Digital Video Advertising

The consumption of content in India moves towards digital formats. Cheaper internet tariff and the broadband facilitates the higher investment in digital content. There is increased production of digital videos, and FMCG companies show a tilt towards the video. The ad spend on digital video is 33 per cent of the total digital budget ( DAN Digital Report, 2019 ). The FMCG brands spend the rest of their digital budget on social media ( 28 per cent ) and display. ( 24 per cent ). E-commerce spends the largest share on search advertising ( 43 % of its digital budget ) closely followed by BFSI sector ( at 38 per cent ).

FMCG spends heavily on TV. Thus its digital spending becomes interesting. Younger generation is targeted through Instagram and SnapChat and the middle-aged audience through Facebook. Advertisers also look at the OTT platforms where they have the opportunity to connect with the buyers who match the mindset they are looking for. YouTube too is an option, but it is a giant and a brand could get lost there.

The issue of RoI on digital remains. How could it be calculated ? It cannot be used as a substitute for TV. When the objective is to build awareness, it can be measured by the number of views / clicks that the brand receives.

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