Research Archives - IAB https://www.iab.com/topics/research/ Empowering the Media and Marketing Industries to Thrive in the Digital Economy Thu, 08 May 2025 18:54:01 +0000 en-US hourly 1 https://wordpress.org/?v=6.7.1 Digital Video Is Set to Capture Nearly 60% of All TV/Video Ad Spend in 2025, CTV Rebounds to Double-Digit Growth in 2024, According to IAB https://www.iab.com/news/ctv-rebounds-to-double-digit-growth-in-2024 Mon, 28 Apr 2025 12:30:52 +0000 https://www.iab.com/news/?p=194662 Sports, Live Streaming Events, and Programmatic Ad Tools Fuel CTV Growth New York, NY, April 28, 2025 – A resurgence in live events and sports programming on streaming platforms, coupled with the expansion of self-serve and programmatic ad tools, helped CTV rebound with 16% year-over-year (YoY) growth in 2024, according to IAB’s “2025 Digital Video … Continued

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Sports, Live Streaming Events, and Programmatic Ad Tools Fuel CTV Growth

New York, NY, April 28, 2025 – A resurgence in live events and sports programming on streaming platforms, coupled with the expansion of self-serve and programmatic ad tools, helped CTV rebound with 16% year-over-year (YoY) growth in 2024, according to IAB’s “2025 Digital Video Ad Spend & Strategy Report: Part One.”

Now in its twelfth year, the report, developed in partnership with Advertiser Perceptions and Guideline, provides a comprehensive snapshot of the U.S. digital video marketplace across CTV, social video, and online video, surfacing how and where ad dollars are flowing and why.

“2024 was a pivotal year for digital video advertising. With high-quality content moving to streaming, advancements in advertising technology, and an influx of new inventory accelerated growth for both consumers and advertisers,” said David Cohen, CEO, IAB. “CTV is making it clear it’s a go-to channel for both viewers and advertisers and is expected to continue growing along with social video and online video.”

Digital Video is Pulling Further Ahead of Linear TV, Solidifying its Dominance

This year’s findings underscore a clear shift in momentum as digital video is expected to capture nearly 60% of total TV/video ad spend in 2025, double its share from just five years ago. This growth builds on a major turning point in 2024, when it surpassed linear TV for the first time. Digital video ad spend rose 18% in 2024 to $64 billion and is projected to grow another 14% in 2025, reaching $72 billion—two to three times faster than total media overall.

“The video industry continues its transformative shift towards streaming driven by content, creators, technology, and improved measurement. However, it is important to acknowledge that ongoing economic uncertainty, including tariffs, geopolitical conflicts, and changing consumer confidence, the marketplace in 2025 is more difficult to predict than ever before,” added Cohen.

Digital Video Is Set to Capture Nearly 60% of All TV/Video Ad Spend in 2025, CTV Rebounds to Double-Digit Growth in 2024, According to IAB 3

All three types of digital video, CTV, social video, and online video, are driving the overall channel’s trajectory, with each posting double-digit growth.

Digital Video Category Ad Spend in 2023 Ad Spend in 2024 YoY Growth (2024 vs. 2023) Projected Ad Spend in 2025
CTV $20.3B $23.6B 16% $26.6B
Social Video $19.5B $23.7B 21% $27.2B
Online Video $14.2B $16.6B 17% $18.6B

“CTV and social video are core pillars of a brand’s comprehensive and integrated media strategy,” said Chris Bruderle, VP, Industry Insights & Content Strategy, IAB. “Consumer attention has already moved to these platforms, and advertisers are meeting them there – not just for the scale, but for the ability to precisely target, measure performance across devices, and drive real business outcomes. These channels are now foundational to any effective media strategy.”

CPG, Retail, and Pharma Drive Digital Video Ad Spend Growth Through 2025

As the digital video marketplace continues to grow, more categories are ramping up their ad spend to connect with consumers where they watch content the most. In 2025, most major categories are set to increase digital video ad budgets by double-digits with CPG (13%), retail (18%), and pharma (19%) leading the way. These categories are capitalizing on advanced targeting, including AI-driven personalization, real-time insights, and shoppable ad formats to drive deeper engagement and more immediate consumer action.

Digital Video Is Set to Capture Nearly 60% of All TV/Video Ad Spend in 2025, CTV Rebounds to Double-Digit Growth in 2024, According to IAB 4

Programmatic Self-Serve Tools are Reshaping the CTV Ad Landscape for SMBs

CTV is no longer just for brands with big budgets–following the rise of programmatic self-serve tools, small and mid-size businesses are stepping into the spotlight. In 2025, most of the dollars flowing into CTV are coming from reallocations—primarily from linear TV (36%), social media (36%), and other digital channels like online video, paid search, and display. This shift reflects growing confidence in CTV’s ability to deliver targeted, high-impact campaigns, now made even more accessible through programmatic and self-serve tools.

Cohen concluded, “The combination of self-service technology, accessible pricing, and the ability to link spend to outcomes has empowered small and mid-size businesses to get a piece of the CTV pie, making it easier and effective to promote, reach, and engage with audiences.”

The IAB “2025 Digital Video Ad Spend & Strategy Report: Part One” report can be accessed here. Part two of the report, which will be released on July 14th during the IAB Media Center’s Video Leadership Summit, will focus on strategies behind these growth rates.

About IAB
The Interactive Advertising Bureau (IAB) empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and collaboration of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

About Advertiser Perceptions
Advertiser Perceptions is the leader in providing research-based strategic market intelligence to the complex and dynamic media, advertising, and ad tech industries. Our curated, proprietary Ad PROS™ Network and deep relationships with the largest advertisers provide clients with an unbiased view of the market, their brand, and the competition. Our experts provide timely and actionable guidance enabling clients to improve their products and services, strengthen their brands, and drive more revenue. The largest, most innovative global media and ad technology businesses rely on Advertiser Perceptions.

About Guideline
Our mission is to redefine the future of the world buys and sells media.
We combined the leading media planning and data companies to create the world’s most trusted set of solutions to help shape mission-critical advertising decisions. Though we already provide guidance to the world’s leading brands, agencies, and media owners; we are just getting started.

We are busy innovating, expanding existing capabilities, and leveraging AI to offer automated, intelligent solutions to age-old industry processes.

As the industry leader, 25 out of the world’s 30 largest brands and 9 of the top 10 most valuable global media owners rely on our solutions. Guideline provides critical data to the largest media measurement companies, demand-side platforms, and institutional investors. We partner with all six of the biggest agency holding companies, as well as several of the largest independents, analyzing over $150 billion in annual media spend globally.

