7 October 2014,
Organic Traffic

October-2019-PDF-Calendar-Style-6-PNG“Static display ads are so 2014!”

That’s what they’re going to be saying in 2019, when video ads rule the internet airwaves.

Forrester just released their latest North American Online Display Advertising Forecast and the numbers are incredible.

They predict that US online display advertising will grow from $19.8 billion this year to $37.6 billion in 2019. That’s a compound annual growth rate of 13.7%.

By comparison, the offline market is expected to grow at an average annual rate of only 1%. Dollar wise, offline is still way ahead of online with a whopping $239 billion in revenue but it’s a continuation of a shift that started a few years ago.

Fueling the online fire is the move from static (or bouncing) banner ads to truly interactive, engaging forms of advertising.

Video and Mobile Continue to Climb

Forrester predicts 21% annual growth for video advertising. That means video will be responsible for more than half of all desktop online display ad revenue by 2019. Part of the reason for the growth is that video translates well on mobile.

Mobile is expected to rise 24.5% CAGR making up 38.6% of total online display ad revenue.

Here it is, all mapped out for you. (Courtesy of Forrester Research)Forrester 2019 Growth


Static images and text ads are on the decline. It’s a slight slope but clearly these old school ads are on the way out. Text ads work on a Google search results page but when you see them on a blog they just look dated. Rich media in general is on the rise but video is likely to overtake it in the next two years.

As we move toward more engaging ads, we’re also going to look for new ways to measure success. Counting clicks is fine – though you can run into an issue with click fraud – but we should also be looking at time on task and sharing. Are people watching your entire video message? Are the majority of people hitting “skip” on YouTube. Why are they hitting skip? Is it badly targeted or maybe you need a more compelling pitch at the start of the ad.

The same goes for other types of rich media ads. Are people sharing your content with others through social media? Are they playing your games and taking your quizzes?  The longer someone stays engaged, the more likely they’ll be to remember your brand. I might not be interested in your hotel now, but which hotel chain am I going to think of when I have to go away on an unexpected trip next month?

I’m excited to see what advertisers will come up with because as a customer, I feel bad when I click to skip or close or ignore your ad. I want to engage, you just have to find a way to get me excited enough to stick around for the full ride.

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