mobile	is	in	most	cases	high	compared	to	the	media	
spend	on	digital.	For	this	reason,	even if creative and media agencies recommend to resize messages,
TV ads are distributed across all screens.
8 9
Worldwide advertising expenditure
(US$	million)	
Digital Video Linear TV Mobile Video
2015 16,146 199,950 5,396
2016 19,776 205,843 7,932
2017 23,664 210,399 9,661
Source	:	Zenith	Optimedia
Some	advertisers	have	started	to	systematically	produce	a	shorter version of TV ads for mobile,	but	they	are	
still	in	the	minority.
Brands	that	are	also	very	mobile	focused,	such	as	mobile	carriers,	are	changing the creative process by
planning the production of different edits for TV, desktop and mobile.
Share of views per ad duration
3.65%
0-10 SEC
27.94%
11-20 SEC
41.81%
21-30 SEC
9.49%
31-40 SEC
4.72%
41-60 SEC
4.62%
1-2 MIN
7.76%
MORE THAN
2 MIN
Source	:	State	of	the	Outstream,	Teads	Q2	2015
Seeing	some	TV	ads	that	simply	do	not	work	on	digital	helps	thinking	about	our	
own	creative	process.	In	that	case,	it’s	useful	to	think	of	different	“edits”:	two	
or	three	versions	for	digital	–	shorter,	more	responsive,	fast-paced,	conceived	
for	digital	from	the	very	start	of	the	campaign	and	shot	in	parallel	with	the	TV	
spot.	It’s about telling a story in a different way but achieving the same
communication strength as on TV.	In	short,	it’s	essential	to	integrate the
media and device of distribution into the creative and production process."
Julien Claustre	|	Digital	Manager,	Axa
According	to	Millward	Brown,	adapting	video	content	to	different	contexts	makes	people	more	receptive
and	increases	the	branding	uplift	on	awareness,	brand	favourability	and	purchase	intent.
Performance of video created for online vs. repurposed TV ads
Source	:	MarketNormsTM	–	Basis:	218	campaigns	Europe	(TV	ads)	90	campaigns	(digital	video	ad)
3X
AWARENESS
3X
BRAND FAVOURABILITY INTENT TO BUY
6X
10 11
Source:	IBOPE	TV	date	(Nielsen	/	IBOPE	Mexico)	
Jan-June	2015,	Women	18-49	Reach
45
40
35
30
25
20
15
10
5
0
REACH%
TRPS0	 200	 400	 600	 800	 1000	
Average Schedule Reach 1 + by TRPs
After	this	point	additional	reach	for	each	TRP	
has	declined	beyond	the	point	of	being	useful
Source:	Nielsen	TV	Brand	Effect,	Digital	IAG	P18+,	US
Exposure	to	TV	only Exposure	to	Digital	+	TV
47	%
53	%
29	%
36	%
22	%
29	%
15	%
20	%
GENERAL RECALL BRAND RECALL MESSAGE RECALL LIKEABILITY
As	users	switch	from	one	screen	to	another,	they	expect	content	to	be	seamlessly	
integrated	across	devices.	The	same	goes	for	advertising	content:	in	fact,	combining
TV and online video advertising	is	a	great	opportunity	for	brands	as	the	two	
channels	complement	one	another,	even	if	it	comes	with	some	challenges.
Combining	TV	and	digital	exposure	amplifies	the	branding	impact	of	a	campaign.	As	shown	in	the	image	below,	
brand	and	message	recall	profits	the	most	from	combining	TV	and	digital	exposure	(+7	percentage	points),	
followed	by	general	recall	(+6%)	and	likeability	(+5%).
2
Planning for cross-screen
a. Pushing back the point of diminishing returns
By	combining	TV	and	digital,	TV	advertisers	
are	able	to	push	back	the	point	of	diminishing	
return,	after	which	the	cost	for	additional	reach	
dramatically	increases.
Digital	advertising	brings	with	it	a	fresh	audience	that	
can	be	difficult	to	reach	on	TV,	as	online	and	mobile	
users	are	younger	and	also	light	TV	viewers.	
As	a	matter	of	fact,	digital	video	opens	to	publishers	
and	advertisers	across	a	multitude	of	different	KPIs,	
but	the	reach	and	frequency	metrics	that	brands	
are	expecting	are	not	often	provided.	In	order	to	
bridge the gap between TV and digital video,
the industry needs to establish a viable single
currency to plan cross-screen.
The	main	challenge	for	video	and	for	digital	in	general	is	the	adoption of
standard KPIs.	While	TV	ads	are	measured	through	on-target	reach	and	
frequency,	digital	campaigns	ultimately	only	allow	comparison	by	number	of	
impressions.	Each	player	has	different	KPIs,	which	makes	it	impossible	to	
aggregate	results.	We	need	to	establish	common	standards in order to better
measure digital campaign effectiveness.”
Catherine Masson	|	Head	of	Brand	Media	Strategy	&	Media	Buying,	Air	France
13
3
Adapting video formats to mobile
b. Following the consumer throughout the day
Planning cross-screen also extends the length of
a campaign,	allowing	for	targeted	creatives	thanks	
to	storytelling	on	different	platforms.	Cross-screen	
distribution	opens	the	opportunity	to	optimise	a	
campaign	in	real-time,	based	on	variables	such	
as	time	of	day,	geography,	carrier	and	device.	
For	instance	a	two-minute	cooking	tutorial	is	better	
shown	at	7pm	on	a	tablet,	to	a	user	who	is	at	home	
and	using	wifi	–	rather	than	at	3pm	on	smartphone	
to	a	user	who	is	at	work	and	using	data	to	quickly	
check	the	news.
As	users	expect	a	seamlessly	integrated	cross-
screen	advertising	experience,	the	use	of	data	
is	crucial	in	order	to	efficiently	plan	campaign	
distribution	–	even	more	so	when	looking	into	
programmatic	distribution,	where	decisions	are	taken	
at	a	single	impression	level.	
Reliable	and	effective	cross-screen device
attribution	is	a	major	industry	challenge	that	needs	
to	be	addressed:	while	feasible,	this	faces	technical	
difficulties	such	as	cookie	deletion	and	comes	with	
the	challenge	of	privacy	and	data	protection.
c. Adapting the distribution, creative and the format
to mobile devices
While	facing	the	challenges	of	cross-screen	
campaign	distribution,	advertisers	and	media	
agencies	also	need	to	take	into	account	the	
creative	and	distribution	aspects	of	their	campaign:	
if	video	used	to	be	created	for	TV	only,	the	classic	
30-second	TV	commercial	distributed	in	a	pre-roll	is	
not	the	best	option	for	digital	distribution.	
It	is	also	essential	to	keep	in	mind	the	impact of
video on the user experience:	sometimes	an	
entertaining	and	welcome	break,	video	can	also	
cause	annoyance	if	it	eats	into	users’	monthly	
data	plans	and	slows	down	the	device.
This	is	why	advertisers	need	to	be	mindful	of	the	
audience's	location	or	data	plan	when	distributing	
their	video.	This	is	especially	important	when	
operating	internationally:	whereas	in	some	countries	
the	data-plans	amply	cover	all	needs,	some	other	
countries	(such	as	Italy	or	Spain,	for	instance)	offer	
data	plans	insufficient	for	video	streaming.	In	order	
to	offer	the	best-possible	user	experience,	it	is	
crucial	to	account	for	these	differences	and	optimise	
campaign	delivery	towards	wi-fi	enabled	devices.
