Video advertising set for growth

Investment on video advertising outside of the home is due to increase over the next few years, according to a new study.

Research carried out by eMarketer found that in the US, spending on this form of advertising will reach $2.25 billion in 2011 from $1.26 billion in 2007.

"While other traditional advertising sectors are struggling to adapt to increasingly fragmented audiences and changing media consumption patterns, the out-of-home advertising sector is actually reaping the benefits of the evolving media landscape," said Ben Macklin, senior analyst at eMarketer.

According to the report, video advertising expenditure will be second only to online advertising in terms of growth, driven by increased use of digital and wireless technology and the falling cost of flat screens.

"Another significant driver of the out-of-home advertising sector is that US consumers are spending more time outside their homes, shopping, dining, walking, travelling and waiting," Mr Macklin added.

A recent report from BtoB magazine revealed that 60.1 per cent of marketers intend to increase budgets during 2008.
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