IAB Media Contacts
Kate Dougherty / Brittany Tibaldi
551-265-2825 / 516-974-2216
kdougherty@kcsa.com / btibaldi@kcsa.com

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IAB Data Privacy Study Validates the Consumer Value Exchange and Shows that Privacy and Personalization Can Co-Exist https://www.iab.com/news/iab-data-privacy-study-validates-the-consumer-value-exchange Mon, 27 Jan 2025 13:15:52 +0000 https://www.iab.com/news/?p=191383 New York – January 27, 2025 – According to a new IAB study, consumers value both the laws protecting data privacy and the free and open internet. “This study validates and builds upon what we heard from consumers during our 2024 survey. Personalization and privacy can co-exist and benefit both consumers and the growth of … Continued

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New York – January 27, 2025 – According to a new IAB study, consumers value both the laws protecting data privacy and the free and open internet.

“This study validates and builds upon what we heard from consumers during our 2024 survey. Personalization and privacy can co-exist and benefit both consumers and the growth of the free and open internet,” said David Cohen, CEO, IAB. “Consumers understand the advertising value proposition and are willing to share their data to enable a personalized experience.”

The study, “Striking the Balance: The Consumer Perspective on Privacy, Preference, and Personalization,” conducted by IAB leveraging its Insights Engine (powered by Attest) and in partnership with Talk Shoppe, reveals that awareness and support of data privacy laws in the U.S. and abroad are growing but education is needed.

The report’s findings include:

  • 80% of U.S. consumers are concerned about their data being used for criminal activity, which highlights the importance of data security, especially with regard to sensitive data. Only 2% of consumers are concerned about use of their data for personalized advertising.
  • 70% of U.S. consumers are familiar with current state-level data privacy legislation, and a majority of them perceive the laws to be effective. However, only 40% know they can access/delete collected data.
  • 60% find current privacy management complex, confusing, and inconvenient.

Consumers with privacy rights prefer ads personalized to their interests

  • 86% of U.S. consumers agree websites/apps are free because of advertising
  • 82% of U.S. consumers agree personalized ads help them discover products and services they’re interested in
  • 80% prefer ads for products or services they’re interested in or shopping for
  • 79% feel more positive toward brands/retailers that tailor their ads based on their preferences

“As the U.S. considers a comprehensive and preemptive national privacy law,” continued Cohen, “we hope legislators will balance a robust set of privacy rights focused on high-risk areas while continuing the benefits to consumers of a free and open internet.”

The full “Striking the Balance: the Consumer Perspective on Privacy, Preference, and Personalization” study is available here.

About IAB
The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and collaboration of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

IAB Media Contacts
Kate Tumino Dougherty / Brittany Tibaldi
551-265-2825 / 347-487-6794
kdougherty@kcsa.com / btibaldi@kcsa.com

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IAB Report Highlights Optimism in Digital Advertising with Double-Digit Growth for Retail Media, CTV, and Social https://www.iab.com/news/report-digital-advertising-growth-retail-media-ctv-social Thu, 16 Jan 2025 13:30:16 +0000 https://www.iab.com/news/?p=190944 New York – January 16, 2025 – Today, IAB released its latest study, “2025 Outlook: A Snapshot into Ad Spend, Opportunities, and Strategies for Growth” offering an early glimpse into ad spending trends for the coming year. The study is based on a survey of buyers at brands and agencies to understand their growth strategies, … Continued

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New York – January 16, 2025 – Today, IAB released its latest study, “2025 Outlook: A Snapshot into Ad Spend, Opportunities, and Strategies for Growth” offering an early glimpse into ad spending trends for the coming year. The study is based on a survey of buyers at brands and agencies to understand their growth strategies, anticipated spend by channel, and the challenges they foresee.

Double-Digit Growth Projected for CTV, Social Media, and Retail Media
While overall ad spend growth is projected to be lower than 2024, which surged due to the Olympics and the Presidential election, it remains positive with an anticipated modest growth of 7.3%. Retail media is projected to grow at more than twice the rate of spend overall (+15.6%). CTV expects double-digit growth (+13.8%), as does social (+11.9%).

“This report clearly shows that budgets are being focused at the points where consumers, commerce, and video converge — where advertisers can leverage the power of sight, sound, and motion and consumers can engage or transact,” said David Cohen, CEO, IAB. “Advertisers are starting the year looking for growth, and investing in channels that drive the most meaningful business results.”

Buyers Pursue Growth Amid Inflation, Fragmentation, and Persistent Measurement Challenges
Buyers’ goals, as in previous years, span the entire purchase funnel. But customer acquisition remains the top priority, increasing 12% year-over-year as buyers seek revenue growth to offset shrinking margins from ongoing inflation.

In addition, the increasingly fragmented ad ecosystem compounded by signal loss and the proliferation of walled gardens has the buy-side revisiting and evolving marketing mix models (MMM) along with tactics to improve reach and frequency.

Concerns about deduplication, incrementality, and measurement remain, particularly in video streaming where the growth buyers are excited about also fuels their top concern – cross-platform measurement.

80% of Buyers are Using or Exploring Generative AI in Media Planning and Activation
The adoption of generative AI in media planning is growing, with nearly 8-in-10 buyers already using (42%) or exploring (36%) the technology for media planning and/or activation. Half of users are already insisting on mandatory human oversight and clear brand safety protocols to protect against misuse, inaccuracies, and other risks.

While the excitement for Gen AI is high, it is still early days for the companies leveraging it. Only one-third of the companies using it have organized, collaborative resources in their organizations. There is still a lot of opportunity for companies to drive efficiencies and growth.

“Thoughtful buyer optimism is always a good way to start the year,” continued Cohen. “And the smartest way for the industry to keep that alive, is to give advertisers the transparency, choice, and business results they’re looking for. The market waits for no one – we must keep pushing forward.”

The full “2025 Outlook: A Snapshot into Ad Spend, Opportunities, and Strategies for Growth” study is available here.

Read the Full Study

About IAB
The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and collaboration of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

IAB Media Contacts
Brittany Tibaldi / Michael Vaughan
347-487-6794 / 813-210-1706
btibaldi@kcsa.com / mvaughan@kcsa.com

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IAB Study Reveals Disconnect Between Brand Strategy and Consumer Journey Amid Soaring Commerce Video Engagement https://www.iab.com/news/iab-study-reveals-disconnect-between-brand-strategy-and-consumer-journey-amid-soaring-commerce-video-engagement Tue, 17 Sep 2024 12:00:16 +0000 https://www.iab.com/news/?p=187704 New York – September 17, 2024 – In a landmark study, “Unconnected Commerce: the Disconnect between Brands and Consumers in Digital Video Shopping,” the Interactive Advertising Bureau (IAB) analyzes the rise of Commerce Video, as it found 70% of digital video advertisers are already using Commerce Video and nearly all of them plan to spend … Continued

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New York – September 17, 2024 – In a landmark study, “Unconnected Commerce: the Disconnect between Brands and Consumers in Digital Video Shopping,” the Interactive Advertising Bureau (IAB) analyzes the rise of Commerce Video, as it found 70% of digital video advertisers are already using Commerce Video and nearly all of them plan to spend more in the future.

