The Great Transition — Where Do TV Ad Dollars Go?

The Great Transition — Where Do TV Ad Dollars Go?

This IDC Perspective discusses the shift in U.S. TV and video advertising spending and its implications for brands and agencies. The expected shift in investment comes primarily because of marketers aligning budgets to better match their audience's media consumption behaviors as well as the myriad of measurement and targeting benefits offered by digital video. While the advertising ecosystem remains underdeveloped, the size of the opportunity means it behooves advertisers to start investing in the channel despite the challenges inherent in doing so."Advertising spending on digital video is poised to accelerate dramatically by 2025. While overall video advertising spend will grow moderately during this time, we will see a significant shift in the way video budgets are allocated," said Karsten Weide, VP for Media and Entertainment at IDC. "Marketers will want to move quickly to take advantage of fast-growing video channels, especially mobile video and CTV."

Please Note: Extended description available upon request.

Executive Snapshot
Situation Overview
As Cord-Cutting Accelerates, Marketers Shift Budgets from Linear to Connected TV
Both Mobile and Desktop Video Advertising Will Increase, But the Bulk of Growth Will Come from Mobile
Digital Video Trumps Linear TV for Targeting, Personalization, and Tracking
Linear TV Will Continue to Be an Essential Media Channel
Advice for the Technology Buyer
Advice for Brands
Advice for Agencies
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