COLOGNE — Today, the price advertisers pay for ads in online videos is set by the number of impressions or clicks from that video. But things are starting to change, says one ad tech vendor.
“The pricing for video right now is predominantly CPM,” Tal Chalozin, CEO of Innovid, which helps turn video ad spots in to interactive ad spots, tells Beet.TV in this video interview. “However, a lot of people are now judging this investment by the ROI that they’re getting.”
Chalozin’s company helps introduce clickable, hoverable, swipeable and expandable elements in to video advertising, so that users can dive in to ad content – and advertisers can turn on viewers. In this world, the time viewers spend inside a video is becoming part of the currency.
“On a regular video with no interactive elements on top of it, you can only spend at most 30 seconds,” Chalozin says. “But, f you are Netflix and the consumer is interested in the latest show, you can spend more time. This is the biggest KPI we see brands measuring.”
This video is part of series of Beet videos produced at DMEXCO, presented by FreeWheel. For more videos from the series, please visit this page.