12
DELIVERYVOLUME
TIME OF THE DAY
7am	 9am	 5pm	 7pm	 Midnight
ALWAYS ON
SmartphoneTablet Desktop
AD BLOCKING AND THE SHIFT TO MOBILE ARE PAVING THE WAY FOR
OUTSTREAM, NATIVE VIDEO AND OPT-IN FORMATS.
As	catching	users’	attention	gets	increasingly	difficult	on	mobile,	brands	must	develop	
a	connection	with	their	target	audience	in	order	to	hook	them	with	specific	messaging	
and	try	not	to	enrage	them	with	forced	advertising.	
a. Intrusive video formats driving ad blocking on mobile
A	rapid	growth	of	ad-clutter	over	the	past	years,	
together	with	intrusive	and	interruptive	advertising	
formats,	have	led	to	users	increasingly	adopting	ad	
blocking	software	in	order	to	keep	control	of	their	
online	experience.	According	to	PageFair,	there	were	
198 million active ad blocker users in June 2015,
with an increase of 41% year on year.
As	far	as	video	is	concerned,	up	to	62%1
	of	the	
time	spent	watching	video	gets	blocked	from	
monetisation	in	Germany.	According	to	research	
conducted	by	Teads,	forced video formats such
as pre-roll are highlighted by users as the main
reason they installed an ad blocker.
1	Source:	Secret	Media
“We are very attentive to the quality of
the format, we want it to be as non
intrusive as possible: the user must
be free to choose. The quality of a
communication campaign also depends
on the way the user accepts the ad and
reacts to it.”
Catherine Masson	|	Head	of	Brand	Media	
Strategy	&	Media	Buying,	Air	France
14
c. Getting up to speed
Ad	blocking	led	to	a	subsequent	revenue	loss	of	
£22	billion	for	publishers	in	2015	and	represents	a	
further	barrier	for	advertisers	in	communicating	with	
their	target	audiences.	It	could	become	worse	still	if	
mobile	operators	such	as	Three	went	through	with	
their	plans	to	block	ads	at	a	network	level	due	to	
their	partnership	with	Israeli	ad-blocker	company	
Shine.	They	are	justifying	this	controversial	move	by	
arguing	that	ads,	and	especially	video	ads,	consume	
bandwidth	and	damage	the	quality	of	service.
To	support	this	position,	the	second	motivation	listed	
by	users	for	installing	an	ad	blocker	is	that	ads	slow	
down	the	browsing	experience,	especially	on	mobile.
Upload	time	is	critical	as	the	average	mobile	user	
starts	scrolling	on	a	website	much	faster	than	
on	desktop.	According	to	marketing	analytics	
company	Moat,	a mobile user clicks down the
page 13 seconds after content begins loading,
compared to 24 seconds on desktop,	which	gives	
ads	more	time	to	load.
In	order	to	address	this	problem,	Google	has	
launched	an	industry-wide	initiative	called	the	
Accelerated Mobile Pages (AMP),	which	aims	
to	reduce	page	upload	time	by	85%	compared	to	
standard	mobile	pages.	This	open	source	solution	
can	be	integrated by publishers and tech
platforms such as Teads.	It	implies	that	publishers	
give	up	intrusive	formats	such	as	interstitials	or	
site	take-overs.
% of people who rank
pre-roll as highly intrusive
% of people who rank in-article
native video as highly intrusive
57	%Argentina 13	%
55	%Mexico 14	%
54	%Spain 21	%
52	%United	States 25	%
52	%Germany 27	%
51	%United	Kingdom 23	%
51	%Italy 25	%
49	%France 22	%
43	%Brazil 21	%
Source:	Teads	Research,	“Profile	of	an	Ad	Blocker”,	fielding	by	Research	Now,	analysis	by	Teads,	December	2015.	Pre-roll	ads	include	both	
skippable	and	unskippable	formats.
15
Native	video	is	an	alternative	to	pre-roll,	which	is	
placed	before	video	content.	
It is seamlessly integrated within editorial
content, the video being ideally contextually
relevant and adding value to the user experience.
Context	is	key	when	it	comes	to	distribution,	as	not	
only	does	it	allow	for	an	ad	to	be	natively	positioned,	
thus	enabling	better	targeting	based	on	interests	
and	mind-set.	Research	conducted	by	Adblock	Plus	
shows	that	41% of users don’t mind being shown
branded content as long as the quality and the
user experience match the editorial environment
that	the	ad	is	placed	in.
Context	also	speaks	for	the	quality	of	the	ad	as	
users	tend	to	associate	the	editorial	quality	of	the	
environment	the	ad	is	shown	in	with	the	advertising	
brand.	This	is	particularly	important	when	it	comes	
to	finding	premium,	brand-safe environments
on	mobile.
This	type	of	outstream video format	solves	a	
problem	that	many	publishers	face,	which	is	having	
enough	video	supply	that	they	can	monetise.	
Using	outstream	video	advertising	allows	publishers	
to	monetise	their	editorial	content,	preventing	them	
from	having	to	invest	in	creating	additional	video	
footage.	It	also	allows	for	a	user-friendly	experience	
as	the	consumer	can	skip	it	at	any	point:	it	doesn’t	
interrupt	content	consumption.	
2	Source:	http://www.adweek.com/news/technology/how-can-marketers-be-certain-their-mobile-ads-are-actually-getting-seen-167748
People around the world were asked if they perceived mobile ads to be more intrusive, and there
were different levels of agreement across markets.
These	numbers	are	even	more	dramatic	when	looking	at	mobile	devices,	as	the	intrusiveness	of	classic	
advertising	formats	is	magnified	by	mobile.	This	poses	a	challenge	for	advertisers	and	publishers	when	looking	
at	which	formats	to	adopt	in	order	to	respect	user	experience.
Highest % agreement
% AGREEMENT (TOP-2 BOX)
Lowest % agreement
Source:	Teads	Research,	“Profile	of	an	Ad	Blocker”,	fielding	by	Research	Now,	analysis	by	Teads.	Base:	Total	respondents	
81% 80% 76%
Mexico Argentina Spain
61% 62% 63%
United Kingdom France Germany
b. Native video ads are better tolerated
If	pre-roll	ads	are	the	most	intrusive	ads	for	more	than	50%	of	users,	conversely	native	video	ads	are	much	better	
perceived,	as	they	are	not	blocking	access	to	content	and	users	can	scroll	away	if	they	don’t	want	to	watch	the	ad.
"If the ad hasn't loaded by the time that
you start to scroll, you scroll past the
place where the ad eventually loads.
As a result, the ad is not viewable
[because] you scrolled past the slot
before it had a chance to load."
Jonah Goodhart	|	CEO	&	Co-Founder,	
Moat	in	AdWeek2
16
Opt-in Pre-roll
+22%
+17%
+13%
+11% +10%
+8%
LIFT IN AD
AWARENESS
LIFT IN BRAND
AWARENESS
LIFT IN BRAND
AWARENESS FIRST*
Lift in Awareness vs. Control
Source:	Millward	Brown	custom	study	commissioned	by	Teads.	Lifts	for	both	formats	were	significant	at	99%	confidence	level.	June	2015
17
d. Control is crucial
Results	from	the	Teads/Research	Now	study	
“Why	people	block	ads”	also	show	that	more	than	
8	out	of	10	users	would	consider	un-installing	
ad-blocking	software	if	they	were	given	the	choice	of	
whether	to	see	an	ad	or	not.	This	reflects	one	of	the	
major	trends	in	the	industry	at	the	moment,	which	is	
the	power	of	the	user	to	choose	how	and	when	to	
consume	content.	
