EUROPE: Nearly all European video buyers are using programmatic to some extent and almost all are planning to bring programmatic buying capabilities in house within the next 12 months, if they haven't already done so.
These findings come from the European State of the Video Industry report from AOL, which collected quantitative data on digital video from 411 brands, agencies and publishers in the UK, France, Netherlands and Germany.
Nearly all video buyers (98%) in those European markets surveyed – the UK, France, Netherlands and Germany – were already buying video programmatically; an average of 39% of their total video budgets were being channelled this way and that figure was set to rise to 43% in 2016.
On the sell side, 97% of those surveyed were selling digital video programmatically, with three quarters of those making their premium video inventory available for sale via programmatic buying.
Of the brands surveyed, nearly half (48%) said they had brought programmatic video buying capabilities in-house, while 47% were planning to do so in the next 12 months. Only 5% said they had not, or had no plans to do so.
That will be disappointing for media agencies, whose expertise in this field was questioned by around one third (35%) of brands.
But that was not the main reason for the shift taking place. Some 59% of brands polled said it brought greater efficiency to their planning, buying and reporting, while 57% cited the ability to integrate with in-house automation and CRM systems.
Linked to all this is the recognition of the value of data and the need to address associated issues of quality and safety – this was the top challenge for buyers, cited by 50%.
If agencies are to tackle this in-house shift, they will need to "advance their value proposition and more closely partner with brands and media owners", AOL advised.
Not only will they have to be able to supply programmatic expertise, they will also need to do so with a level of transparency that reassures clients they are making the best decisions for them.
Data sourced from AOL; additional content by Warc staff