In-stream, digital advertising set to hit $7.6BN in 2012

In-stream and digital video advertising momentum rolled forward 52.1% in 2012 to $7.6 billion, capping off a nine-year CAGR run of 62.5%, with more growth ahead, concludes an inventory and spend report by AccuStream Research.

The ecosystem's twin pillars, in-stream and in-page formats, own a combined 86.7% share of the sold market. Third-party video ad networks cleared a 21.4% piece of the $2.5 billion in-stream total.

Research data explains notable adjustments being made to available in-stream inventory (pre/mid/post-roll), and corresponding media spend specifically, by site, network, channel and service. For one, the expansion of mid/post-roll inventory supporting premium broadcast network properties and cable channel sites which have been allocated inside Hulu and YouTube has been pronounced.

As a result, in-stream insertion frequencies have increased over the past year, and now stand at 1-to-1.04 (or 1-to-2.72 when including YouTube), up from 1-to-1.6 in 2011.

In-page impressions continue to pace the market, capturing 53.5% of total video spend in 2012. However, emerging platforms and environments (mobile, social and OTT/VOD billings) are forecast to generate 23.4% share by 2015, up from 10.3% today.

Mobile/tablet in-stream video advertising is surging, advancing 235% in 2012, with inventory cleared directly and effectively though mobile ad networks, the research found. And as a final highlight, overlay placements more than doubled in 2012 to 189 billion impressions.