OTT Ad Inventory Rises as Virus Boosts Viewing

With more people at home to prevent the spread of the coronavirus, over-the-top viewing is up, resulting in a 16% increase in video ad inventory, according to SpotX.

The increase fits in with predictions made by Nielsen, which noted that when disasters drive consumers indoors, viewing can jump as much as 60%.

Not all of the additional advertising inventory is being converted into revenue at this point. 

SpotX notes that there are certain categories, such as the travel and hospitality industries that have heavily reduced or totally halted ad spending.

Related: Media Usage Expected to Rise During Crisis: Nielsen

On the other hand, there are some areas where linear spending is being reallocated to OTT, particularly in cases where sponsors had planned to advertise in live sports events. Nearly all sports events have been cancelled as players have tested positive for the virus and crowds have been discouraged in order to slow the spread of the disease.

Jon Lafayette

Jon has been business editor of Broadcasting+Cable since 2010. He focuses on revenue-generating activities, including advertising and distribution, as well as executive intrigue and merger and acquisition activity. Just about any story is fair game, if a dollar sign can make its way into the article. Before B+C, Jon covered the industry for TVWeek, Cable World, Electronic Media, Advertising Age and The New York Post. A native New Yorker, Jon is hiding in plain sight in the suburbs of Chicago.