Understanding the Mobile Video Ad Market presentation for the American Marketing Association Los Angeles

1. Understanding the
Mobile Video Ad Market
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ROC Santa Monica
Sept 2nd 2014
Martin Price
@martinprice
www.linkedin.com/in/mprice

2. About the author

3. 3
Martin Price
‣ 15+ years as Product Executive leading product management, UX,
design, content & operations teams for large corporations & start-ups,
also entrepreneur and startup founder
‣ Currently Sr Director Mobile Products @ OpenX experienced
leading product strategy and working with CEO and exec teams at
Yahoo! (8 Yrs), IAC, & top tier VC investors (Shasta, Clearstone+) at
Geodelic
‣ Experience building compelling consumer experience for web,
mobile & tablet devices and launching in global markets
‣ Experience building successful scalable ad tech products and API
services at scale & integrating with partners industry globally
‣ Industry speaker & panelist on mobile at Mobile World Congress,
Techcrunch Disrupt, VentureBeat Mobile Summit (invite only), CTIA,
MobileBeat, AppNation, AppsWorld, Silicon Beach Fest + more
‣ Writing book entitled “No Such Thing As Done! - Designing and
managing iterative mobile products for the attention deficit
generation”

4. 4
Some wins
‣ Lead global rollouts of products in 24+ markets at Yahoo! in both
Consumer space (yahoo.com homepage, my y! & toolbar) & Ad tech space
(video ad products & rich media) incl. patents granted for Toolbar
innovations at Yahoo!
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‣ Created a mobile cloud services and product innovation startup up called
Productsy and took it from $0 to $1m revenue in 1 year with $0 funding
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‣ Built one of first local mobile advertising platforms in the industry at IAC
and launched with Pandora, Urbanspoon and others as top 10 network in
2010
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‣ Lead the release of multiple product innovations at OpenX incl. new SDK’s,
Video & the first Native Advertising Exchange in Barcelona at Mobile World
Congress

5. Mobile Video Market

6. US Mobile Video Audience
The number of people watching video on a smartphones (ages 2 and up) in the first quarter reached
103.5 million, up from 89.7 million in the year-earlier period.
16%
103.5
Source: MediaPost News, Mobile Marketing Daily
89.7 Million
Million
Q1 2013 Q1 2014

7. Mobile web & app usage
The number of people using the mobile Web
or any app on a smartphone app in the first
quarter went up 22% in the last year, from
almost 122 million to 149 million.
122 million
149 million
22%
Avg. monthly viewing time
Average monthly time spent per user
viewing mobile video grew was one hour,
37 minutes, up 23% from 1:11 a year ago.
2013
2014
1:37 mins
1:11 mins
Source: MediaPost News, Mobile Marketing Daily

8. 8"
7"
6"
5"
4"
3"
2"
1"
0"
2011" 2012" 2013" 2014" 2015" 2016" 2017"
Millions'of'Terabytes'Per'Month'
Source:(Cisco,(2013(
Global'Mobile'Video'Traffic'Will'Con9nue'To'Surge''

10. ‣ Zero-TV Households: Younger audiences have a higher propensity to
live in zero-TV environments. They've either cancelled cable
subscriptions ("cord-cutters") or never adopted traditional pay TV
("never cords"). Instead, they stream or download video to a variety of
Internet connected devices. Nielsen, which began to track zero-TV
homes this year, says 44 percent of the estimated 5 million zero-TV
U.S. households are 34 and younger.
‣ Second Screen: This terms refers to the simultaneous use of a mobile
device or PC while watching TV. Sometimes this activity is related to
what's happening on the main screen, but often it's not. For
millennials, second-screen behavior is simply second nature. Forty-one
percent or more of audiences aged 14 to 29 routinely text or
browse the Web while watching TV, according to
the Deloitte survey cited earlier. Across age groups, the average is
closer to 25 percent.
‣ Mobile-centric: Millennial audiences were far more likely than the
average U.S. consumer to routinely rely on the tablet or smartphone
as their consumption device for movies and TV shows, according to
the same survey. Twenty-eight percent of video audiences aged 24 to
29 said they watched TV shows on their smartphone or mobile device
weekly or every day, compared to only 4 percent of Baby Boomers
aged 47 to 65.

11. Web Properties
General
Aggregators
Content Network
©"LUMA"Partners"LLC"2014
VIDEO&LUMAscape
Exchanges Networks
Denotes acquired company
Video Ad
Targeted TV
DSPs
Agencies Media Buying
Desks
Video Ad Servers
Media Management & Ops
Video Search /
Guide
Ad Creation
CDNs
Video Delivery Mgmt
Encoding / Transcoding
Video Syndication
TV Everywhere
OTT Platforms
Carriers Connected TVs &
Traditional STB
OTT Applications
Video Specific
Data Mgmt
IP-Enabled
Set Top Boxes
Data / DRM
Video Ad Servers
Media
Agencies
OVPs
TV / Targeted
TV Platforms
Players
Creation Tools
/
MARKETE
R
CONSUME
R
Branded Content
Distribution
Measurement
and Analytics
Denotes shuttered company
Social Networks
Video Production
Tools
Video SSPs
MCNs

13. Ad Formats
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Multiple Formats
MAKING SENSE OF EVERYTHING
Marketplace Names Definition Type
Pre-roll, mid-roll, post-roll, interstitial,
ad skip, Ad Selector, Innovid iRoll
VIDEO ADS in the video stream Linear
Lower Third
DISPLAY ADS overlaid on the video
stream Overlay
300x250 display Ads ALONGSIDE video stream Companion
Rich Media
VIDEO ADS delivered in banner
space Standalone
Branded Entertainment
Standalone brand or product VIDEO
ADVERTORIAL or entertainment Native
Google Video AdSense VIDEO ADS via text rollover In-Text
Console/Connected TV Interactivity Digital interactivity on TV platform TV Platform
Consumer Opt-In Choose your own ad or ad skipping Ad Selector

14. Video Standards & Examples
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Vsuite Overview https://www.youtube.com/watch?v=1bBV0JWLZUU
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VAST
Sample 2.0 Tags
http://demo.tremorvideo.com/proddev/vast/vast_inline_linear.xml
http://ad3.liverail.com/?
LR_PUBLISHER_ID=1331&LR_CAMPAIGN_ID=229&LR_SCHEMA=vast2
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VPAID
http://www.iab.net/guidelines/508676/digitalvideo/vsuite/vpaid
VPAID ad examples https://www.youtube.com/watch?
feature=player_embedded&v=8vIiUQyfZEk
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VAST 2.0 non linear VPAID http://static.openvideoads.org/examples/ova.jwplayer.5x/
examples/pages/ad-servers/adotube/example04.html
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VMAP
http://www.iab.net/guidelines/508676/digitalvideo/vsuite/vmap
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15. Mobile Video @
OpenX

16. Interstitial Video Ads
•Video interstitial ads are enabled for
in-app inventory
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•Available for direct sold campaigns in
Ad Server
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•Enables core functionality for video
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•In-built Video Player for app
developers to utilize ensures video ads
can be played and tracked seamlessly
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•Video tracking

17. Pre / Mid / Post Roll Video
Pre Roll
Content Mid Roll Content Post Roll

19. In-feed Video
•Native in-feed video in your
native apps including auto play
video
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•Simply add premium video in the
stream or feed of your app with a
couple of lines of code (SDK 2.5
and above)
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•Utilizes bundled native video
player so no extra coding
required
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Integrates into the Native Ad
Exchange directly for
monetization
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•Ad creative via VAST tag

20. Q&A