iPad video ads capture viewers, for longer

Apple is winning the battle of click-through video ads according to US mobile video network Rhythm NewMedia’s Q3 report.

While purchases of the iPhone are being outpaced by Android devices, Apple is generating a click-through rate of 1% on its interactive pre-roll ads, compared with 0.75% for Android phones.

And for Apple it gets better still, as there is a 1.5% click-through rate for iPod touch and a 2.5% rate for the iPad, something that seems to support recent Nielsen research suggesting that iPad users were more receptive to adverts than users of other devices (including the iPhone).

With the iPad benefiting both from its “novelty” value and its large “amazing quality screen” according to Rhythm CEO Ujjal Kohli, the rate of viewer abandonment within the first 10 seconds for mobile video was 6% compared to 20% with online video.

However, those mentioned in the Nielsen report were “OK with advertising” if it meant accessing free content, while the adverts served by Rhythm are against premium content.

Kohli points to a shift towards ad-based mobile video, declaring that “premium content is the fast growing category”, and is backed up by the Q3 growth in Rhythm’s content views of 30% to 425 million compared to the demise of subscription-based competitor FLO TV.

Rhythm’s network contains content from about 100 publishers including the Discovery Channel and CBS News.

Entertainment and consumer-packaged goods accounted for nearly a half of all campaigns in quarter 3.

Mobile advertising is due to see significant growth over the next two years and the future,  even when considering that this honeymoon period is likely to end,  looks bright.