The study, conducted in partnership with research consultancy Alter Agents, aims to both define Commerce Video and highlight the growing importance of this ad format in a climate where the purchasing funnel is radically changing as consumers condense product discovery and purchasing into one seamless experience.

“As the purchase journey collapses, digital video is no longer just an awareness and consideration tool, it is now a critical strategy in driving business outcomes like sales, store/site visits, leads, downloads, etc.,” said David Cohen, CEO, IAB. “This report found that while brands are embracing Commerce Video, there is room to improve the experience based on consumer needs and preferences. Commerce Video works – this study reveals how to unlock its full potential.”

Defining Commerce Video
With digital video––Connected TV (CTV), Social Video, and Online Video (OLV)––dominating consumers’ digital media consumption, brands are capitalizing on Commerce Video as a powerful way to engage with them at scale. The term Commerce Video is not part of consumers’ or advertisers’ vernacular, yet it is surging amongst both groups.

In fact, nearly all (95%) Commerce Video advertisers use these ads more often now than other media to drive purchases. Additionally, three-quarters of consumers feel that the ads are more relevant to their purchase process than other ad types, and that Commerce Video helps them make better purchasing decisions overall.

According to IAB, Commerce Video refers to digital video ads that are designed to drive action from an intended audience. These videos include a clear call-to-action that drives the consumer into the purchasing journey, either generating leads or acquiring new customers. Examples of qualifying calls-to-action include “follow,” “sign up,” “shop now,” and “purchase.”

“Nearly every advertiser we surveyed plans to increase their spend on Commerce Video in 2025, so it’s critical that we, as an industry, have a unified definition for what this medium does and how it should be used,” added Chris Bruderle, Vice President, Industry Insights & Content Strategy, IAB. “While extremely effective, if used incorrectly, Commerce Media can be detrimental to brand loyalty and ultimately sales. Plainly said, Commerce Video is not a blunt instrument. There are nuances that brands need to take into consideration.”

Misalignment on Commerce Video between Consumers and Advertisers
While brands integrate Commerce Video into their media strategies to drive engagement and purchase outcomes, there is often a misalignment between how consumers prefer to shop using video and how advertisers create and deliver these ads.

According to the study, advertisers are overconfident when it comes to deploying Commerce Video campaigns. Nearly all advertisers (96%) feel their messaging strategies are effective at driving purchases. However, 7-in-10 consumers report feeling annoyed or negative monthly or more often with Commerce Video ads, and one-third at least weekly. In fact, these poor experiences can lead to negative consumer reactions such as social media backlash, switching to competitors, and unsubscribing from services, resulting in lost sales.
The alignment between the consumer experience and Commerce Video campaign activation is paramount. Advertisers have an opportunity to better align on these strategies, including refining their messaging, campaign timing, delivery throughout the purchasing journey, and more:

Current Advertiser Approach Advertiser Opportunity
Advertisers primarily use Commerce Video for lower funnel tactics, with 69% citing that it doesn’t play a role in discovery inspiration. Consumers prefer brand discovery to be combined with shoppability. 64% of consumers agree that Commerce Video ads are helpful when they’re starting to think about a purchase.
Nearly all (93%) of advertisers think Commerce Video campaigns only affect consumers when they are in a “shopping mood.” However, 70% of consumers prefer to see Commerce Video ads when they are relaxing at home.
Advertisers tend to lean towards shorter Commerce Video ads, with the most used length being less than 15 seconds. When making purchase decisions, consumers prefer Commerce Video ad lengths between 30 and 60 seconds, which gives them the proper time to digest the detailed product information, educate themselves, and make a purchase.
91% of advertisers use retargeting strategies to repeatedly reach consumers with messaging through Commerce Video ads. Over 70% of consumers find Commerce Video ads more repetitive than other ad types, citing this as their top frustration. Advertisers should align on goals for optimal messaging frequency across CTV and online video strategies.
Advertisers undervalue the influence of creator videos, with only 40% tapping into creator/influencer videos for their Commerce Video campaigns. Consumers say creator videos are one of the most influential sources for them when shopping.

“While many marketers believe their Commerce Video ad strategies are effective, consumer sentiment would indicate that there is significant room for improvement. There is a delicate balance that advertisers must walk when it comes to campaign targeting, timing, and delivery to achieve optimal outcomes. If advertisers adjust their go-to-market approach as the study indicates, the future is bright for Commerce Video,” Cohen concluded.

The full “Unconnected Commerce: the Disconnect between Brands and Consumers in Digital Video Shopping” is available here.

Methodology
To create the report, IAB partnered with Alter Agents to conduct a comprehensive study of over 1,000 consumers and 300 marketers combining quantitative, qualitative, and ethnographic research to generate these results.

About IAB
The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and collaboration of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

About Alter Agents

Alter Agents is a full-service strategic market research consultancy reimagining research in an era of shifting decision making. Deep creative thinking and innovative solutions help Alter Agents’ clients understand consumer needs. The Alter Agents team believes that research must adapt to help brands overcome challenges brought by trends like shopper promiscuity and brand narcissism. The company’s immersive approach and unique methodology has helped brands such Snapchat, YouTube, Audacy, Viking Cruises, Pinterest, and more gain powerful, actionable insights. More at www.alteragents.com.

IAB Media Contacts
Kate Tumino Dougherty / Brittany Tibaldi
551-265-2825 / 347-487-6794
kdougherty@kcsa.com / btibaldi@kcsa.com

Alter Agents Media Contact
Marie Melsheimer
+1-541-815-3951
marie@andremktg.com

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2023 U.S. Digital Advertising Industry Hits New Record, According to IAB’s Annual Internet Advertising Revenue Report https://www.iab.com/news/2023-u-s-digital-advertising-industry-hits-new-record-according-to-iabs-annual-internet-advertising-revenue-report Tue, 16 Apr 2024 12:00:42 +0000 https://www.iab.com/news/?p=181060 Retail Media, Connected TV, and Audio Advertising Experience Double-Digit Growth Creator Economy Helps Spark Social Media Rebound New York – April 16, 2024 – Internet advertising revenues reached a record-high of $225 billion, increasing by 7.3% year-over-year overall (YoY) between 2022 and 2023, according to the newly released “IAB Internet Advertising Revenue Report: Full Year 2023,” … Continued

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Retail Media, Connected TV, and Audio Advertising Experience Double-Digit Growth

Creator Economy Helps Spark Social Media Rebound

New York – April 16, 2024 – Internet advertising revenues reached a record-high of $225 billion, increasing by 7.3% year-over-year overall (YoY) between 2022 and 2023, according to the newly released “IAB Internet Advertising Revenue Report: Full Year 2023,” conducted by PwC. The report found that Q4 saw the highest growth rate of 12.3% from the year prior (4.4%), with revenues rising to $64.5 billion.

“Despite inflation fears, interest rates at record highs, and continuing global unrest, the U.S. digital advertising industry continued its growth trajectory in 2023,” said David Cohen, CEO, IAB. “With significant industry transformation unfolding right before our eyes, we believe that those channels with a portfolio of privacy by design solutions will continue to outpace the market. For 2023, the winners were retail media, CTV, and audio which saw the highest growth.”

