as seen on the web 200x200Online video ads are growing faster than almost any other segment – an inevitable result of the gradual shift of Madison Avenue ad budgets from mass-broadcast TV towards narrow-cast online video channels. Over 35 billion video ads a month are now being viewed in the USA.
This is a channel that offers both the biggest opportunity for performance marketers and yet also the biggest set of challenges.  A new report from BI Intelligence identifies the keys to the market.

From BI:
Online video ad revenue will reach nearly $5 billion in 2016, up from $2.8 billion in 2013, while TV ad revenue will decline by nearly 3% per year during the same time period.
Video ad views exploded in 2013, topping over 35 billion views in December, averaging over 100% year-over-year monthly growth during the year.
Online video ads are significantly more expensive than other formats, but prices are steadily declining as more publishers rush into video, and placements open up.
Video ads have an average click-through rate (CTR) of 1.84%, the highest click-through rate of all digital ad formats.

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