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“TrueView Skippable PreRolls”
Evaluating the Effect of Consumer Choice on
Pre-roll Effectiveness




Ipsos MediaCT and Innerscope Research Inc.
 All Rights Reserved. 2011



                                      Google Confidential and Proprietary
The Problem: “Is anyone actually watching?”


 In 2009...




             53%

 of online video ads were watched to completion


     DoubleClick Benchmark Report - A Year in Review, 2009
                                                                                      Google Confidential and Proprietary
     Q18. When considering ads you might see on websites like YouTube before videos
     you want to see, which of the following statements most applies to you?
The Solution: YouTube “True-View In-Stream”
(a.k.a. Skippable PreRoll)




                                   Google Confidential and Proprietary   3
TrueView “Skipppable” PreRolls:
 How They Work

User must watch the first five seconds
of an ad. After that, he can choose to
skip the ad to proceed immediately to
the content he wanted.

With Skippable PreRoll, the advertiser
only pays for what matters most--
people actually watching the ad.

Advertisers are only charged when a
viewer chooses to watch the ad
completely or after 30sec
(whichever comes first).

Unique to YouTube!




Source: Doublecklick Benchmark Report. 2009
                                              Google Confidential and Proprietary
TrueView enhances viewer experience and makes
   media dollars work harder
                                                 Reasons for participants skipping ads

                    I had seen the ad before                                                     22%




I am not interested in the product / service                                                   19%




 I didn't find the ideas in the ad interesting                                       14%




        The ideas were not relevant to me                                            14%


             Less than half of users (45%) will always skip ads.
             Other reasons to skip indicate that TrueView delivers efficient reach by:
                 • Natural frequency capping
                 • Delivering targeted ad views
              Those who skipped each ad (n=259-343)                                                    Google Confidential and Proprietary
              Q11e. Which of the following, if any, describe why you decided to skip the ad?
Experiment: UK based, first of its kind globally




                                       Google Confidential and Proprietary   6
Comparison groups

Lab test:




Viewed Standard Pre-Roll   Skipped TrueView   Watched TrueView

Online test:



                                                                     +

                                                           Control group (no exposure)
                                                                 Google Confidential and Proprietary
Methodology
  1. Lab test                              2. Online test




  Biometrics (132 people)                  Online survey (2,000 people)




  Eye tracking (132 people)

      Ipsos MediaCT. All Rights Reserved                   Google Confidential and Proprietary   8
Key Findings across all participating advertisers
     TrueView ads drive higher viewer engagement.
1    On average, people who watched TrueView ads showed 75% greater
     engagement with the ad than people who viewed the same ad as a
     standard pre-roll.




2    Skipped ads deliver free value.
     With the right creative, ads can deliver impact even on those who skip.



    The first 5 seconds matter– so use the time wisely.
    Users who watched a TrueView ad were 40% more engaged during
3   first 5 seconds vs. users who saw a standard preroll. Even users who
    skipped a TrueView ad were 30% more engaged during the first 5
    seconds vs. users exposed to a standard preroll.

                                                            Google Confidential and Proprietary
Option to skip does not distract from the ad


Brand A                                                                         Brand B




                                                                                                     Video
               Video




                                                                                 Skip Bar
 Skip Bar




            82% of users think the skip button is ‘very’/ ‘extremely’ clear
              Ipsos MediaCT and Innerscope Research Inc. All Rights Reserved.

             All respondents (n=2,000)                                                                       Google Confidential and Proprietary   10
             Q15. The highlighted button allows you to skip an ad after 5 seconds before watching a video.
             How clear do you think this was when the button appeared?
Across all brands, people who watch TrueView ads are over
75% more engaged than those who see standard pre-rolls




                                      Saw Standard PreRoll             Watched TrueView
      Ipsos MediaCT and Innerscope Research Inc. All Rights Reserved                      Google Confidential and Proprietary   11
People who watch ad in TrueView format (choosing not to
skip) show higher biometric engagement


                       100




                        80
Emotional Engagement




                        60




                        40




                        20
                             0                   5                        10                      15          20          25                         30
                                                                                            Time in seconds

                                              Saw Standard PreRoll                        Watched TrueView         Neutral Engagement (55)
                                 Ipsos MediaCT and Innerscope Research Inc. All Rights Reserved                       Google Confidential and Proprietary   12
Viewers who watch TrueView ads feel better about the
brand
Average across all participating advertisers (4 dif’t industries)

                          Watched TrueView                                    Saw Standard Pre-roll

      Brand
Favourability                           +5%                                               +4%