Growth Channels
Retail Media revenues showed 16.3% YoY growth in advertising revenues, reaching $43.7 billion in 2023. Key e-commerce players are all expanding their retail media platforms to enable future growth.

Video advertising revenue experienced double digit (10.6%) YoY growth, rising to $52.1 billion in 2023. Forty-two percent of this revenue was generated from CTV (Connected TV) and OTT (over the top/streaming). While growth was less than last year, the combination of CTV/OTT media is expected to be the fastest growing media channel in 2024, especially as the ad-supported tiers of major streaming services continue to capture a growing share of consumer attention.

Audio advertising also saw a robust expansion, growing 18.9% to reach $7 billion. It is still the fastest growing channel, albeit at a slower pace than last year.

After a slowdown in 2022, social media advertising revenues have rebounded with 8.7% YoY growth in 2023, increasing to $64.9 billion in 2023. This can in part be attributed to the continued proliferation of social media and creator marketing growth across multiple platforms and new social media forms. Revenues in the second half of 2023 accounted for $4.1 of the $5.1 billion total increase over 2022.

While advertising revenues for search ($88.8 billion) and display ($66.1 billion) remain high, both show relatively modest annual growth rates, with search at 5.2% and display at 4% YoY growth respectively.

Outlook for 2024: Privacy Regulation, Innovation, and Generative AI
The trends identified in last year’s report made an impact in 2023 and will continue to grow stronger in 2024:

  • Privacy-preserving advertising practices should not be viewed as a temporary trend, but as a permanent change. The industry’s adaptability and innovation will be crucial in thriving within the privacy-by-design ecosystem.
  • Social media platforms are pursuing innovations that merge social commerce, reality tech, and influencer marketing to drive higher engagement and conversions.
  • Generative AI is optimizing various advertising elements through insight-driven idea generation, personalized content, and real-time optimization. Leading companies are aggressively adopting AI to replace the lost signals that power personalization and measurement, like Google’s Performance Max and Meta’s Advantage+. The challenge now for advertisers and publishers is to find and hire the right talent to thrive in a fast-paced future.

Advertising is undergoing a rapid transformation, driven by channels that offer addressable audiences at scale and personalized messaging in privacy-compliant ways. These channels, equipped with large first-party data sets, sophisticated contextual models, and native measurement capabilities, have gained a competitive edge in the industry.

“Looking ahead, while there are no shortage of challenges, there are also strong opportunities in sports streaming, creator-based marketing, retail media networks, and beyond,” said Jack Koch, Senior Vice President, Research and Insights, IAB. “2023 is proof that the industry can stay resilient in the face of change.”

You can view the full report, “IAB Internet Advertising Revenue Report: Full Year 2023” here. Experts from IAB, PwC, and MAGNA Global will discuss key findings and trends from the report during a webinar today, April 16th, at 2pm ET. Register here.

Methodology
Commissioned by the IAB and conducted by PwC Advisory Services LLC (“PwC”) on an ongoing basis, with results released quarterly, the “IAB Internet Advertising Revenue Report” was initiated by the Interactive Advertising Bureau (IAB) in 1996. This report uses data and information reported directly to PwC from companies selling advertising on the internet as well as publicly available corporate data. The results reported are considered to be a reasonable measurement of internet/online/mobile advertising revenues because much of the data is compiled directly from information supplied by companies selling advertising online. The report includes data reflecting desktop and mobile online advertising revenues from websites, commercial online services, ad networks and exchanges, mobile devices, and email providers, as well as other companies selling online advertising. The report is conducted independently by PwC, including research by their in-house market research team, on behalf of the IAB. PwC does not audit the information and provides no opinion or other form of assurance with respect to the information. Only aggregate results are published and individual company information is held in strict confidence with PwC. Further details regarding scope and methodology are provided in the appendix of this report.

About IAB
The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and collaboration of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

IAB Media Contacts
Brittany Tibaldi / Michael Vaughan
347-487-6794 / 813-210-1706
btibaldi@kcsa.com/mvaughan@kcsa.com

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Nearly 8 in 10 Consumers Would Rather Receive More Ads Than Pay for Digital Content and Services, According to IAB Research https://www.iab.com/news/consumer-privacy-research Tue, 30 Jan 2024 13:25:12 +0000 https://www.iab.com/news/?p=176613 Gen Z values the ad-supported internet nearly twice as much as Boomers New York – January 29, 2024 –Today IAB, the digital media and marketing trade association, released its first-ever, comprehensive Consumer Privacy Study titled “The Free and Open Ad-Supported Internet: Consumers, Content, and Assessing the Data Value Exchange.”  The research aimed to gain insights … Continued

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Gen Z values the ad-supported internet nearly twice as much as Boomers

New York – January 29, 2024 –Today IAB, the digital media and marketing trade association, released its first-ever, comprehensive Consumer Privacy Study titled “The Free and Open Ad-Supported Internet: Consumers, Content, and Assessing the Data Value Exchange.” 

The research aimed to gain insights into consumer thoughts, preferences, and concerns regarding their personal data and digital advertising overall.

Consumers Agree a ‘Free And Open’ Internet Is Important To Democracy And Free Speech

The study found that 80% of consumers agree the free and open internet is a social good; 79% feel that it would be unfair to lower-income consumers if websites/apps were not “free and open.”

Consumers Understand the Internet Is Ad-Supported and Are Willing to Watch More Ads for More Free Services

  • A significant majority (80%) of consumers agree that websites/apps are free because of advertising.
  • Almost 70% agree that it’s fair to receive ads in exchange for free services.
  • Nearly 80% of consumers would prefer to get more ads in turn for having to pay nothing for websites/apps.
  • Nearly all (91%) of consumers would react negatively, including being frustrated, disappointed, angry, confused, or sad if they had to start paying for the websites/apps they currently use for free. When it comes to personalized ads, the study found that almost 90% of consumers prefer them and 87% are more likely to click on ads for products they’re interested in or shopping for.

Although Laws Exist to Protect Consumers Around Sharing Their Data, Most Are Unaware of Them

While about 85% feel it’s important when websites/apps tell them the specific data they share, allow them to see and delete that data, and provide choices regarding the types and levels of tracking they will allow, few realize that most of those protections already exist in some form or other. The study found that 74% of consumers are unaware of data privacy laws in some of the U.S. states (California, Connecticut, Colorado, Virginia, Utah and others) and Europe (GDPR).

“Contrary to what some believe, this research unequivocally shows that consumers are aware of the value exchange between their data and personalized content and ad experiences.” said David Cohen, CEO, IAB.  “The ad-supported internet is good for consumers, it’s good for society, and it democratizes access to information and entertainment.”

