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Video Enders Analysis Channel 4

UK online video advertising market to be worth same as Channel 4 ad revenue by 2016, predicts Enders

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By Ishbel Macleod, PR and social media consultant

December 4, 2014 | 2 min read

The UK online video advertising market will be worth the same amount of ad revenue currently earned by Channel 4 by 2016, according to research from Enders Analysis.

Its video advertising forecast has predicted that by 2016 online video advertising will be worth £961m.

The 2013 figure for UK online video advertising was £325m - with Enders estimating that this will increase to £529m for 2014.

In 2013 Channel 4 earned £846m in advertising and sponsorship revenue, rising to £935m with UKTV channels included.

Enders told The Drum that Channel 4 was only mentioned by way of giving a sense of scale to the online video advertising market and how fast it has grown over the last few years.

It was noted that its predicted figures are based on gross advertising spend including agency commission; TV NAR and in-stream video ads only, while Channel 4's advertising figures are net of agency commission.

Enders also compared UK online video advertising to that of TV advertising as a whole. While online video is set to increase to £961m of revenue by 2016, TV advertising is also predicted to increase. Sitting at £4.37bn in 2013, advertising spend on TV is predicted to reach £4.84bn in 2016.

Speaking at the Westminster eForum Monetising Digital Content Seminar in London on 2 December, Claire Enders pointed out that it was important for content producers such as this – especially in the news environment – to not just focus on YouTube in the video market, especially if looking to make money.

“YouTube is really a barker channel for your video products,” she said.

Research from the International Data Corporation (IDC) found that 90 per cent of the UK online video audience can be reached programmatically.

The last month has seen a string of acquisitions in the video ad market, with Yahoo snapping up programmatic video ad platform BrightRoll for $640m, and AOL buying Vidible earlier this week.

Video Enders Analysis Channel 4

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