The	adoption	of	mobile	devices	epitomises	this	trend	
as	users	tend	to	have	a	more	personable,	exclusive	
relationship	with	their	mobile	phones,	smartphones	
and	tablets	as	opposed	to	traditional	media	such	as	
radio,	TV	and	print	which	are	normally	shared.
As	a	consequence,	users expect to be able to
control and skip the ad	or	close	it	from	the	very	
beginning	if	they	want	to.
e. Opt-in video sees greater ROI
A	research	conducted	by	Teads	and	Millward	Brown	
shows	that	opt-in ads generated greater lift in
standard ad metrics vs. pre-roll.
Across	all	awareness	metrics,	opt-in	was	more	
successful	in	generating	lifts	vs.	the	control	group,	
with	a	+22	lift	vs.	the	control	group	for	Ad	Awareness	
(99%	confidence).
Opt-in	ads	were	also	better	at	building	brand-
awareness	over	time	than	pre-roll,	with	a	53%	vs.	
a	27%	build	respectively.	This	can	be	explained	by	
the	fact	that	users are more engaged with the ad
when they chose to watch it,	rather	than	when	
exposure	is	forced	upon	them.
As	mobile	content	consumption	is	so	different	from	traditional	TV,	big	screen	or	
desktop,	advertisers	face	the	difficulty	of	creating	content	that	is	adapted	to	each	and	
every	moment	of	consumption.
Teads identified the main challenges of mobile video content creation
at present:
• Challenge 1:	Sound	on/off
• Challenge 2:	Going	vertical
• Challenge 3:	From	big	to	small	screen
• Challenge 4: Time	matters
4
Creative challenges:
Mobile as a compass to reset the
creative standards
Challenge	1	
Sound on/off
Content	consumption	is	changing;	users	often	watch	video	playing	silently	as	they	
might	be	in	an	environment	which	does	not	allow	them	to	play	the	video	with	sound	
–	either	they	are	in	public	or	sound	is	off	by	default	on	their	device.	Brands should
be aware that a high proportion of their ads will be played silently,	therefore	the	
creative	should	be	as	impactful	with	or	without	sound.
Creating	silent	content	is	another,	maybe	more	extreme	but	potentially	successful	option.	Moreover,	videos	that	
don’t	rely	on	language	to	pass	their	message	have	higher	chances	of	being	used	across	different	markets	as	
they	don’t	need	any	translation.	Be	it	through	image	only,	call-outs	or	subtitles,	videos	need	to	be	understood	
even	when	muted.
18 19
Challenge	2	
Going vertical
The	2015	innovation	of	vertical	video	facilitates	user	experience	when	it	comes	to	
smartphone	video	viewing,	as	it	mimics the vertical handheld position.	This	also	
has	implications	for	video	shooting	as	it	changes	the	typical	video	landscape-setting	
to	a	more	immediate	format	that	fits	the	display	of	any	phone.
“Going	vertical”	was	even	named	by	Mary	Meeker	as	a	trend	for	2015	in	her	Internet	Trends	report,	with	viewing	
vertically	accounting	for	29%	of	viewed	video	time.	
Advertisers	can	either	produce	different	creatives	for	each	device	–	with	different	video	lengths,	panorama	
settings,	levels	of	detail	and	so	on	–	or	simply	optimise	videos	to	take	into	account	the	challenges	posed	by	
multi-screening,	vertical	video	and	smartphone	usage.	
A	great	example	of	a	brand	leveraging	on	the	vertical	video	trend	is	offered	by	Jeep.	For	its	"Portraits"	ad,	which	
aired	at	halftime	of	Super	Bowl	50	and	ended	up	being	amongst	user’s	favourite	spots	of	the	game,	Jeep	chose	
to	produce	a	vertical	video	that	played	beautifully	on	mobile	screens.
20
Challenge	3
From big to small screen
Video	created	for	multi-screen	needs	to	take	into	account	the	size	of	each	device:	
small	details	are	more	likely	to	get	lost	when	content	originally	created	for	TV	is	shown	
on	a	smartphone	screen.	This	means	that	shooting	needs	to	be	adapted	to	the	device	
–	making	sure	that	the	content	works	both	on	small	as	well	as	on	large	screens.
Unboxing	videos	offer	a	great	example	of	how	to	put	the	product	at	the	centre	of	the	video,	zooming in on
details that would otherwise be overlooked.	This	is	a	technique	used	by	many	beauty	and	consumer	
technology	brands	to	showcase	their	products	just	after	or	even	shortly	before	the	official	product	launch.	
21
Challenge	4
Time matters
Source:	IPG	Media	Lab,	2015,	‘Putting	science	behind	the	standards'
TIMEINVIEW
% IN VIEW
7	sec
4	sec
2	sec
1	sec
100
30	%
32	%
12	%
8	%
34	%
25	%
13	%
13	%
34	%
24	%
10	%
12	%
75 50 25
26	%
10	%
17	%
9	%
When	coming	from	a	TV-first	background,	advertisers	should	look	at	adapting	the	
length	of	an	ad	when	switching	to	digital	–	reducing	the	creative	to	15s	on	mobile	in	
order	to	guarantee	high	completion	rates.
Hooking	the	users	in	the	first	few	seconds	is	
imperative	as,	if	given	the	choice,	even	with	highly	
engaging	ads,	many	users	skip	away	as	soon	as	
they	can.
The first 2 seconds are critical: they represent
31% of all impressions delivered on Teads’
inRead format on mobile.
	A	strong	start	also	encourages	the	user	to	watch	
the	video	until	completion.	The	traditional	motto	that	
the	brand	should	be	revealed	at	the	end	and	that	the	
storyline	should	unfold	throughout	the	video	is	simply	
not	true	anymore:	as	users	are	given	the	choice	
of	whether	to	skip	or	to	stay,	the	creative	needs	to	
persuade	them	to	stick	with	it.	For	each	additional	
second	in	full	view,	ad	recall	increases	significantly.
While	only	10%	of	consumers	will	recall	the	ad	at	
the	MRC	standard	(50%	of	the	surface	in	view	for	
at	least	two	seconds),	research	by	IPG	Media	Labs	
shows	how	the	percentage	chance	of	ad-recall	
triples	at	50%	of	time	viewing	and	100%	surface	
viewable.	(Study	carried	out	on	a	15	seconds	mobile	
autoplay	video	ad).	
Predicted chance consumers will recall video ad
Teads identifies the new opportunities to reach, engage and drive
adiences to store:
• Opportunity 1:	More	engaging	messages
• Opportunity 2:	New	channels	for	live	streaming
• Opportunity 3: Second-screening	and	mobile	first
• Opportunity 4: Drive	to	store
On	the	other	hand,	advertisers	are	rewarded	with	higher	user	engagement	on	mobile	vs.	desktop,	especially	
when	ads	are	targeted	to	the	user.
This	behaviour	opens	a	series	of	opportunities,	for	instance	targeting	users	while	in-store	or	driving	them	to	a	
store	(be	it	brick-and-mortar	or	e-commerce),	capturing	those	micro-moments	in	which	users	search	for	specific	
information	while	on	the	go.
22
As	mobile	video	advertising	is	closer	to	the	user	than	advertising	shown	on	larger	
screens,	people expect more from the ad.	Given	the	natural	tendency	of	using	
mobile	devices	when	“on	the	go”	or	during	micro	moments	in	the	day,	users	will	be	
more	impatient	when	faced	with	poor	or	wrongly	targeted	content	than	when	using	
a	desktop	or	laptop.
This	means	that	completion	rates	tend	to	be	naturally	lower	on	mobile.