Still, nearly half (49%) think websites/apps do not give enough information regarding how their data is used. “The ad industry must reinforce to consumers that sharing their data is both safe and beneficial to them”, continued Cohen, “including the fact that by default, advertising is not selling consumers’ data”.

Gen Z Values The Ad-Supported Internet Nearly Twice as Highly as Boomers

Overall, when asked what someone would have to pay them to stop using it, consumers said they value the total internet at $38,000 a year: for perspective, that’s more than half of the real median U.S. household income.

But while Boomers value the internet at $29,000/year, the value to Gen Z was nearly double, at $54,000 a year.

“As an industry, we need to speak together with one voice,” continued Cohen. “We need to make it clear that consumers — especially Gen Z — understand the value of the ad-supported internet and wouldn’t want to live without it. We’re committed to giving consumers the free and open internet experiences they want while protecting their privacy.”

The Ad-Supported Free and Open Internet: Consumers, Content, and Assessing the Data Value Exchange report can be downloaded here.

About IAB
The Interactive Advertising Bureaue mpowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and collaboration of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

IAB Media Contacts
Brittany Tibaldi / Michael Vaughan
347-487-6794 / 813-210-1706
btibaldi@kcsa.com/mvaughan@kcsa.com

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IAB Releases First-of-Its-Kind Research Report on the Creator Economy Advertising Opportunity https://www.iab.com/news/creator-economy-advertising-opportunity-research Thu, 07 Dec 2023 13:30:17 +0000 https://www.iab.com/news/?p=174659 Advertisers Using Creator Content to Accelerate the Purchase Funnel; Nearly Half Expect Ad Budgets For Creator Content to Increase in 2024  New York – December 7, 2023 – Today, IAB released its first-ever research report on the creator economy advertising opportunity. The report titled, The Creator Economy Opportunity: Where Authenticity Meets Impact and conducted in partnership … Continued

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Advertisers Using Creator Content to Accelerate the Purchase Funnel; Nearly Half Expect Ad Budgets For Creator Content to Increase in 2024 

New York – December 7, 2023 – Today, IAB released its first-ever research report on the creator economy advertising opportunity. The report titled, The Creator Economy Opportunity: Where Authenticity Meets Impact and conducted in partnership with Talk Shoppe, offers a deep examination of the evolving consumer purchase journey, how buyers can leverage the creator economy in their media budgets, and where creator content fits in the media mix alongside studio-produced content.

“Creator content marketing is a powerful vehicle for driving full-funnel impact, and advertisers are finding tremendous success adding it to their marketing mix alongside studio content advertising,” said Jack Koch, SVP, Research & Insights, IAB. “This report helps marketers more deeply understand the opportunity, and how best to activate campaigns leveraging creator content. As more advertisers see real success with creator marketing, those who haven’t invested yet risk falling behind.”

Creator Content Inspires Action

  • After tracking over 1,000 consumer purchase journeys, the report found that advertising alongside creator content can accelerate the purchase funnel – collapsing the awareness, interest, and consideration stages.
  • 39% of consumers are watching more creator content than a year ago vs. just 22% watching more studio content.
  • Creator content sparks action: compared to studio-produced content, after watching consumers were significantly more likely to search for additional content about the topic and interact with the content by liking, commenting, or subscribing.

Advertisers: Quality Is in the Eye of the Beholder 

  • 89% of advertisers feel positive about creator content advertising, and 92% consider it a high quality channel.
  • 86% of advertisers say it’s easy to move ad budgets to creator content, and this trend is on the rise. 44% of advertisers plan to increase their investment in creator content in 2024, with an average increase of 25%.
  • Nearly 90% of advertisers use the same KPI metrics across both creator content and studio content, and 86% of advertisers have confidence in the ability to measure the effectiveness of creator content campaigns.

“The creator economy, valued at $250B this year by Goldman Sachs, is expected to nearly double to $480B by 2027. Savvy marketers know that they need to reach their customers in content that resonates with them,” said David Cohen, CEO, IAB. “There is no doubt – creator content is now a vital part of the mix.”

IAB’s The Creator Economy Opportunity: Where Authenticity Meets Impact report can be downloaded here.

Join “The Creator Economy Opportunity” webinar to discuss results from the report, as well as unpack the trends and strategies that will help marketers tap the creator economy to elevate their brands and reach their campaign goals. The webinar will be held on Thursday, December 7 from 1 pm – 2 pm ET. Click here to register.

About IAB
The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and collaboration of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

About Talk Shoppe

Talk Shoppe is an award-winning, female-owned research agency founded in 2010 and based in Los Angeles. They reject the one-size-fits-all approach, focusing on delivering the 10% of data that truly matters to clients’ businesses. Talk Shoppe’s foundation lies at the intersection of strategy and consumer market insights, providing exceptional service and innovative solutions.

Celebrating over a decade in business, Talk Shoppe is certified by the Minority Supplier Development Council and the Women’s Business Enterprise Council. They specialize in serving world-class brands across various industries, including media and entertainment, consumer packaged goods, and technology, helping them confidently navigate growth and innovation.

IAB Media Contacts
Brittany Tibaldi / Michael Vaughan
347-487-6794 / 813-210-1706
btibaldi@kcsa.com/mvaughan@kcsa.com

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IAB Announces Robust ALM Speaker Lineup and Themes Addressing Evolving Digital Advertising Marketplace: Organization Also Unveils Events Schedule https://www.iab.com/news/iab-announces-robust-alm-speaker-line-up-and-themes-addressing-evolving-digital-advertising-marketplace-organization-also-unveils-events-schedule Thu, 30 Nov 2023 13:00:37 +0000 https://www.iab.com/news/?p=173883 Save the Date for IAB’s 2024 Events Including the IAB Annual Leadership Meeting (ALM), IAB PlayFronts, IAB NewFronts, IAB Podcast Upfront, IAB Public Policy & Legal Summit, IAB Privacy Compliance Salon, and IAB State Privacy Law Summit  Due to Industry Demand, IAB Connected Commerce Summit Returns bigger than ever with a Two-Day Event Experience Addressing … Continued

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Save the Date for IAB’s 2024 Events Including the IAB Annual Leadership Meeting (ALM), IAB PlayFronts, IAB NewFronts, IAB Podcast Upfront, IAB Public Policy & Legal Summit, IAB Privacy Compliance Salon, and IAB State Privacy Law Summit 

Due to Industry Demand, IAB Connected Commerce Summit Returns bigger than ever with a Two-Day Event Experience Addressing the Rise of Retail Media

NEW YORK, November 30, 2023 – The Interactive Advertising Bureau (IAB), the digital media and marketing trade association, today unveiled its 2024 thought leadership and marketplace events schedule. Aiming to excite, inspire, and motivate, the event lineup addresses key issues across marketing, AI, streaming, gaming, retail, and public policy, as well as responsible media and data use. 