   Purchase
      intent
                                         +3%                                              +2%
       All respondents (n=2,000)
      Q4. Please indicate how favourable or unfavourable you feel towards each of the following brands
      of [CATEGORY] using the below agreement scale.
                                                                                                         Google Confidential and Proprietary   13
      Q6. How likely are you to buy any of the following [CATEGORY] in the future? /
      Q6. When you next come to buy a [CATEGORY], which of these would be your first choice?
TrueView ads deliver impact– even on users
who skip




    All respondents                                                                                       Google Confidential and Proprietary   14
    Q8a. [Post 5 second de-branded exposure]. Do you remember seeing this ad when you watched the clips
    on YouTube?
The option to skip increases user response during the
first 5 seconds
      This is true whether the user watches or skips the ad

                                            AQ™ Biometric Scores
  6


  5

                                                                                         3.7
  4
                                                                          3.5
                        2.7
  3


  2


  1


  0
          Saw Standard Pre-roll
               Control                                     SkippableTrueView
                                                            Skipped Skipped       Watched TrueView
                                                                                Skippable Not Skipped

  Scores are aggregated across all ads within a single condition and are derived from the emotional
  intensity during the first 5 seconds of each target ad in that condition.
        Ipsos MediaCT and Innerscope Research Inc. All Rights Reserved.                   Google Confidential and Proprietary   15
Key Findings
     On average, people who watched TrueView ad showed 388% higher
1    engagement than people who viewed the same ad as a standard pre-
     roll (vs. 75% average uplift across all brands).


     Uplift in key brand metrics was relatively consistent across formats –
2    whether a person watched a TrueView ad or saw a standard pre-roll.
     But we saw some indication that the TrueView format lifts brand metrics
     more effectively than standard pre-roll.


3    Interestingly, people who saw ad as a standard preroll showed the
     highest levels of brand linkage and spontaneous awareness– possibly
     because people who opted to watch TrueView were drawn in by
     creative content and less focused on branding messages.




                                                          Google Confidential and Proprietary
People who watched ad as a TrueView were 388% more
engaged than those who saw standard pre-roll




                                      Saw Standard PreRoll             Watched TrueView
      Ipsos MediaCT and Innerscope Research Inc. All Rights Reserved                      Google Confidential and Proprietary   17
A single viewing of any format has no significant impact
on aided brand awareness

Prompted Brand Awareness




                                                                                    96%                       96%
                95%
                                                    94%




                Control                      Skipped TrueView                  Watched TrueView     Saw Standard PreRoll




          All respondents (n=2,000)                                                               Google Confidential and Proprietary   18
          Q3. Which of the following brands of [CATEGORY] have you heard of?                      Ipsos MediaCT. All Rights Reserved
People who watched standard pre-roll report highest levels
of unaided brand awareness


Spontaneous Brand Awareness




                                                                                                                7%

                                                                                          5%


                                                    2%
                 1%

                Control                     Skipped TrueView                   Watched TrueView     Saw Standard PreRoll




          All respondents (n=2,000)
                                                                                                  Google Confidential and Proprietary   19
          Q2. Which is the FIRST brand that comes to mind when you think of [CATEGORY]?
                                                                                                  Ipsos MediaCT. All Rights Reserved
The standard pre-roll delivered higher brand linkage

Correctly naming the Brand (amongst Recognisers)




                                                                                 85%
                                                                78%

                   64%




           Skipped TrueView                           Watched TrueView   Saw Standard PreRoll




            Recognisers of the ad
                                                                                 Google Confidential and Proprietary   20
            Q8b. What brand or company was it for? [OPEN END]
                                                                                 Ipsos MediaCT. All Rights Reserved
Results suggest possible higher uplift to metrics
    across the purchase funnel as a result of viewing
    TrueView ad
      NB: results not statistically significant


                                                       Control                  Skipped Ad                    Watched                        Saw
                                                                                                              TrueView                     Standard
                                                                                                                                            Preroll
Favourability                                              48%                     48%                          52%                              50%

Consideration                                              17%                     19%                          21%                              21%
Purchase intent                                             5%                     6%                            7%                               5%
Recommendation                                             31%                     25%                          30%                              28%

All Respondents (n = 2000)

(Q4B) Please indicate how favourable or unfavourable you feel towards each of         (Q6B) When you (next) come to buy a car, which of these would be
    the following brands of cars using the below agreement scale.                        your first choice?


(Q5B) Which of the following brands of cars would you consider the next time         (Q7B) How likely are you to recommend each of these brands of cars
   you are thinking of buying a new car?                                                 to someone else?