5
New opportunities to reach,
engage and drive to store
23
Mobile	is	the	most	personal	media	and	
as	such	it	offers	a	great	opportunity	to	
create	a	more	engaging	communication	
with	consumers.
For	its	Christmas	campaign,	British	retailer	John	
Lewis	created	an	emotive	film	in	which	a	young	
girl,	on	discovering	that	an	elderly	person	was	living	
alone	on	the	moon,	finds	a	way	to	send	him	a	gift.
The	tweet	releasing	the	video	was	re-tweeted	
52,000	times	by	consumers;	each	of	them	received	
a	tweet	back	from	John	Lewis,	including	a	thank-you	
video	personalised	with	the	user’s	name.	
This	is	a	great	example	of	how	to combine a
mainstream, TV-centric approach, with further
engagement via digital platforms.
Opportunity	1
More engaging messages
24 25
Opportunity	2
New channels for live streaming
With	the	window	between	time	of	publication	and	time	of	consumption	narrowing,	
live-streaming	is	becoming	an	effective	way	to	engage	with	audiences	on	mobile.	
Platforms	such	as	Snapchat,	Periscope	and	Meerkat	allow	real-time	transmission	of	content	for	users	who	are	
on	the	look-out	for	raw,	(seemingly)	unedited	content.	This	shift	also	brings	with	it	the	appearance	of	unfiltered	
images	and	content,	although	the	filtering	and	editing	simply	passes	straight	to	the	hands	(and	eyes)	of	the	person	
recording.	Nevertheless,	these channels allow users to feel close to the centre of the events;	fashion	brands	
such	as	Burberry	use	Meerkat	and	Periscope	to	live-stream	their	fashion	shows,	creating	a	unique	connection	
between	the	people	physically	present	in	the	room	and	those	watching	the	show	from	the	comfort	of	their	home.
This	is	perhaps	ironic	when	considering	that	live-streaming	is	rising	along	with	on-demand	and	catch-up	TV	
–	a	parallel	development	that	is	similar	to	the	‘eventisation’	originally	occurring	around	TV	gatherings,	back	in	the	
days	when	people	would	wait	the	whole	day	for	a	programme	to	air.
Source:	The	Drum,	Burberry	fashion	show
26
Opportunity	3
Second-screening
and mobile first
TABLET
DESKTOP
MOBILE
7%
11%
82%
Source:	Adometry	TV	AttributionSource:	2015	Accenture	Digital	Consumer	Survey,	and	Soasta,	Second	Screening	Data.
Getting	the	user	in	the	right	moment,	on	the	right	
screen,	is	no	easy	task.
Large	events	such	as	the	Super	Bowl,	the	Oscars	or	the	Olympic	
Games	provide	a	great	platform	for	cross-screen	targeting	the	user.	
Research	shows	that	users	switch	to	mobile	during	a	TV	ad-break	
and	the	number	gets	even	higher	when	it	comes	to	Millennials	
and	Gen	Z.	Second-screening in general has now become
common practice for most, with 87% of consumers admitting
to it.	Mobile	wins	big	especially	when	it	comes	to	Millennials:	71%	
of	consumers	aged	18-34	use	a	smartphone	and	26%	use	a	tablet	
either	as	an	interactive	extension	of	the	TV	show	they	are	watching	
or	as	a	parallel	source	of	content	and	entertainment.	
This	is	why	it	is	crucial	to	not	only	plan	campaigns	cross-screen,	
but	also	to	coordinate	the	targeting	so	to	ensure	maximum	on-
target	reach.	Companies	such	as	TVTY	can	target users on their
mobile during TV show-time,	maximising	the	potential	of	user	
exposure	to	the	brand.
During	the	Super	Bowl,	nearly	1	in	3	(32%)	of	Americans	who	
watched	the	Big	Game	also	used	social	media	on	websites	or	
apps.	In	addition,	21%	used	sports	sites	or	apps,	19%	would	use	
news	sites	or	apps;	17%	would	use	food	delivery	sites	or	apps	and	
14%	would	use	game	sites	or	apps.
This	poses	a	great	opportunity	for	extending campaign reach
and storytelling across devices.
During the big
game, the majority
of TV-ad-driven
searches happened
on mobile
27
Opportunity	4
Drive to store
Mobile	purchases	are	on	the	rise,	with	46% of users buying products via mobile
at	least	a	few	times	a	year,	compared	to	40%	last	year	according	to	PWC	Total	Retail	
survey.	Moreover,	68%	of	Indian	shoppers,	59%	of	Chinese	and	26%	of	US	shoppers	
say	their	mobile	phone	will	become	their	main	purchasing	tool	in	the	future.
With	the	trend	growing,	it	comes	as	no	surprise	that	mobile	native	video	offers	a	great	opportunity	for	product	
purchase	alongside	more	classic	“branding”	options.
Fashion	brand	John	Varvatos	recently	promoted	“touchable” and “shoppable” interactive video:	in	fact,	
adding	elements	of	interactivity	through	VPAID	or	custom-built	hotspots	allow	users	to	explore	the	product	
within	the	video,	making	for	a	more	personable	experience.	As	the	experience	happens	within	the	video	frame,	
this	kind	of	video	ad	also	has	the	advantage	of	not	driving	users	away	from	the	page,	instead	allowing	all	
transactions	–	from	exploring	to	buying	the	product	–	to	happen	within	the	same	video	frame.
From	360-video	and	direct	buying	options	to	store-locator	functionalities	for	a	physical	drive-to-store	through	a	
map,	mobile	video	has	never	been	more	shoppable.
28 29
1. Discover more
Video	length:	15-20	seconds.	Extremely	interactive.	
Redirects	the	user	to	bottom	of	the	funnel	either	on	
the	creative	or	on	the	brand	site.
2. Explore the collection
The	creative	provides	an	overview	of	the	product	
range	upon	user	interaction	(either	by	click	or	
hovering	over	the	creative).
3. Chose an item
The	user	explores	one	or	more	products	from	the	
entire	brand	collection.
4. Zoom in
The	chosen	product	can	be	zoomed	in,	zoomed	
out	or	replaced	with	another	product.
5. Lead to purchase
Upon	click,	the	user	is	redirected	to	an	end-screen	
where	to	buy	the	product.
Source:	Teads	Campaigns
Title: 	 Victor	&	Rolf	Flowerbomb
Release date:		 06.11.15
Video length: 	 00:20
CTR: 	 1.4%
Completion rate: 	13%
Countries:		 EU,	US,	Asia
Mobile	leads	the	
growth	in	digital	native	
video	advertising
31
5. Show brand and product
The	shift	from	large	to	smaller	screens	implies	the	need	to	adapt	creatives	to	a	portable	device,	where	little	
details	might	be	missed.	Make	sure	brand,	product	and	messaging	are	clearly	visible	even	on	a	tiny	screen.
6. Create shorter content
Creating	for	mobile	means	snackable	content	but	also	hooking	the	users	in	the	first	seconds:	given	the	choice,	
even	with	highly	engaging	ads,	many	users	skip	away	as	soon	as	they	can.
7. Personalise your messaging
Make	sure	the	classic	video	distribution	approach	is	complemented	by	engaging	fans	and	communities.	
Personalisation	and	customisation	are	rising	trends	that	make	for	great	engagement	between	the	user	and	
the	brand.
8. Explore live streaming
Immediacy	and	360-degree	formats	allow	users	to	feel	more	involved,	generating	more	transversal	content	
that	goes	beyond	advertising	for	a	specific	product.
9. Use second screening, go mobile first
As	over	80%	of	users	turn	to	their	mobile	devices	while	watching	TV,	mobile	should	be	the	focal	point	of	any	
video	campaign,	not	just	TV’s	ancillary.