“IAB’s mission is to gather the industry together, and provide insights and tools to help buyers, marketers, and the entire digital ecosystem navigate these shifts,” said David Cohen, CEO, IAB. “The only constant in the digital marketplace is change, and there is probably no time in recent memory where there has been so much in flux at one time. Opportunity and growth are born out of this dynamism, which is incredibly exciting.”

Overview of 2024 Tentpole Events

IAB ALM 2024: On January 28-30, the 2024 IAB Annual Leadership Meeting will gather digital pioneers and business leaders in Marco Island, Florida to discuss critical topics for the industry, and, with its returning theme “It Starts Here,” will set the agenda for the year to come. With nearly 100 speakers including more CMOs than ever before, attendees will hear from leading executives through keynotes, insightful panel discussions, and curated networking experiences covering the most important topics in the digital advertising space such as generative AI, responsible media, commerce, creativity, the evolution of streaming, and much more.

“ALM kicks off the year gathering leaders, thinkers, and builders to tackle the biggest industry issues from the creator economy, cookie deprecation, consumer privacy, policy regulation, and more,” added Cohen. “We also couldn’t have a conference without discussing the state of measurement. Returning to the ALM stage are the CEOs of Comscore, iSpot, Nielsen, and VideoAmp who will participate in the “Great Measurement Debate Part 2” to address measurement opportunities, challenges, and what we, as an industry, can do better to effectively measure campaign effectiveness.”

Some of this year’s featured speakers thus far include:

  • Ime Archibong, Vice President, Product Management, Meta
  • Bob Bakish, President and CEO, Paramount Global
  • Marsha Blackburn, U.S. Senator (R-TN)
  • Alysia Borsa, Chief Business Officer and President, Lifestyle, Dotdash Meredith
  • Jen Brace, Chief Futurist, Ford
  • Jon Carpenter, Chief Executive Officer, Comscore
  • Jeffrey Cole, Director of the Center for the Digital Future, USC Annenberg School
  • Stephanie Dobbs Brown, Chief Marketing Officer, Intercontinental Exchange (ICE)
  • Esi Eggleston Bracey, Chief Growth and Marketing Officer – Effective January 1, 2024, Unilever
  • Nancy Hall, Chief Executive Officer, Mindshare North America
  • John Halley, President, Paramount Advertising
  • Tariq Hassan, Chief Marketing & Customer Experience Officer, McDonald’s USA
  • Diana Haussling, Senior Vice President, General Manager, Consumer Experience & Growth, Chief Marketing Officer, Colgate-Palmolive
  • Debora Kantt, Executive Director, Futurist, Strategic Foresight & Future Studies Lead, JP Morgan
  • Jenna Lebel, Chief Marketing Officer, Liberty Mutual
  • Ross McCray, Founder and Chief Executive Officer, VideoAmp
  • Andrea Mitchell, NBC News Chief Foreign Affairs Correspondent and Chief Washington Correspondent; Host, MSNBC’s “Andrea Mitchell Reports”
  • Sean Muller, Founder and Chief Executive Officer, iSpot.tv
  • Peter Naylor, Vice President, Advertising Sales, Netflix
  • Katie Neil, Head of Connected Commerce Marketing and Investments, The Coca-Cola Company
  • Amie Owen, Global Chief Commerce Officer, UM Worldwide
  • Shelly Palmer, Chief Executive Officer, The Palmer Group
  • Karthik Rao, Chief Executive Officer, Nielsen
  • Jenny Rooney, Chief Experience Officer, Adweek
  • Susan Schiekofer, Chief Digital Investment Officer, GroupM U.S.
  • Jessica Sibley, Chief Executive Officer, TIME
  • Resh Sidhu, Global Director Arcadia Creative Studio, Snap Inc
  • Aaron Sorkin, Screenwriter, Playwright, and Director
  • Jonathan Stringfield, Vice President, Global Business Research & Marketing, Activision Blizzard Media
  • Jennie Weber, Chief Marketing Officer, Best Buy Co. Inc.

For the latest on ALM speakers, please visit: iab.com/alm 

Over the course of three days, attendees will hear discussions around critical issues including:

  • Generative AI, the Creativity Revolution, and Ethical Crossroads in the Digital Economy
  • Navigating the Convergence of Omni-Channel Experiences, Retail Media, Shoppable Ads, and Content
  • Privacy in Practice: From Policy to Implementation
  • The March Towards a ‘Streaming-First’ Future
  • Ethical Pulse: Steering the Digital Industry Towards Responsible Media and Inclusive Best Practices
  • A New Era of Creativity: Attention, Innovation, and Personalization

Full agenda can be accessed here: iab.com/alm 

“Attendees come to ALM to hear firsthand from brands and marketers on how they’re adapting to industry change and moving the needle for their companies to thrive in the digital advertising ecosystem,” said Carryl Pierre-Drews, EVP, Chief Marketing Officer, IAB. “This year, we have more CMOs and marketing executives taking the stage at ALM, including Best Buy, Liberty Mutual, McDonald’s, Unilever, and more. In addition to the various sessions, IAB will host a CMO-centric breakfast addressing the critical role of marketers in leading AI efforts.” 

On January 29 at ALM, IAB will host with Adweek the Marketing Vanguard CMO breakfast, an invitation-only gathering of leading marketing executives plus their rising stars. They’ll meet to explore AI’s impact on advertising, marketing, and business strategy. Moderated by Jenny Rooney, Chief Experience Officer at Adweek, the panel discussion at the breakfast, titled “Steering the AI Ship: Exploring the CMO’s Role and Responsibility,” will dive into the CMO’s role in driving company-wide AI efforts, implementation, and usage that is customer-first, on-brand, and responsible.

IAB PlayFronts 2024, March 26-27, 2024, New York City, In-person & Virtual 

The third annual IAB PlayFronts makes its return bigger than ever before, taking place over two days in New York City as well as live-streamed. IAB PlayFronts is dedicated to showcasing advertising and partnership opportunities in the gaming industry. Leading game publishers, streaming platforms, and ad tech partners will demonstrate creative opportunities for brands in the gaming landscape, and present opportunities to elevate the effectiveness of gaming.

IAB Public Policy & Legal Summit 2024, April 2, 2024, Washington, D.C., In-person

With new regulations and state privacy laws taking effect, the digital media landscape is constantly evolving. Hear from experts to stay ahead of all the legal, policy, and technical challenges impacting businesses today. The annual IAB Public Policy & Legal Summit will bring together leaders in advertising, media, technology, and the government to address how to continue to build a sustainable consumer-centric media and marketing ecosystem.

IAB NewFronts 2024, April 29-May 2, 2024, New York City, In-person & Virtual 

IAB NewFronts hosts some of the biggest names in media and entertainment fostering valuable partnerships between brands and native digital video content. Across New York City and streamed virtually, IAB NewFronts is a one-stop shop for media buyers eager to get a first look at the latest digital video content and advertising solutions. For the second year in a row, IAB will have its stage again on Wednesday, May 1st to feature a selection of presenting companies. 

