- The Interactive Advertising Bureau (IAB) and 4A's (American Association of Advertising Agencies) have released an addendum to their terms and conditions around long-form video — the first such update since 2009, a press release announced. The new guidelines are aimed at reducing delays and expenses commonly associated with preparing multiple, custom agreements, a current industry norm.
- Long-form digital video is defined by the trade groups as "professional produced content, eight minutes or longer in duration, that is dynamically ad served and delivered in a digital environment." A joint IAB-4A's working group comprised of publishers and agency holding companies developed the addendum, which covers: viewability and brand safety; cancellation and termination provisions; audience-composition and demo-guaranteed campaign terms; rules and processes for reporting and measurement discrepancies; and ad tag and materials preparation, testing and notification, as well as definitions and uses for first-party versus third- and fourth-party ad tags.
The new terms and conditions are available for public comment until Feb. 5. IAB and 4A's will incorporate any feedback received and release the final version. The update is intended to be used voluntarily by buyers and sellers to address the technical and business issues with long-form video advertising.
The addendum reflects marketers' growing interest and investments in long-form video content and, stemming from that, a demand for fleshed-out industry standards for how these formats are bought and sold as advertising. Businesses were estimated to have spent $135 billion on online video last year, 2x the amount they spent on TV spots, according to research from Magisto. A high volume of spending comes are marketers try to keep up with consumers' shifting viewing preferences, particularly toward mobile — a channel where video now accounts for 55% of traffic.
Long-form video can take different forms, including sponsored content done with publishers or the Hollywood-inspired type of content marketing made popular by brands like Marriott with its viral "Two Bellmen" series. While it's easier for short videos to be viewed in their entirety, long-form content accounts for 63% of time spent watching videos, according to Ooyala's Q1 2017 Global Video Index. Long-form video makes up 98% of all time spent watching video on connected TVs, 81% on tablets, 65% on computers and 55% on smartphones, the group found.
Social media platforms like Snapchat, Facebook and Instagram are also investing in premium video as a way to lure away TV advertising dollars. This presents an opportunity for brands, and the IAB and 4A's guidance could help streamline the ad-buying process. The organizations have additionally created a checklist to help buyers and sellers begin negotiating for long-form video contracts and ensure that everyone understands insertion orders and a campaign's parameters.