VOD ad market rate cutting

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The UK online industry is trying to boost the embryonic VOD market by reducing ad rates and standardising media buying.

NMA reports that ITV and Channel 4 have cut their online video rates from CPMs of £40 (E45) to around £20. Media buyers said it was a conseqience of increasing competition – SeeSaw, YouTube, Hulu, etc and the increase in long tail inventory.

The moves come as the Interactive Advertising Bureau offers its US Video Ad Standards Template (VAST) to UK publishers, including Channel 4 and ITV, in a bid to secure trust and spend in video-on-demand. VAST allows advertisers to plan and manage pre-roll, in-stream and display ads across a range of publishers' video sites by embedding code which enables campaigns to be managed from one place.


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