Why Video Advertising Will Surpass Linear TV Ad Spending?

The pandemic has resulted in more focus on brand building due to which the brands have started showing interest again in TV ads. The demand for traditional TV ads started rising which also further led to the increase in their prices. On the other hand, since people have not been using traditional TV ads for quite a while, the supply started shrinking which also caused the increase in their prices.

In 2022, there is a possibility that the cost of TV ads will increase by 11 percent which is greater than the expected increase in the cost of radio and digital display ads. The increase in the cost of TV ads suggests that more people will start shifting towards other platforms for advertising.

In 2022, the total ad spend is expected to increase and it will have a lion’s share of digital channels. It indicates that digital channels will continue growing speedily. So, for the first time in history, digital channels will do better than linear TV ad spending this year. Social media advertising is expected to show growth by 14.8 percent. As a result, the revenues driven by social media advertising are expected to reach $177 billion. The growth is also because of the innovation of new platforms like TikTok.

Other than social media, online videos are expected to show growth by 14 percent. It will include the growth of advanced TV ads and connected TV streaming, which are the two biggest areas of innovation for traditional marketers and advertisers. Video advertising and social advertising both are expected to do better than linear TV ads. However, TV ads, as a whole, will remain above social ads.

The expected increase in the spending on video advertising will be about $29 billion by 2024, the next year. It will become more than half the size of traditional TV ads. The growth in video advertising is expected to be around 47% which will rise even above the growth of social advertising which is 29% almost, according to the estimation. 

If we take the variant of coronavirus and lockdown into account, the growth in retail business will increase even more than the video and social ads. It will attract more people to the e-commerce business as consumers will shift to online shopping.

Another significant revelation about video ads is that they are being viewed on mobiles mostly. Mobile videos ads incorporate a major part of up to 84.5% of digital video ads. In 2021, the video ads on mobile have increased by almost 17% and they are expected to increase even more this year.

With the increase in the growth of video ads, it is also important to acknowledge that more than 70% of video ads are programmatic. Programmatic video ad refers to the system of buying ad space by setting the prerequisites of the ad which include the ideal audience, budget, and access to the ad. It requires user data to validate whether a certain video ad is suitable for the selected audience or not. The targeting helps improve the chances of conversion and further lowers the cost. The programmatic videos are continuously growing because of their better speed and quality.

Here are a few advantages related to programmatic video ads that you should know to further understand why video advertising is doing much better than linear TV ad spending.

Targeted Audience

The linear TV ads take space on the screen for a specific period. However, it reaches different types of audiences without keeping a specific audience in mind. But when you choose a programmatic video ad, it uses the behavioral data of the audience to make the ad more effective. This way, the video ad aims at the target audience which increases the probability of the video ad’s success.

Flexible Campaigns

The programmatic video ad campaigns are flexible, so you can tweak them according to your needs and preferences. You can adjust the information and other parameters of the campaign to meet your goal.

Cross-Channel Advertising

The programmatic video ad has a wide reach because it uses a cross-channel advertising method. It targets its audience through both desktop and mobile. TV sets can also be used to fulfill the purpose of a programmatic video ad.

Check and Balance

While using a programmatic video ad, you can keep a check and balance on the performance of the ad. This way, you won’t have to rely on a wild guess regarding the success of your ad. Instead, you will use proper data to analyze how successful your ad has been in the past months or years. It will further help you improve the ad to achieve your desired results.


The algorithm of programmatic video ads does the work for you while you relax and make your decision accordingly. When you choose a programmatic video ad, you don’t have to build any relationship directly in real life with the sales team or buyer. All you have to do is provide enough information to the algorithm to make sure that it leads you towards the calculated and informed decisions.

After analyzing the importance and benefits of programmatic video advertising, you should also know that it is not all sunshine as it has some challenges as well. Since you will be relying on a third party for the display of programmatic video ads, make sure you use an authentic service to collect data. It must take proper safety measures to protect the system from any hacking or fraud.

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