10. Drive to store
Mobile	video	goes	beyond	branding:	with	m-commerce	surging,	video	can	be	shoppable,	too.	Interactive	
VPAID	formats	allow	users	to	engage	directly	with	the	content.
To find out more about how Teads can help you plan your cross-screen campaign effectively,
get in touch for a demo.
6
Creating for mobile video:
Why it matters
30
As mobile truly revolutionised video advertising, it is time for brands to mobilise their creative genius,
too. With TV losing ground, mobile leads the growth in digital video advertising.
So why does mobile video matter?
In a recap of our findings, Teads presents:
TEN GOLDEN RULES OF MOBILE VIDEO
1. Plan cross-screen but think mobile first
An	integrated	approach	of	digital	+	TV	helps	push	back	the	point	of	diminishing	returns	as	campaigns	follow	
the	user	journey	across	devices.	As	users	are	more	receptive	to	ad	intrusion	on	mobile,	use	it	as	a	standard	
to	define	the	advertising	experience.
2. Choose native video formats
With	ad	blocking	behaviour	on	the	rise,	especially	on	mobile,	advertisers	need	to	refrain	from	intrusive	ad	
formats	and	use	native	video	ads,	that	are	seamlessly	integrated	in	the	feed	of	the	content	rather	than	
forced	to	the	user.
3. Make it work with no sound
Videos	are	often	played	silently.	Making	the	video	work	both	with	or	without	sound	is	imperative	to	yield	
good	results.
4. Adapt to viewing behaviour
Not	all	video	is	consumed	horizontally	–	square	and	vertical	formats	are	equally	important	and	need	to	be	
taken	into	account	by	creating	content	that	works	across	all	formats.
32
REINVENTING	VIDEO	ADVERTISING
Would you like to challenge us
or tell us anything we missed?
Please	send	us	an	email	at	insights@teads.tv
TEADS.TV

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White Paper: Mobilising video advertising: trends, challenges and opportunities

  • 2. 2 3 Contents Introduction 5 1. Video advertising going mobile 6 a. Different approaches to online video 6 b. Digital is more and more mobile 7 c. Cost: the barrier to adapting TV spots 8 2. Planning for cross-screen 10 a. Pushing back the point of diminishing returns 10 b. Following the consumer throughout the day 12 c. Adapting distribution, creative and format for mobile 12 3. Adapting video formats to mobile 13 a. Intrusive formats drive ad blocking 13 b. Native video ads are better tolerated 14 c. Getting up to speed 15 d. Control is crucial 16 e. Opt-in video sees greater ROI 16 4. Mobile as a compass to reset the creative standards 17 a. Challenge 1: Sound on/off 18 b. Challenge 2: Going vertical 19 c. Challenge 3: From big to small screen 20 d. Challenge 4: Time matters 21 5. New opportunities to reach, engage and drive to store 22 a. Opportunity 1: More engaging messages 24 b. Opportunity 2: New channels for live streaming 25 c. Opportunity 3: Second-screening & mobile first 26 d. Opportunity 4: Drive to store 27 6. Creating for mobile video 30 a. Why it matters: The ten golden rules of mobile native video advertising 30
  • 3. Mobile is also everywhere with more than half of the global population owning a smartphone or tablet and developing a deeply personable relationship with their devices. As a consequence, mobile is expected to be the main driver of global adspend growth and will contribute a full 83% of the extra adspend between 2014 and 2017 according to ZenithOptimedia forecasts. At Teads, we believe that mobile is not just another screen to be added to the video stack. As users are more averse to advertising on mobile and more sensitive to intrusiveness, the industry needs to adapt video ad formats and creatives to mobile devices. This means reducing the length of the videos. The US leads the way, with 50% of campaigns planned with a mobile version of the ad in mind. If this shift in thinking doesn't happen, we risk speeding up the adoption of ad-blockers, missing the opportunity to make brands’ messages resonate with their audience. On mobile, users are in a particular state of mind that differs to that of watching TV or working on a desktop. Mobile is flexible; it’s adaptable, it satisfies a curious appetite – be it immediate access to entertainment, shopping or friends. The day is fragmented in hundreds of micro-moments that each bring with them a new need and a new opportunity for brands to deliver relevant and engaging messages. As content and context play an important part in the race for user attention, it comes as no surprise that native advertising formats are experiencing such stellar growth. Integrated in the feed of the content, they are very well adapted to mobile consumption, being viewable by default but not forced upon the user. Based on Teads’ video distribution expertise, this white-paper looks into the trends, challenges and opportunities offered by native mobile video advertising. 4 5 Mobile is everything was the motto of this year’s Mobile World Congress.
  • 4. 6 7 Global Media Spend 2014 8 30 62 2017 17 29 55 Daily Screen Share (%) Mins (Video &other web browsing) MOBILE COMPUTER TV 2015 52 21 27 1 Video advertising going mobile Video advertising is rapidly growing on a global scale, with adspend forecast to double from 2015 to 2017. However, it represents less than 10% of TV ad spend, with an approach that pushes TV spots into the video stream still dominating digital video advertising. With users and budgets shifting to mobile, brands are slowly starting to adapt. a. Different approaches to online video Since video is distributed online, two advertising approaches co-exist. The traditional TV approach is a clear “push” marketing technique, with content forced-exposed to users in a bid to pass a TV ad in a video stream. On the other hand, the rise of digital video and mobile devices saw the development of a “pull” approach: users are given the option to watch a promotional video and can control whether to skip, scroll past or simply close it. Compared to TV, video advertising can also be distributed in all content streams, not only in video, for instance within an article or in social feeds. b. Digital is more and more mobile On average, people view a total of 3.5 hours of video a day, with half of videos watched on digital screens. Two thirds of online video consumption is occuring on mobile. As a consequence, mobile media spend should double from 2014 to 2017 according to ZenithOptimedia. The digital approach, relying on brands producing video content for digital platforms to create user engagement, has evolved since 2010 and is shifting towards mobile-centric platforms like Facebook and other mobile, native video applications like Instagram, Twitter or Snapchat. At the 2015 Super Bowl, there were more shares of Big Game ads occuring on Facebook than YouTube. Today there are 8 billion videos viewed daily on the social platform. Twitter has also witnessed a 150-fold year-on-year increase in video views as of September 2015, with tweets containing video seeing 6 times more retweets than those only containing images. These platforms create new opportunities for brands to reach out to their audience using video formats that are specific to each distribution channel in terms of duration, size, and placement. This fragmentation and the flexibility of the digital video landscape makes it more challenging to plan content creation and distribution accordingly. Source: Millward Brown Ad Reaction Study, November 2015 PULL USER Content Engagement BRAND Media PUSH Visibility Viral video 2010 2015 Skippable pre-roll Click-to-play Social video Auto-play Digital centric • Pre-roll ad on catch up TV • TV ad short form • Pre-roll ad (skippable or not) • TV ad short and long form TV centric OUTSTREAM FORMAT
