As advertisers, we often wonder where exactly all those impressions are going when we do a placement and more importantly, are people really seeing them. Now, YuMe is giving us answers to those questions with their new video ad Placement Quality Index, announced today.
The new YuMe Placement Quality Index (PQI) is a proprietary algorithm that monitors and identifies the optimal placement of video ads on digital properties. Whew, I do not envy it its task because that's some serious mathematical heavy lifting. I do give props to YuMe for initiating this project though because it's exactly what the industry needs, some way of telling the advertisers what kind of results they should expect based on particular placements.
Here's some info from the press release (why reinvent the wheel, right?)
YuMe's PQI algorithm is a composite function of key performance metrics that are important to brand marketers including: interaction rate (IR), video completion rate (VCR), video player size, player on-page location, among many others based on campaign objectives. A baseline PQI is calculated continuously for YuMe's Connected Audience Network, so new campaigns can be evaluated in real-time against the average performance of the entire network. Additionally, as the campaign progresses, the real-time PQI calculations allow YuMe to automatically adjust campaign placements to optimize overall performance. As a result, the PQI highlights new opportunities to maximize the value of each impression per the advertiser's desired price point, ensuring that each advertiser gets what they pay for. Placement quality is a critical component of YuMe's 8 Essential Elements for successful video advertising.
Some recent testing was done to see if the PQI was pulling the proper stuff together and if the numbers it was assigning were actual representations of quality.
Here's a bit more from the YuMe release:
YuMe has conducted extensive testing to demonstrate the impact of utilizing a PQI-based media allocation compared to a traditional site-list based media allocation on video ad campaign performance. In one instance, YuMe compared a set of 10 campaigns with major travel and telecommunications brands utilizing the PQI algorithm against 10 campaigns that opted out. These campaign sets and audience targets were identical, and the associated creatives were placed on the same digital publisher properties. Key findings of these tests include:
- PQI optimized video ad campaigns yielded a 215 percent lift in Interaction Rate (IR) as compared to campaigns which were not.
- PQI optimized video ad campaign yielded a 90 percent lift in Video Completion Rate (VCR) as compared to campaigns which were not.
PQI ultimately proves that site lists are less important than the actual placement on a page. One site might perform well for one campaign and quite poorly for another. PQI unearths valuable publisher inventory wherever it might exist based on the campaign type and goals.
The PQI is just one facet of what YuMe believes makes for a quality, valuable online video campaign. They have a list of 8 Essential Elements they think every brand should be looking at when they are creating and placing their video advertising campaigns.
- Ad visibility assurance: YuMe's viewport detection solution guarantees that no impressions will go unseen, so every video ad impression truly extends reach and brand awareness.
- Brand-safe distribution: YuMe ensures ads are associated with safe content to protect brand equity. Since video ad players are portable, YuMe's brand security measures follow the video player wherever it goes to guarantee protection.
- Cross-screen compatibility: YuMe enables marketers to reach any screen their customers are viewing, be it a computer, mobile device, or connected TV. Moreover, advertisers can build their YuMe Ads just once and run them on all screens.
- Premium, 100% in-stream video inventory: User-initiated, well-lit video ad placements on quality publisher properties and applications yield high brand impact and optimal branding opportunities.
- Video ad placement on professionally-produced content: YuMe ensures that the brand message is always paired with high-quality video content for brand credibility via the first-ever Placement Quality Index.
- Highly interactive video ad units: Socially rich ad units drive brand awareness, favorability, recall, and purchase intent for immediate brand engagement.
- Advanced, guaranteed audience targeting: YuMe delivers ads to the right audience using a variety of targeting techniques to meet audience guarantees, ensure relevance, and maximize brand favorability.
- Powerful analytics for brand performance optimization: YuMe provides instant, actionable insight into video ad campaign performance across all connected devices.
The PQI is an interesting piece of the online video advertising puzzle. It could definitely help raise the bar in terms of video ad campaign performance. If it continues to post positive optimization results, even across placements on the same site, that could definitely be the impetus for major advertisers to move some campaign buys to them and force other online video ad networks to do the same. Optimization appears to be the new driving force in online video ad placement as it should be. We, as an industry, are too far evolved now to simply do the old shotgun approach to online video advertising. We should, with all the data available to us, be able to place video ads that are more like homing missiles, targeting and hitting the exact audience that we are looking to impact with our ads.