                                                                                                                               Google Confidential and Proprietary   21
Recommendations

• Take advantage of TrueView’s ability to drive higher viewer
  response, in addition to the efficiencies created through
  auction pricing.

• Where sensible, include branding in first 5 seconds. This
  leverages heightened viewer response at this stage and
  ensures brand impact in all cases– whether the ad is viewed
  or skipped.

• Consider mixed targeting strategy: Use standard prerolls to
  reach your target audience and use TrueView ads to achieve
  broader reach in an efficient way.




                                                   Google Confidential and Proprietary   22
Thank you




            Google Confidential and Proprietary   23

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YouTube TrueView skippable pre-rolls study

  • 1. “TrueView Skippable PreRolls” Evaluating the Effect of Consumer Choice on Pre-roll Effectiveness Ipsos MediaCT and Innerscope Research Inc. All Rights Reserved. 2011 Google Confidential and Proprietary
  • 2. The Problem: “Is anyone actually watching?” In 2009... 53% of online video ads were watched to completion DoubleClick Benchmark Report - A Year in Review, 2009 Google Confidential and Proprietary Q18. When considering ads you might see on websites like YouTube before videos you want to see, which of the following statements most applies to you?
  • 3. The Solution: YouTube “True-View In-Stream” (a.k.a. Skippable PreRoll) Google Confidential and Proprietary 3
  • 4. TrueView “Skipppable” PreRolls: How They Work User must watch the first five seconds of an ad. After that, he can choose to skip the ad to proceed immediately to the content he wanted. With Skippable PreRoll, the advertiser only pays for what matters most-- people actually watching the ad. Advertisers are only charged when a viewer chooses to watch the ad completely or after 30sec (whichever comes first). Unique to YouTube! Source: Doublecklick Benchmark Report. 2009 Google Confidential and Proprietary
  • 5. TrueView enhances viewer experience and makes media dollars work harder Reasons for participants skipping ads I had seen the ad before 22% I am not interested in the product / service 19% I didn't find the ideas in the ad interesting 14% The ideas were not relevant to me 14% Less than half of users (45%) will always skip ads. Other reasons to skip indicate that TrueView delivers efficient reach by: • Natural frequency capping • Delivering targeted ad views Those who skipped each ad (n=259-343) Google Confidential and Proprietary Q11e. Which of the following, if any, describe why you decided to skip the ad?
  • 6. Experiment: UK based, first of its kind globally Google Confidential and Proprietary 6
  • 7. Comparison groups Lab test: Viewed Standard Pre-Roll Skipped TrueView Watched TrueView Online test: + Control group (no exposure) Google Confidential and Proprietary
  • 8. Methodology 1. Lab test 2. Online test Biometrics (132 people) Online survey (2,000 people) Eye tracking (132 people) Ipsos MediaCT. All Rights Reserved Google Confidential and Proprietary 8
  • 9. Key Findings across all participating advertisers TrueView ads drive higher viewer engagement. 1 On average, people who watched TrueView ads showed 75% greater engagement with the ad than people who viewed the same ad as a standard pre-roll. 2 Skipped ads deliver free value. With the right creative, ads can deliver impact even on those who skip. The first 5 seconds matter– so use the time wisely. Users who watched a TrueView ad were 40% more engaged during 3 first 5 seconds vs. users who saw a standard preroll. Even users who skipped a TrueView ad were 30% more engaged during the first 5 seconds vs. users exposed to a standard preroll. Google Confidential and Proprietary
  • 10. Option to skip does not distract from the ad Brand A Brand B Video Video Skip Bar Skip Bar 82% of users think the skip button is ‘very’/ ‘extremely’ clear Ipsos MediaCT and Innerscope Research Inc. All Rights Reserved. All respondents (n=2,000) Google Confidential and Proprietary 10 Q15. The highlighted button allows you to skip an ad after 5 seconds before watching a video. How clear do you think this was when the button appeared?
  • 11. Across all brands, people who watch TrueView ads are over 75% more engaged than those who see standard pre-rolls Saw Standard PreRoll Watched TrueView Ipsos MediaCT and Innerscope Research Inc. All Rights Reserved Google Confidential and Proprietary 11
  • 12. People who watch ad in TrueView format (choosing not to skip) show higher biometric engagement 100 80 Emotional Engagement 60 40 20 0 5 10 15 20 25 30 Time in seconds Saw Standard PreRoll Watched TrueView Neutral Engagement (55) Ipsos MediaCT and Innerscope Research Inc. All Rights Reserved Google Confidential and Proprietary 12