  • 5. c. Cost: the barrier to adapting TV spots As eyeballs and budgets shift to mobile devices, the “pull” model should progressively gain ground; however the share of TV budgets in video media spent will still be greater than digital for the next few years. TV dictates the format and duration of the ad, as it represents the bigger media spend. Moreover, the cost of adapting a TV ad to desktop or mobile is in most cases high compared to the media spend on digital. For this reason, even if creative and media agencies recommend to resize messages, TV ads are distributed across all screens. 8 9 Worldwide advertising expenditure (US$ million) Digital Video Linear TV Mobile Video 2015 16,146 199,950 5,396 2016 19,776 205,843 7,932 2017 23,664 210,399 9,661 Source : Zenith Optimedia Some advertisers have started to systematically produce a shorter version of TV ads for mobile, but they are still in the minority. Brands that are also very mobile focused, such as mobile carriers, are changing the creative process by planning the production of different edits for TV, desktop and mobile. Share of views per ad duration 3.65% 0-10 SEC 27.94% 11-20 SEC 41.81% 21-30 SEC 9.49% 31-40 SEC 4.72% 41-60 SEC 4.62% 1-2 MIN 7.76% MORE THAN 2 MIN Source : State of the Outstream, Teads Q2 2015 Seeing some TV ads that simply do not work on digital helps thinking about our own creative process. In that case, it’s useful to think of different “edits”: two or three versions for digital – shorter, more responsive, fast-paced, conceived for digital from the very start of the campaign and shot in parallel with the TV spot. It’s about telling a story in a different way but achieving the same communication strength as on TV. In short, it’s essential to integrate the media and device of distribution into the creative and production process." Julien Claustre | Digital Manager, Axa According to Millward Brown, adapting video content to different contexts makes people more receptive and increases the branding uplift on awareness, brand favourability and purchase intent. Performance of video created for online vs. repurposed TV ads Source : MarketNormsTM – Basis: 218 campaigns Europe (TV ads) 90 campaigns (digital video ad) 3X AWARENESS 3X BRAND FAVOURABILITY INTENT TO BUY 6X
  • 6. 10 11 Source: IBOPE TV date (Nielsen / IBOPE Mexico) Jan-June 2015, Women 18-49 Reach 45 40 35 30 25 20 15 10 5 0 REACH% TRPS0 200 400 600 800 1000 Average Schedule Reach 1 + by TRPs After this point additional reach for each TRP has declined beyond the point of being useful Source: Nielsen TV Brand Effect, Digital IAG P18+, US Exposure to TV only Exposure to Digital + TV 47 % 53 % 29 % 36 % 22 % 29 % 15 % 20 % GENERAL RECALL BRAND RECALL MESSAGE RECALL LIKEABILITY As users switch from one screen to another, they expect content to be seamlessly integrated across devices. The same goes for advertising content: in fact, combining TV and online video advertising is a great opportunity for brands as the two channels complement one another, even if it comes with some challenges. Combining TV and digital exposure amplifies the branding impact of a campaign. As shown in the image below, brand and message recall profits the most from combining TV and digital exposure (+7 percentage points), followed by general recall (+6%) and likeability (+5%). 2 Planning for cross-screen a. Pushing back the point of diminishing returns By combining TV and digital, TV advertisers are able to push back the point of diminishing return, after which the cost for additional reach dramatically increases. Digital advertising brings with it a fresh audience that can be difficult to reach on TV, as online and mobile users are younger and also light TV viewers. As a matter of fact, digital video opens to publishers and advertisers across a multitude of different KPIs, but the reach and frequency metrics that brands are expecting are not often provided. In order to bridge the gap between TV and digital video, the industry needs to establish a viable single currency to plan cross-screen. The main challenge for video and for digital in general is the adoption of standard KPIs. While TV ads are measured through on-target reach and frequency, digital campaigns ultimately only allow comparison by number of impressions. Each player has different KPIs, which makes it impossible to aggregate results. We need to establish common standards in order to better measure digital campaign effectiveness.” Catherine Masson | Head of Brand Media Strategy & Media Buying, Air France
  • 7. 13 3 Adapting video formats to mobile b. Following the consumer throughout the day Planning cross-screen also extends the length of a campaign, allowing for targeted creatives thanks to storytelling on different platforms. Cross-screen distribution opens the opportunity to optimise a campaign in real-time, based on variables such as time of day, geography, carrier and device. For instance a two-minute cooking tutorial is better shown at 7pm on a tablet, to a user who is at home and using wifi – rather than at 3pm on smartphone to a user who is at work and using data to quickly check the news. As users expect a seamlessly integrated cross- screen advertising experience, the use of data is crucial in order to efficiently plan campaign distribution – even more so when looking into programmatic distribution, where decisions are taken at a single impression level. Reliable and effective cross-screen device attribution is a major industry challenge that needs to be addressed: while feasible, this faces technical difficulties such as cookie deletion and comes with the challenge of privacy and data protection. c. Adapting the distribution, creative and the format to mobile devices While facing the challenges of cross-screen campaign distribution, advertisers and media agencies also need to take into account the creative and distribution aspects of their campaign: if video used to be created for TV only, the classic 30-second TV commercial distributed in a pre-roll is not the best option for digital distribution. It is also essential to keep in mind the impact of video on the user experience: sometimes an entertaining and welcome break, video can also cause annoyance if it eats into users’ monthly data plans and slows down the device. This is why advertisers need to be mindful of the audience's location or data plan when distributing their video. This is especially important when operating internationally: whereas in some countries the data-plans amply cover all needs, some other countries (such as Italy or Spain, for instance) offer data plans insufficient for video streaming. In order to offer the best-possible user experience, it is crucial to account for these differences and optimise campaign delivery towards wi-fi enabled devices. 12 DELIVERYVOLUME TIME OF THE DAY 7am 9am 5pm 7pm Midnight ALWAYS ON SmartphoneTablet Desktop AD BLOCKING AND THE SHIFT TO MOBILE ARE PAVING THE WAY FOR OUTSTREAM, NATIVE VIDEO AND OPT-IN FORMATS. As catching users’ attention gets increasingly difficult on mobile, brands must develop a connection with their target audience in order to hook them with specific messaging and try not to enrage them with forced advertising. a. Intrusive video formats driving ad blocking on mobile A rapid growth of ad-clutter over the past years, together with intrusive and interruptive advertising formats, have led to users increasingly adopting ad blocking software in order to keep control of their online experience. According to PageFair, there were 198 million active ad blocker users in June 2015, with an increase of 41% year on year. As far as video is concerned, up to 62%1 of the time spent watching video gets blocked from monetisation in Germany. According to research conducted by Teads, forced video formats such as pre-roll are highlighted by users as the main reason they installed an ad blocker. 1 Source: Secret Media “We are very attentive to the quality of the format, we want it to be as non intrusive as possible: the user must be free to choose. The quality of a communication campaign also depends on the way the user accepts the ad and reacts to it.” Catherine Masson | Head of Brand Media Strategy & Media Buying, Air France
