US: Online video ad spend to rise 89% this year

Posted by Jean Yves Chainon on July 26, 2007 at 2:14 PM

According to eMarketer forecasts, online video ad spending is on track to rise 89% in 2007, up to $775 million. The same research expects video ad spend growth rates to remain above 40% through 2011, reaching an estimated $4.3 billion.

More than half of the US population will be watching online video next year, according to eMarketer’s predictions.

In the months and years to come, there are two main issues at stake concerning online video ads.

Firstly, newspapers will have to determine what the audience will seek and accept in terms of video ad content – as well as length and how it is inserted.

Secondly, there will be a challenge in gathering a sufficient video ad inventory and monetizing user-generated video streams.

It’s still time to hop on to the video bandwagon…

Source: Online Media Daily

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