Now in its tenth year, the Interactive Advertising Bureau’s (IAB) annual “Video Ad Spend & Outlook” report offers marketers a glimpse at both existing and upcoming trends within the television and video industry. Working with Standard Media Index (SMI) and Advertiser Perceptions, this year’s findings examined total US digital video ad spend between 2020 and 2022 while making predictions for 2023. Here’s a look at some of those top takeaways.

• The TV and video markets showed solid growth. Despite global economic uncertainty, digital video ad spending grew 21% year-over-year in 2022, reaching a total of $47.1 billion. That number is expected to rise 17% this year for a whopping $55.2 billion dedicated to digital video advertising dollars. That makes digital video one of the fastest-growing media channels, expanding twice as fast in 2022 as digital media overall.
• Perhaps unsurprisingly, CTV isn’t slowing down. Up 22% last year, three times as many ad dollars were dedicated to CTV segments compared with social video ($18.6 billion vs. $6.2 billion). That spending correlates with what’s happening in US homes: 85% of households now use at least one connected television device on a monthly basis, up from 80% three years ago. Looking ahead to 2023, the report predicted CTV growth of 21%—which is 61% faster than any other digital video platforms.
• Creator-driven video content is in high demand. Nearly two-thirds (64%) of TV and video buyers now agree that content crafted by influencers and other creators should be considered premium. In fact, 65% of buyers are moving their ad dollars fluidly from creator-driven material to Hollywood-produced video content. “Beauty has always been in the eye of the beholder,” said Eric John, IAB Media Center VP. “That truism is playing out now in the world of video advertising as we see marketers and brands focusing and optimizing their spend not only in the traditional world of premium content, but also in the diverse, multiplatform world of creator content.”

As digital video ad spending keeps pace with viewership demands, both in terms of preferred devices and the type of content consumers want to see, marketers, advertisers and agencies have a unique opportunity to invest in these hot sectors. ER’s platform and video teams can help by bringing speed, accuracy and deep insights to every campaign, across digital or linear screens, in any region of the world. Reach out today to learn more.