Ad Serving Creative Best Practices Video

Online Video Advertising – Which Format Delivers the Goods?

Posted by Kyle Weisbrod on July 12th, 2012 at 10:18 am

Online video advertising is growing strongly with Forrester predicting U.S. online video ad spend will reach $5.4 billion by 2016 (from $2.0 billion in 2011). The increase in video advertising is substantially outpacing current online ad spending growth by 37%. With all of that money being spent, successful Advertisers will look for video formats that provide the highest ROI. What is the video format that gives you the greatest bang for the buck? Evidence clearly points to Interactive Video (VPAID - Video Player-Ad Interface Definition) over Non-Interactive Video (VAST – Video Ad Serving Template).

When measuring online video metrics, advertisers need to look past the traditional click through rate to see the real success. Viewers of online video content are immersed in the publisher content and they do not want to leave the page and open a new window to gather additional information. Clicks for non-interactive video (VAST) ads are often driven by users attempting to close out of an ad they are not interested in. These unqualified clicks drive up CTR but are ineffective in changing consumer intent.

VPAID’s clear advantage over VAST is its growth of brand awareness and user engagement. In a study of online video ads performed by MediaMind in 2011-2012, VPAID ads saw a whopping 7.06% interaction rate. Viewers can engage with the brand without ever leaving the video player. VPAID ads also offer more ways to track viewer engagement and interaction, allowing advertisers to continually refine and improve on their ads.

VPAID allows advertisers to bring engaging content like multiple videos, games, and multiple panels and features an enriched interactive experience that captivates audiences. Viewers not only remember seeing the VPAID units, they also recall the ad’s brand, and as a result building that strong brand recognition.

Expandable VPAID units also provide a larger creative pallet for brands. Advertisers are able to incorporate more content leading to longer consumer time spent with the brand.
If your main objective is to create brand impact by keeping users engaged, interacting, and spending time with the ad, VPAID is a far superior unit over VAST. VPAID units create an overall interactive experience with the user, keeping them engaged with the ad, and ultimately the brand.

Jenny Wingo, Business Intelligence Analyst, MediaMind, contributed to this article

Source:, January, 2012

3 Responses to “Online Video Advertising – Which Format Delivers the Goods?”

  1. Michael Carrizal says:

    Good to know, thanks for sharing!

  2. veenavierl says:

    Yup.....A single click can promote your business online so at the time of designing your video be careful and follow this article to make it successfully..........

  3. Kyle Weisbrod says:

    @Video Production Dallas, due to the limited data available related to ROI, it is difficult to directly compare the two. Given the significantly high interaction rate, we expect that the VPAID clicks are much higher value. Users that click after interaction are likely to be more qualified consumers and result in a greater likelihood of taking a post-click interaction including purchases.

Leave a comment