  • 8. 14 c. Getting up to speed Ad blocking led to a subsequent revenue loss of £22 billion for publishers in 2015 and represents a further barrier for advertisers in communicating with their target audiences. It could become worse still if mobile operators such as Three went through with their plans to block ads at a network level due to their partnership with Israeli ad-blocker company Shine. They are justifying this controversial move by arguing that ads, and especially video ads, consume bandwidth and damage the quality of service. To support this position, the second motivation listed by users for installing an ad blocker is that ads slow down the browsing experience, especially on mobile. Upload time is critical as the average mobile user starts scrolling on a website much faster than on desktop. According to marketing analytics company Moat, a mobile user clicks down the page 13 seconds after content begins loading, compared to 24 seconds on desktop, which gives ads more time to load. In order to address this problem, Google has launched an industry-wide initiative called the Accelerated Mobile Pages (AMP), which aims to reduce page upload time by 85% compared to standard mobile pages. This open source solution can be integrated by publishers and tech platforms such as Teads. It implies that publishers give up intrusive formats such as interstitials or site take-overs. % of people who rank pre-roll as highly intrusive % of people who rank in-article native video as highly intrusive 57 %Argentina 13 % 55 %Mexico 14 % 54 %Spain 21 % 52 %United States 25 % 52 %Germany 27 % 51 %United Kingdom 23 % 51 %Italy 25 % 49 %France 22 % 43 %Brazil 21 % Source: Teads Research, “Profile of an Ad Blocker”, fielding by Research Now, analysis by Teads, December 2015. Pre-roll ads include both skippable and unskippable formats. 15 Native video is an alternative to pre-roll, which is placed before video content. It is seamlessly integrated within editorial content, the video being ideally contextually relevant and adding value to the user experience. Context is key when it comes to distribution, as not only does it allow for an ad to be natively positioned, thus enabling better targeting based on interests and mind-set. Research conducted by Adblock Plus shows that 41% of users don’t mind being shown branded content as long as the quality and the user experience match the editorial environment that the ad is placed in. Context also speaks for the quality of the ad as users tend to associate the editorial quality of the environment the ad is shown in with the advertising brand. This is particularly important when it comes to finding premium, brand-safe environments on mobile. This type of outstream video format solves a problem that many publishers face, which is having enough video supply that they can monetise. Using outstream video advertising allows publishers to monetise their editorial content, preventing them from having to invest in creating additional video footage. It also allows for a user-friendly experience as the consumer can skip it at any point: it doesn’t interrupt content consumption. 2 Source: http://www.adweek.com/news/technology/how-can-marketers-be-certain-their-mobile-ads-are-actually-getting-seen-167748 People around the world were asked if they perceived mobile ads to be more intrusive, and there were different levels of agreement across markets. These numbers are even more dramatic when looking at mobile devices, as the intrusiveness of classic advertising formats is magnified by mobile. This poses a challenge for advertisers and publishers when looking at which formats to adopt in order to respect user experience. Highest % agreement % AGREEMENT (TOP-2 BOX) Lowest % agreement Source: Teads Research, “Profile of an Ad Blocker”, fielding by Research Now, analysis by Teads. Base: Total respondents 81% 80% 76% Mexico Argentina Spain 61% 62% 63% United Kingdom France Germany b. Native video ads are better tolerated If pre-roll ads are the most intrusive ads for more than 50% of users, conversely native video ads are much better perceived, as they are not blocking access to content and users can scroll away if they don’t want to watch the ad. "If the ad hasn't loaded by the time that you start to scroll, you scroll past the place where the ad eventually loads. As a result, the ad is not viewable [because] you scrolled past the slot before it had a chance to load." Jonah Goodhart | CEO & Co-Founder, Moat in AdWeek2
  • 9. 16 Opt-in Pre-roll +22% +17% +13% +11% +10% +8% LIFT IN AD AWARENESS LIFT IN BRAND AWARENESS LIFT IN BRAND AWARENESS FIRST* Lift in Awareness vs. Control Source: Millward Brown custom study commissioned by Teads. Lifts for both formats were significant at 99% confidence level. June 2015 17 d. Control is crucial Results from the Teads/Research Now study “Why people block ads” also show that more than 8 out of 10 users would consider un-installing ad-blocking software if they were given the choice of whether to see an ad or not. This reflects one of the major trends in the industry at the moment, which is the power of the user to choose how and when to consume content. The adoption of mobile devices epitomises this trend as users tend to have a more personable, exclusive relationship with their mobile phones, smartphones and tablets as opposed to traditional media such as radio, TV and print which are normally shared. As a consequence, users expect to be able to control and skip the ad or close it from the very beginning if they want to. e. Opt-in video sees greater ROI A research conducted by Teads and Millward Brown shows that opt-in ads generated greater lift in standard ad metrics vs. pre-roll. Across all awareness metrics, opt-in was more successful in generating lifts vs. the control group, with a +22 lift vs. the control group for Ad Awareness (99% confidence). Opt-in ads were also better at building brand- awareness over time than pre-roll, with a 53% vs. a 27% build respectively. This can be explained by the fact that users are more engaged with the ad when they chose to watch it, rather than when exposure is forced upon them. As mobile content consumption is so different from traditional TV, big screen or desktop, advertisers face the difficulty of creating content that is adapted to each and every moment of consumption. Teads identified the main challenges of mobile video content creation at present: • Challenge 1: Sound on/off • Challenge 2: Going vertical • Challenge 3: From big to small screen • Challenge 4: Time matters 4 Creative challenges: Mobile as a compass to reset the creative standards
  • 10. Challenge 1 Sound on/off Content consumption is changing; users often watch video playing silently as they might be in an environment which does not allow them to play the video with sound – either they are in public or sound is off by default on their device. Brands should be aware that a high proportion of their ads will be played silently, therefore the creative should be as impactful with or without sound. Creating silent content is another, maybe more extreme but potentially successful option. Moreover, videos that don’t rely on language to pass their message have higher chances of being used across different markets as they don’t need any translation. Be it through image only, call-outs or subtitles, videos need to be understood even when muted. 18 19 Challenge 2 Going vertical The 2015 innovation of vertical video facilitates user experience when it comes to smartphone video viewing, as it mimics the vertical handheld position. This also has implications for video shooting as it changes the typical video landscape-setting to a more immediate format that fits the display of any phone. “Going vertical” was even named by Mary Meeker as a trend for 2015 in her Internet Trends report, with viewing vertically accounting for 29% of viewed video time. Advertisers can either produce different creatives for each device – with different video lengths, panorama settings, levels of detail and so on – or simply optimise videos to take into account the challenges posed by multi-screening, vertical video and smartphone usage. A great example of a brand leveraging on the vertical video trend is offered by Jeep. For its "Portraits" ad, which aired at halftime of Super Bowl 50 and ended up being amongst user’s favourite spots of the game, Jeep chose to produce a vertical video that played beautifully on mobile screens.
