1. © 2016 eMarketer Inc.
For more information on this subject, see the related report at
Programmatic Video and TV:
Audience-Centric Buying Fuels Ad
Investment
Lauren T. Fisher
Senior Analyst
November 30, 2016
http://totalaccess.emarketer.com/Reports/Viewer.aspx?R=2001824

2. © 2016 eMarketer Inc.
Three TV and digital stats that matter:
5h 14m
Average time spent
per day with TV and
digital video among
US adults, 2016
$71.3B vs.
$10.3B
US ad spending, TV
vs. digital video, 2016

3. © 2016 eMarketer Inc.
Programmatic Video
Advertising

4. © 2016 eMarketer Inc.
Programmatic Advertising:
A form of advertising in which the buying, selling
or fulfillment of the ad is done via automation or
some other technology-driven method.
Digital Video Advertising:
Includes ads that appear before, during or after
video content in a video player.

5. © 2016 eMarketer Inc.
This year,
three-fifths of
all US digital
video ad
dollars will
transact in
this manner

6. © 2016 eMarketer Inc.
Maintaining control of such buys is still a top
priority
“We are seeing premium publishers
recognizing the power of using
data to find coveted audiences in
different ways other than targeting on
content or shows. However, they are
mostly looking to do that in more
private and more direct settings.”
—Lauren Wiener, President, Buyer
Platforms, Tremor Video

7. © 2016 eMarketer Inc.
Mobile will be
a primary
driver of
growth over
the next two
years

8. © 2016 eMarketer Inc.
Other accelerants of growth include:
▪ Improvements to
digital issues of ad
quality, such as fraud
and viewability
▪ Growing opportunity
in connected TV/OTT

9. © 2016 eMarketer Inc.
Programmatic TV

10. © 2016 eMarketer Inc.
Programmatic TV Advertising:
The use of software platforms to automate
the buying or selling of TV advertising
distributed through cable, satellite or
broadcast networks.

11. © 2016 eMarketer Inc.
Growth of
programmatic
TV will be slow
and steady, but
it will still be a
multibillion-
dollar industry
by 2018

12. © 2016 eMarketer Inc.
Targeting is the
core driver of
programmatic TV

13. © 2016 eMarketer Inc.
In the near
term, most
programmatic
TV ad spending
will go to
addressable TV

14. © 2016 eMarketer Inc.
National Networks
Local/VOD
Addressable
After
addressable,
local
becomes the
next frontier,
with national
inventory the
final and
biggest
piece of the
puzzle

15. © 2016 eMarketer Inc.
Broader automation of national ad inventory is a
longer-term forecast
“[Enabling national inventory] requires a business
arrangement between the network and operator.
Those discussions are complicated and will
take a lot of time and negotiations.”
—Michael Bologna, President, Modi Media, GroupM

16. © 2016 eMarketer Inc.
Added factors expected to move this
transition along include:
▪ Increased use of advanced TV targeting/data
overlays
▪ Perceived pressures due to audience fragmentation
across digital video and time-shifted viewing
▪ Technology and measurement

17. © 2016 eMarketer Inc.
Thank You