Data released by Eyeblaster has revealed video advertising is performing well when placed next to editorial content, but is lagging in social environments.

The study also alleges that video advertising boosts engagement by doubling dwell time and increasing dwell rate by 20%.

According to Eyeblaster, this means that video yields double the ROI of non-video rich media.

“When it comes to online advertising, savvy marketers are using video to work both ends of the consumer funnel to drive results. Online video advertising provokes engagement and Eyeblaster’s data demonstrates that users are more compelled to play with an ad that contains video. A blend of in-stream, in-banner and floating ads allows advertisers to engage their target audience regardless of where they spend their time online,” said Gal Trifon, CEO and co-founder at Eyeblaster.

The report also indicates that in the last four years, the growth of video impressions has outpaced rich media growth by 60% and suggests that since the beginning of 2006 to Q2 2009, video impressions have increased more than seven times in the US market and tenfold worldwide.

Other findings from the video report include:

  • In-stream video ads have the highest proportion of ads fully played compared to any other format
  • Creative decisions play a significant role in ad performance: rollover user-initiated video performs best followed by auto-initiated video; click user-initiated performs worst
  • Weekdays from 9am to 5pm is users’ preferred time to watch in-banner and floating video ads
  • Relatively few users unmute video ads; auto-initiated video has the highest un-mute rate, and
  • An increase of video length by one second reduces video fully played rate by 2.8% on average.