Streaming Ad Spending Soared 57% In 2021 To Hit $15.2B, IAB Report Finds As NewFronts Kick Off In-Person Blitz

In form of newfronts Launch your first in-person edition in New York since 2019, streaming The statistics are for 2021, and the market is officially booming.

IAB, the industry group behind Newfronts, released its ninth annual report on online advertising spending, finding that connected TV spending reached $15.2 billion, up 57%. It forecasts a 39% increase in the current year to $21.2 billion, which means a doubling in CTV spending since 2020.

The functionality of these streaming purchases is the draw, not surprisingly. Three out of four buyers said CTV was a “must buy”, identifying first-party brand data, location information on audience and purchase data as key advantages.

Apart from college and NFL football, some areas of the traditional TV landscape are maintaining or increasing viewership. In addition, the impact from Covid and an array of well-fortified options in streaming led to a change online.

The IAB, in collaboration with Standard Media Index and research firm Advertiser Perception, surveyed nearly 400 video buyers across agencies and brands between February 15 and March 15 on the report.

Although CTV will account for 36 percent of the total time spent with Linear TV and CTV in 2022, according to an estimate by eMarketer, the funds currently allocated to CTV lag behind the viewership it represents only.
18% of all video advertising dollars.

For advertisers, there are more places to buy time online than there were three years ago. Since late 2019, Disney+, Peacock, HBO Max and Discovery+ have launched, and Paramount+ has rebranded and expanded from CBS All Access. Netflix and Disney are the latest major streaming players to have announced plans to include street advertising.

The month of May has traditionally seen a clash of traditional and online platforms between newfronts and upfronts of the television industry. This year, as America emerges from the worst of Covid, Newfronts will have three individual days and a full-fledged virtual day on Thursday. Broadcast TV networks, YouTube and Warner Bros. Discovery will take to the New York stages for a series of high-profile pitches over the week of May 16. For many traditional players, from NBCUniversal to Disney to Televisa Univision, linear ad sales will be combined with a digital push.