Is your video ad reaching the right viewers? According to one agency, you may be hitting only 10 percent of your target demo.
Throwing a shadow over online video advertising, U.K. agency Mirriad reports that 90 percent of viewers skip pre-roll ads. That comes from a commissioned survey of over 1,000 adults created by ORC International. The survey also found that 76 percent of people block online ads and skip over TV commercials.
Mirriad dug into generational differences on ads, finding that 84 percent of millennials block or skip ads all or some of the time, while 73 percent of generation X viewers and 72 percent of baby boomers do the same.
Young adults prefer less disruptive forms of advertising than do older generations, the survey finds: 27 percent of millennials prefer less disruptive ads compared to 15 percent of generation X and 9 percent of baby boomers. Older viewers lead the way in despising all ads: 53 percent of baby boomers would prefer not to see any ads at all, compared to 30 percent of millennials.
The point of Mirriad’s research is promoting native video advertising, in which ads resemble a site’s editorial content. Mirriad creates native ads, a format that typically gets around ad blockers. The agency quotes Jupiter Research saying publishers could lose $27 billion by 2020 due to the use of ad blockers.
“There’s no question the advertising industry is facing complex challenges today, as consumers suffer from ad blindness and are increasingly opting out,” says Mark Popkiewicz, Mirriad’s CEO. “With only ten percent of online video and traditional TV viewers actually experiencing all ads, and most of them not recalling the brands and their messages, it’s high time that the industry responded to the problem with some new solutions that are both engaging and respectful of the audience. We believe one such solution is native in-video advertising, where brands are integrated authentically into popular entertainment content at scale.”
Some publishers are responding to the use of ad blockers by banning any visitors who use them. On Monday, New York Times chief executive Mark Thompson said his company was considering such an option.
“No one who refuses to contribute to the creation of high quality journalism has the right to consume it,” Thompson said.
The Times is also considering a more expensive subscription tier that would remove most advertising.