US online video ad spend forecast for 40% yoy increase in 2012

According to new research released by eMarketer, online video has reached critical mass among US internet viewers, predicting 169 million people, or 71% of US internet users, will be watching online video each month by the end of 2012.

eMarketer estimates US online video ad spending (not all of which is placed against video) will enjoy an aggressive 40% year-over-year increase from 2011, topping $3.1 billion in 2012.

Findings from Break Media highlight areas of online video advertising North American companies are looking to leverage in the next 12 months. According to the digital video publisher, pre-roll will continue to be a favoured ad format, with 63% of advertising decision-makers planning to place pre-roll ads in 2012.

More than half (53%) of respondents will also maintain their use of in-banner ads, down slightly from 59% in 2011, a likely result of growing interest in newer ad formats such as mobile video and connected TV.

Though only roughly a quarter of respondents plan to run connected TV ads in the coming year, that percentage is double what it was in 2011.

The full research can be read at eMarketer