IAB Podcast Upfront 2024, May 9, 2024, New York City, In-person & Virtual

Following IAB NewFronts, IAB Podcast Upfront is designed for brands, agencies, and media buyers to preview the latest in innovative podcast programming. Join leading audio and podcast companies as they showcase the power of podcasts and announce brand new shows and content opportunities for advertisers to align with their brand. IAB Podcast Upfront will take place in New York City and be streamed virtually.

IAB Connected Commerce Summit 2024, September 17-18, New York City, In-person

Back by popular demand, and for two full days, IAB Connected Commerce Summit will dive into where the future of retail commerce is heading and how it could improve business operations. Attendees will hear from thought leaders in e-commerce and retail media about the most impactful strategies that will help brands stay ahead of the game. 

IAB Privacy Compliance Salon, September 22, 2024, Los Angeles, In-person

For the first time, IAB will host the Privacy Compliance Salon bringing together senior privacy leaders in the digital advertising industry for thought-provoking and practical discussions around today’s most challenging privacy compliance issues. Attendees will learn about managing sensitive personal information, the use of data clean rooms, and legal considerations in leveraging AI in marketing campaigns.

IAB State Privacy Law Summit 2024, November 2024, New York City, In-person 

With additional state privacy laws taking effect every year, the third IAB State Privacy Law Summit will convene privacy lawyers and cross-functional privacy professionals to make sense of the latest state privacy law changes. In particular, this event involves interactive deep-dive discussions between panelists and the audience and leverages data flows to give industry participants a clearer understanding of the industry’s challenges and provide pathways for compliance.

For more information and updates regarding IAB’s events, visit: www.iab.com/events


About IAB

The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and collaboration of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.


IAB Media Contacts

Brittany Tibaldi / Michael Vaughan

347-487-6794 / 813-210-1706

btibaldi@kcsa.com / mvaughan@kcsa.com

The post IAB Announces Robust ALM Speaker Lineup and Themes Addressing Evolving Digital Advertising Marketplace: Organization Also Unveils Events Schedule appeared first on IAB.

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New IAB Study Reveals Five Misperceptions About Video Game Advertising https://www.iab.com/news/iab-new-iab-study-reveals-five-misperceptions-about-video-game-advertising Wed, 08 Mar 2023 13:22:47 +0000 https://www.iab.com/news/?p=163327 Sizable audiences are at play, yet in-game ad networks and programmatic remain undervalued and underutilized. New York – March 8, 2023 – Two out of every three Americans play video games through various platforms (ESA, 2022), and gaming is third only to TV and social media in terms of where audiences spend their time–yet gaming … Continued

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Sizable audiences are at play, yet in-game ad networks and programmatic remain undervalued and underutilized.

New York – March 8, 2023 – Two out of every three Americans play video games through various platforms (ESA, 2022), and gaming is third only to TV and social media in terms of where audiences spend their time–yet gaming captures less than 5% of advertiser budgets.

A new IAB study of over forty brands, agencies, ad tech companies, game developers, and publishers conducted in partnership with MediaScience revealed that investments in gaming are not nearly at the levels they should be due to five lingering misperceptions. The reality is that the industry has built an ecosystem that makes it easier to buy at scale and measure than ever before. The study is being released at the IAB PlayFronts today, March 8th.

“The success stories we heard from buyers about gaming were striking — and all the more so because they don’t align at all with the misperceptions of the industry at large,” said Zoe Soon, Vice President, Experience Center, IAB. “Advertisers are missing a prime opportunity to reach and persuade consumers in these dynamic environments.”

Misperception 1: It’s too expensive for brands to get started. 

When advertisers think of gaming, they tend to think of high-end, one-off custom integrations. Yet there are many more affordable and undervalued opportunities. While the first generation of in-game advertising media was fragmented and hard to buy, today’s programmatic channels make it easy to buy, are comparable in cost to other digital media, enable marketers to test and learn, and are cost-effective, efficient, and scalable.

Misperception 2: In-game advertising is too hard to activate with quality inventory. 

Some advertisers feel that ease of activation and quality is only possible in well-known, premium game titles. “Quality inventory and serious reach are possible,” Soon continued. “With new ad networks and technology, it’s easy for advertisers to get both the scale and brand-safe reach they need.”

Misperception 3: Gaming cannot deliver on key objectives throughout the funnel.

“Buyers want to make good quality buys that align with their brands and drive all the way through to purchase,” said Jack Koch, SVP, Research & Insights, IAB. “And while that is absolutely possible in gaming today, perception lags reality.”

While in-game advertising often mimics real-world awareness media — for example, billboards in a driving game or stadium signage in a sports game — gaming offers much more. You can drive mid-funnel objectives by letting gamers feel and interact with your product. Gamers can drive a branded vehicle in a war game, or get a “power-up” from a healthy drink in a running game and become associated with energy. There’s also ample inventory that is lower funnel and clickable, so advertisers can track through to conversions.

Misperception 4: In-game advertising is too difficult to measure.

AdTech and publishers have brought measurement standards and capabilities up to a level that will meet the needs of most advertisers. However, there is still progress that needs to be made. In some cases, the data is not fully consistent and comparable to other media, and in-game advertising doesn’t yet offer the same level of granularity buyers expect in digital marketing. In a joint collaboration between IAB, IAB Tech Lab, and the Media Rating Council (MRC), in July 2022, IAB released its Intrinsic In-Game (IIG) Measurement Guidelines to establish updated measurement guidelines for ads that appear within gameplay.

Misperception 5: In-game advertising is not brand safe and not welcomed by players.

There’s still a lingering misperception that buyers can’t get brand-safe reach at scale and that in-game advertising is unwelcome.

In reality, with proper planning and through third-party monitoring services and/or AI-based keyword blocking, brand safety issues can be easily mitigated. Programmatic makes it possible to reach brand-safe audiences at scale.

Also — just as in any medium — attitudes about advertising depend on an acceptable value exchange. On a free mobile game, players fully expect to see ads in exchange for getting the game for free. The interviewees for IAB’s research shared that ad formats that provide tangible in-game value such as in-game playables, rewards, currency boosts, and skins are well-received by gamers. Where there are billboards in a driving game, gamers enjoy it more if it adds realism to the game. AdTech and publishers are keenly aware of the need for a strong value exchange and develop ad formats that deliver on that promise.

What the Industry Needs To Do Next

  • Educate and collaborate
    Sellers need to make clear that in-game advertising has evolved, and can be as easy and cost-efficient to activate as other digital media. Education is needed about the range of buying opportunities and ad formats across custom integrations and dynamic network media buys, and measurement/brand safety capabilities available. The buy-and-sell side should collaborate to reduce friction and boost investment, while publishers and ad tech providers partner to open new player-centric inventory.
  • Demonstrate unique value
    Ad tech companies and publishers need to show the quality of their reach and inventory through audience insights and channel profiles, and provide case studies about driving full-funnel success leveraging measurement that’s similar to other digital media.
  • Build for interoperability
    Ad tech companies and publishers should help advertisers understand how to efficiently leverage first and third-party data, and how data can be interoperable so brands can make smart cross-platform decisions. Standards, like IAB’s Intrinsic In-Game Measurement Guidelines, are vital to helping align in-game metrics to other digital media for consistency and comparability.
  • Quantify why gaming, and why now
    Empirical effectiveness research is needed to illuminate how the engagement and context of in-game ads can drive significant impact, and how to ensure that in-game advertising is brand-safe. Gaming offers sizable audiences and can be a future-forward leader with strong engagement, creative, contextual alignment, and performance.

