Are Facebook Video Ads Comparable To TV?

The advertising world has been buzzing around recent news that Facebook will likely be launching video ads this fall.  There are a few items that have sparked the most conversation, but none more than the $2.5 million price tag for a daylong run of 15 second video spots integrated into the newsfeed. That cost and the way Facebook is packaging the offering looks more like a major TV buy (think Superbowl) than anything found in the digital arena. In fact, it seems that Facebook is embracing the comparison to primetime and has even collaborated with Nielsen to release a FB-commissioned study to compare reach of Facebook to TV. According to the report Facebook has reach that is comparable or even greater than the four TV broadcast networks during the day. For example, the 25-34 age segment on Facebook has an incremental 41% reach to the networks during the day.

That said, Facebook’s ad formats will vary dramatically from TV and even most online video. They will appear within news feeds, muted and can expand and activate audio when clicked (in the same fashion as Instagram Video). Targeting also varies significantly from TV as FB video will be able to target by age and gender. Based on initial numbers, Facebook video generates greater engagement than any other form of post, but will that translate to paid media? 

Display Advertising Grew 26.3% in the First Quarter

According to a new Nielsen report, display advertising – including banner ads – grew 26.3% in the first quarter, led mostly Asia-Pacific and Latin America, where display advertising grew 33.2% and 48.2%, respectively. The one major caveat to the study is that Nielsen hasn’t developed a system to measure search and mobile, as accurate tracking of those categories is difficult. Nonetheless, the display advertising figures reported by Nielsen are in line with other researchers’ numbers as well; the IAB reported that display advertising grew by 9% in the US in 2012, which fits with the Nielsen numbers. It still appears, however, that TV will retain its overall dominance in ad spending – at least in the short term. 

Nielsen And Twitter Create Social TV Rating

Nielsen has announced a new analytics platform measuring social engagement for TV programs based on Twitter activity. Specifically, the metrics will provide impressions and reach for shows based on tweets, retweets, and replies containing keywords related to the specific program.

The new measurement represents a shift in TV viewing as audience attention often spans multiple screens, particularly on mobile. While companies like Trendrr TV and Bluefin have established social metrics, Nielsen is easily the biggest entrant into the space. Look for their metrics to inform social TV campaigns and second screen programs for today’s leading brands.

The evolution of America’s Internet activity

Nielsen released new statistics this week on Americans’ online behavior that confirms the growing dominance of social networking while illuminating strong differences in computer and mobile activity. This data gives powerful insight into patterns in consumer behavior and how advertisers fit into that equation.

According to the report, social networking now accounts for 22.7% of total U.S. Internet time, an impressive growth from its 15.8% share in 2009. Online gaming also moved into the number two spot at 10.2%, overtaking E-mail which had the steepest decline in share– retreating from 11.5% to 8.3%. Other emerging categories include Videos/Movies, while those like Portals and Entertainment seem to be waning.

In stark contrast, Nielsen’s survey indicates that E-Mail is still the dominant online activity for mobile, accounting for over 40% of time. Portals came in second for, followed by social networking at a close third. The biggest mobile growth sectors are Music and Videos/Movies (20% growth each year over year), while News/Current Events and Sports each dropped precipitously. Continue reading “The evolution of America’s Internet activity”