  • 11. 20 Challenge 3 From big to small screen Video created for multi-screen needs to take into account the size of each device: small details are more likely to get lost when content originally created for TV is shown on a smartphone screen. This means that shooting needs to be adapted to the device – making sure that the content works both on small as well as on large screens. Unboxing videos offer a great example of how to put the product at the centre of the video, zooming in on details that would otherwise be overlooked. This is a technique used by many beauty and consumer technology brands to showcase their products just after or even shortly before the official product launch. 21 Challenge 4 Time matters Source: IPG Media Lab, 2015, ‘Putting science behind the standards' TIMEINVIEW % IN VIEW 7 sec 4 sec 2 sec 1 sec 100 30 % 32 % 12 % 8 % 34 % 25 % 13 % 13 % 34 % 24 % 10 % 12 % 75 50 25 26 % 10 % 17 % 9 % When coming from a TV-first background, advertisers should look at adapting the length of an ad when switching to digital – reducing the creative to 15s on mobile in order to guarantee high completion rates. Hooking the users in the first few seconds is imperative as, if given the choice, even with highly engaging ads, many users skip away as soon as they can. The first 2 seconds are critical: they represent 31% of all impressions delivered on Teads’ inRead format on mobile. A strong start also encourages the user to watch the video until completion. The traditional motto that the brand should be revealed at the end and that the storyline should unfold throughout the video is simply not true anymore: as users are given the choice of whether to skip or to stay, the creative needs to persuade them to stick with it. For each additional second in full view, ad recall increases significantly. While only 10% of consumers will recall the ad at the MRC standard (50% of the surface in view for at least two seconds), research by IPG Media Labs shows how the percentage chance of ad-recall triples at 50% of time viewing and 100% surface viewable. (Study carried out on a 15 seconds mobile autoplay video ad). Predicted chance consumers will recall video ad
  • 12. Teads identifies the new opportunities to reach, engage and drive adiences to store: • Opportunity 1: More engaging messages • Opportunity 2: New channels for live streaming • Opportunity 3: Second-screening and mobile first • Opportunity 4: Drive to store On the other hand, advertisers are rewarded with higher user engagement on mobile vs. desktop, especially when ads are targeted to the user. This behaviour opens a series of opportunities, for instance targeting users while in-store or driving them to a store (be it brick-and-mortar or e-commerce), capturing those micro-moments in which users search for specific information while on the go. 22 As mobile video advertising is closer to the user than advertising shown on larger screens, people expect more from the ad. Given the natural tendency of using mobile devices when “on the go” or during micro moments in the day, users will be more impatient when faced with poor or wrongly targeted content than when using a desktop or laptop. This means that completion rates tend to be naturally lower on mobile. 5 New opportunities to reach, engage and drive to store 23
  • 13. Mobile is the most personal media and as such it offers a great opportunity to create a more engaging communication with consumers. For its Christmas campaign, British retailer John Lewis created an emotive film in which a young girl, on discovering that an elderly person was living alone on the moon, finds a way to send him a gift. The tweet releasing the video was re-tweeted 52,000 times by consumers; each of them received a tweet back from John Lewis, including a thank-you video personalised with the user’s name. This is a great example of how to combine a mainstream, TV-centric approach, with further engagement via digital platforms. Opportunity 1 More engaging messages 24 25 Opportunity 2 New channels for live streaming With the window between time of publication and time of consumption narrowing, live-streaming is becoming an effective way to engage with audiences on mobile. Platforms such as Snapchat, Periscope and Meerkat allow real-time transmission of content for users who are on the look-out for raw, (seemingly) unedited content. This shift also brings with it the appearance of unfiltered images and content, although the filtering and editing simply passes straight to the hands (and eyes) of the person recording. Nevertheless, these channels allow users to feel close to the centre of the events; fashion brands such as Burberry use Meerkat and Periscope to live-stream their fashion shows, creating a unique connection between the people physically present in the room and those watching the show from the comfort of their home. This is perhaps ironic when considering that live-streaming is rising along with on-demand and catch-up TV – a parallel development that is similar to the ‘eventisation’ originally occurring around TV gatherings, back in the days when people would wait the whole day for a programme to air. Source: The Drum, Burberry fashion show
  • 14. 26 Opportunity 3 Second-screening and mobile first TABLET DESKTOP MOBILE 7% 11% 82% Source: Adometry TV AttributionSource: 2015 Accenture Digital Consumer Survey, and Soasta, Second Screening Data. Getting the user in the right moment, on the right screen, is no easy task. Large events such as the Super Bowl, the Oscars or the Olympic Games provide a great platform for cross-screen targeting the user. Research shows that users switch to mobile during a TV ad-break and the number gets even higher when it comes to Millennials and Gen Z. Second-screening in general has now become common practice for most, with 87% of consumers admitting to it. Mobile wins big especially when it comes to Millennials: 71% of consumers aged 18-34 use a smartphone and 26% use a tablet either as an interactive extension of the TV show they are watching or as a parallel source of content and entertainment. This is why it is crucial to not only plan campaigns cross-screen, but also to coordinate the targeting so to ensure maximum on- target reach. Companies such as TVTY can target users on their mobile during TV show-time, maximising the potential of user exposure to the brand. During the Super Bowl, nearly 1 in 3 (32%) of Americans who watched the Big Game also used social media on websites or apps. In addition, 21% used sports sites or apps, 19% would use news sites or apps; 17% would use food delivery sites or apps and 14% would use game sites or apps. This poses a great opportunity for extending campaign reach and storytelling across devices. During the big game, the majority of TV-ad-driven searches happened on mobile 27 Opportunity 4 Drive to store Mobile purchases are on the rise, with 46% of users buying products via mobile at least a few times a year, compared to 40% last year according to PWC Total Retail survey. Moreover, 68% of Indian shoppers, 59% of Chinese and 26% of US shoppers say their mobile phone will become their main purchasing tool in the future. With the trend growing, it comes as no surprise that mobile native video offers a great opportunity for product purchase alongside more classic “branding” options. Fashion brand John Varvatos recently promoted “touchable” and “shoppable” interactive video: in fact, adding elements of interactivity through VPAID or custom-built hotspots allow users to explore the product within the video, making for a more personable experience. As the experience happens within the video frame, this kind of video ad also has the advantage of not driving users away from the page, instead allowing all transactions – from exploring to buying the product – to happen within the same video frame. From 360-video and direct buying options to store-locator functionalities for a physical drive-to-store through a map, mobile video has never been more shoppable.
  • 15. 28 29 1. Discover more Video length: 15-20 seconds. Extremely interactive. Redirects the user to bottom of the funnel either on the creative or on the brand site. 2. Explore the collection The creative provides an overview of the product range upon user interaction (either by click or hovering over the creative). 3. Chose an item The user explores one or more products from the entire brand collection. 4. Zoom in The chosen product can be zoomed in, zoomed out or replaced with another product. 5. Lead to purchase Upon click, the user is redirected to an end-screen where to buy the product. Source: Teads Campaigns Title: Victor & Rolf Flowerbomb Release date: 06.11.15 Video length: 00:20 CTR: 1.4% Completion rate: 13% Countries: EU, US, Asia Mobile leads the growth in digital native video advertising
  • 16. 31 5. Show brand and product The shift from large to smaller screens implies the need to adapt creatives to a portable device, where little details might be missed. Make sure brand, product and messaging are clearly visible even on a tiny screen. 6. Create shorter content Creating for mobile means snackable content but also hooking the users in the first seconds: given the choice, even with highly engaging ads, many users skip away as soon as they can. 7. Personalise your messaging Make sure the classic video distribution approach is complemented by engaging fans and communities. Personalisation and customisation are rising trends that make for great engagement between the user and the brand. 8. Explore live streaming Immediacy and 360-degree formats allow users to feel more involved, generating more transversal content that goes beyond advertising for a specific product. 9. Use second screening, go mobile first As over 80% of users turn to their mobile devices while watching TV, mobile should be the focal point of any video campaign, not just TV’s ancillary. 10. Drive to store Mobile video goes beyond branding: with m-commerce surging, video can be shoppable, too. Interactive VPAID formats allow users to engage directly with the content. To find out more about how Teads can help you plan your cross-screen campaign effectively, get in touch for a demo. 6 Creating for mobile video: Why it matters 30 As mobile truly revolutionised video advertising, it is time for brands to mobilise their creative genius, too. With TV losing ground, mobile leads the growth in digital video advertising. So why does mobile video matter? In a recap of our findings, Teads presents: TEN GOLDEN RULES OF MOBILE VIDEO 1. Plan cross-screen but think mobile first An integrated approach of digital + TV helps push back the point of diminishing returns as campaigns follow the user journey across devices. As users are more receptive to ad intrusion on mobile, use it as a standard to define the advertising experience. 2. Choose native video formats With ad blocking behaviour on the rise, especially on mobile, advertisers need to refrain from intrusive ad formats and use native video ads, that are seamlessly integrated in the feed of the content rather than forced to the user. 3. Make it work with no sound Videos are often played silently. Making the video work both with or without sound is imperative to yield good results. 4. Adapt to viewing behaviour Not all video is consumed horizontally – square and vertical formats are equally important and need to be taken into account by creating content that works across all formats.
  • 17. 32 REINVENTING VIDEO ADVERTISING Would you like to challenge us or tell us anything we missed? Please send us an email at insights@teads.tv TEADS.TV