Koch concluded, “High quality audiences at serious scale, brand safety, easy buying, and defensible measurement are all finally in place. As the misperceptions dissipate, we expect spending on in-game advertising will begin to catch up to the opportunity.”

The report was released at IAB PlayFronts 2023 and can be downloaded here.

About IAB

The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and collaboration of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

IAB Media Contacts
Brittany Tibaldi / Michael Vaughan
347-487-6794 / 813-210-1706
btibaldi@kcsa.com / mvaughan@kcsa.com

The post New IAB Study Reveals Five Misperceptions About Video Game Advertising appeared first on IAB.

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Data Clean Rooms Are Now Essential for Audience Insights, Measurement, and Data Activation According to IAB State of Data Report https://www.iab.com/news/state-of-data-2023-report-data-clean-rooms Tue, 24 Jan 2023 13:15:52 +0000 https://www.iab.com/news/?p=161051 Cost Remains a Barrier – Putting Smaller Agencies, Brands, and Publishers at Disadvantage​ NEW YORK – January 24, 2023 – The continuing wave of inconsistent state level privacy legislation, coupled with increased signal loss, has set the stage for data clean rooms (DCRs) to become an indispensable privacy-preserving technology. However, the significant investments in talent, … Continued

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Cost Remains a Barrier – Putting Smaller Agencies, Brands, and Publishers at Disadvantage​

NEW YORK – January 24, 2023 – The continuing wave of inconsistent state level privacy legislation, coupled with increased signal loss, has set the stage for data clean rooms (DCRs) to become an indispensable privacy-preserving technology.

However, the significant investments in talent, technology, and data setup required to implement DCRs create significant challenges for smaller agencies, brands, and publishers.​

These are among the conclusions from IAB’s annual State of Data report from the Measurement, Addressability & Data Center, titled “State of Data 2023: Data Clean Rooms & the Democratization of Data in the Privacy-Centric Ecosystem.

The report, conducted on IAB’s behalf by Ipsos, features insights gleaned from over 200 completed surveys and 20 in-depth interviews among data decision-makers at brands, agencies, and publishers/retailers about how privacy-preserving technologies are being managed and activated.

DCR Adoption Investment is Significant

Unveiled during IAB’s Annual Leadership Meeting, the report found that DCRs are typically used with other privacy-preserving technology. As a result, compounded annual costs can soar above $2M. ​​For example, while more than 80% of DCR users are using CDPs (customer data platforms) and DMPs (data management platforms), roughly half are using identity solutions and CMPs (consent management platforms).

Investing to Unlock The Next Level of Functionality

“So far, most companies are using DCRs for privacy controls, matching data for collaboration, and data activation,” said Jeffrey Bustos, Vice President, Measurement, Addressability & Data, IAB. “But that only scratches the surface of what’s possible.” Less than a third of users are using DCRs’ advanced measurement capabilities, including attribution, return on investment (ROI) / return on ad spend (ROAS) measurement, media or marketing mix modeling, and propensity modeling and predictive analysis.

“Companies expect to invest 29% more in 2023 to make the most of their DCRs, and that’s really encouraging,” added Bustos. “There is growing demand due to loss of signals, and wanting to share data with partners without sharing sensitive data. This may show that companies are understanding what’s required and ramping up their investments accordingly.”

Some Growing Pains

The report reveals that while DCRs offer innovative, privacy-preserving capabilities, they are far from being turnkey technology. They require steep and ongoing investments in talent, cost, and setup, spanning everything from data infrastructure and connectivity to onboarding. More than half of DCR users (52%) cite leveraging results / proving ROI as a challenge. About one third of DCR users are also facing data interoperability / customization (39%), internal resource (38%), and privacy (32%) challenges when using DCRs.

  • Nearly half of DCR users (49%) have 6+ employees dedicated to the technology—nearly one-third (30%) have a minimum of 11 people.
  • Respondents cited time-frames of months to up to two years to get up and running with the technology.
  • Nearly two thirds (62%) of users spent a minimum of $200K on the technology in 2022, with a quarter (23%) spending upwards of $500K.

The cost and talent requirements to successfully implement DCRs creates a tremendous market disadvantage for small agencies, brands, and publishers that don’t have the resources to invest at those levels—and may weaken the trend toward in-housing.

Calling on All Advertising Participants (including Walled Gardens)

The report also includes detailed information about what advertisers, brands, and publishers need to know as they begin their journey, including hurdles and opportunities for growth; privacy-preserving technology considerations and best practices; and understanding the benefits and use cases of DCRs.

“To make the most of DCRs, the industry needs all data providers to make their data interoperable so that advertisers can measure full campaign effectiveness and ROI,” said David Cohen, Chief Executive Officer, IAB. “There should be no exceptions. It’s in everyone’s interests for closed ecosystems to provide access so that advertisers can effectively analyze their campaign activity. Advertisers need a window into the data.”

Through industry collaboration, innovation, and education, IAB and IAB Tech Lab strive to make it easier for advertisers to understand and use DCRs. In Q1, IAB Tech Lab will announce its first DCR specification to support and define interoperable clean room interactions for digital advertising. Developed within IAB Tech Lab’s Rearc Addressability Working Group, it will be the first of a library of purpose-built, DCR specifications to support and define interoperable clean room interactions for digital advertising.

For more information, please visit https://iab.com/state-of-data and to download the “State of Data 2023: Data Clean Rooms & the Democratization of Data in the Privacy-Centric Ecosystem,” click here.

About IAB

The Interactive Advertising Bureau empowers the media and marketing industries to thrive in the digital economy. Its membership comprises more than 700 leading media companies, brands, agencies, and the technology firms responsible for selling, delivering, and optimizing digital ad marketing campaigns. The trade group fields critical research on interactive advertising, while also educating brands, agencies, and the wider business community on the importance of digital marketing. In affiliation with the IAB Tech Lab, IAB develops technical standards and solutions. IAB is committed to professional development and elevating the knowledge, skills, expertise, and collaboration of the workforce across the industry. Through the work of its public policy office in Washington, D.C., the trade association advocates for its members and promotes the value of the interactive advertising industry to legislators and policymakers. Founded in 1996, IAB is headquartered in New York City.

IAB Media Contacts

Brittany Tibaldi / Michael Vaughan
347-487-6794 / 813-210-1706
btibaldi@kcsa.com / mvaughan@kcsa.com  

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