Statistics: Online Video Ads Convert
Posted by Interactive Videos Digger on February 1, 2008
According to a study by Burst Media, barely over half of all viewers of online video will tune out after seeing an instream. Here are some highlights from the original post:
According to Burst Media’s numbers, slightly more than half of all online viewers recall seeing an instream advertisement (defined as either a pre-roll, mid-roll or post-roll advertisement).

…of all respondents, 50.7% stop watching an online video once they encounter an in-stream advertisement, and only 43.2% stay to watch the ad and the rest of the video. The study didn’t delve at all into response ratios at all, which is one of the reasons I think the report tends to skew the results a bit too far into the negative category.

If under half watch the advertisement, and then 45% of those folks respond, you’ve got around a 25% viewer to response ratio, a not insignificant number. Likewise, of all the folks that will view a video, 12.9% will end up buying the product, requesting a free trial, or ordering a subscription.
Essentially, what I’m saying is that we’re looking at a glass half-full/half-empty situation here, but video advertisement still has the highest return on investment of all other forms of advertising when you disregard issues of targeting. As such, the results of the survey look much more like a net positive upon deeper digging than they might on first blush.
Original post here