  • 13. Viewers who watch TrueView ads feel better about the brand Average across all participating advertisers (4 dif’t industries) Watched TrueView Saw Standard Pre-roll Brand Favourability +5% +4% Purchase intent +3% +2% All respondents (n=2,000) Q4. Please indicate how favourable or unfavourable you feel towards each of the following brands of [CATEGORY] using the below agreement scale. Google Confidential and Proprietary 13 Q6. How likely are you to buy any of the following [CATEGORY] in the future? / Q6. When you next come to buy a [CATEGORY], which of these would be your first choice?
  • 14. TrueView ads deliver impact– even on users who skip All respondents Google Confidential and Proprietary 14 Q8a. [Post 5 second de-branded exposure]. Do you remember seeing this ad when you watched the clips on YouTube?
  • 15. The option to skip increases user response during the first 5 seconds This is true whether the user watches or skips the ad AQ™ Biometric Scores 6 5 3.7 4 3.5 2.7 3 2 1 0 Saw Standard Pre-roll Control SkippableTrueView Skipped Skipped Watched TrueView Skippable Not Skipped Scores are aggregated across all ads within a single condition and are derived from the emotional intensity during the first 5 seconds of each target ad in that condition. Ipsos MediaCT and Innerscope Research Inc. All Rights Reserved. Google Confidential and Proprietary 15
  • 16. Key Findings On average, people who watched TrueView ad showed 388% higher 1 engagement than people who viewed the same ad as a standard pre- roll (vs. 75% average uplift across all brands). Uplift in key brand metrics was relatively consistent across formats – 2 whether a person watched a TrueView ad or saw a standard pre-roll. But we saw some indication that the TrueView format lifts brand metrics more effectively than standard pre-roll. 3 Interestingly, people who saw ad as a standard preroll showed the highest levels of brand linkage and spontaneous awareness– possibly because people who opted to watch TrueView were drawn in by creative content and less focused on branding messages. Google Confidential and Proprietary
  • 17. People who watched ad as a TrueView were 388% more engaged than those who saw standard pre-roll Saw Standard PreRoll Watched TrueView Ipsos MediaCT and Innerscope Research Inc. All Rights Reserved Google Confidential and Proprietary 17
  • 18. A single viewing of any format has no significant impact on aided brand awareness Prompted Brand Awareness 96% 96% 95% 94% Control Skipped TrueView Watched TrueView Saw Standard PreRoll All respondents (n=2,000) Google Confidential and Proprietary 18 Q3. Which of the following brands of [CATEGORY] have you heard of? Ipsos MediaCT. All Rights Reserved
  • 19. People who watched standard pre-roll report highest levels of unaided brand awareness Spontaneous Brand Awareness 7% 5% 2% 1% Control Skipped TrueView Watched TrueView Saw Standard PreRoll All respondents (n=2,000) Google Confidential and Proprietary 19 Q2. Which is the FIRST brand that comes to mind when you think of [CATEGORY]? Ipsos MediaCT. All Rights Reserved
  • 20. The standard pre-roll delivered higher brand linkage Correctly naming the Brand (amongst Recognisers) 85% 78% 64% Skipped TrueView Watched TrueView Saw Standard PreRoll Recognisers of the ad Google Confidential and Proprietary 20 Q8b. What brand or company was it for? [OPEN END] Ipsos MediaCT. All Rights Reserved
  • 21. Results suggest possible higher uplift to metrics across the purchase funnel as a result of viewing TrueView ad NB: results not statistically significant Control Skipped Ad Watched Saw TrueView Standard Preroll Favourability 48% 48% 52% 50% Consideration 17% 19% 21% 21% Purchase intent 5% 6% 7% 5% Recommendation 31% 25% 30% 28% All Respondents (n = 2000) (Q4B) Please indicate how favourable or unfavourable you feel towards each of (Q6B) When you (next) come to buy a car, which of these would be the following brands of cars using the below agreement scale. your first choice? (Q5B) Which of the following brands of cars would you consider the next time (Q7B) How likely are you to recommend each of these brands of cars you are thinking of buying a new car? to someone else? Google Confidential and Proprietary 21
  • 22. Recommendations • Take advantage of TrueView’s ability to drive higher viewer response, in addition to the efficiencies created through auction pricing. • Where sensible, include branding in first 5 seconds. This leverages heightened viewer response at this stage and ensures brand impact in all cases– whether the ad is viewed or skipped. • Consider mixed targeting strategy: Use standard prerolls to reach your target audience and use TrueView ads to achieve broader reach in an efficient way. Google Confidential and Proprietary 22
  • 23. Thank you Google Confidential and Proprietary 23