www.innovid.com

2015

2016

2017

2018

2019

53.8% of the population will be digital TV viewers in 2019.eMarketer, February 2015

Audiences will spend 14.5 hours per week watching

OTT video by 2018.The Diffusion Group

By 2018, $31.5 billion in ad revenue has will be

funneled toward OTT.The Diffusion Group

$31.5billion

14.5hours

53.8%viewers

THE GROWTH OPPORTUNITY IS CLEAR

Traditional and digital companies are combining their powers to create

the ultimate digital experience, and audiences will continue to latch on.

Interactive videoformats deliver

more than double the purchase intent

(225%)compared topre-roll ads.

IAB

Interactive adsdelivered on Roku have an

average completion rate of

94.8%Innovid State of Interactivity

Report, Q4, 2014

Audiences spendan average of

58 extra secondswith interactive video ads over

standard pre-roll.Innovid State of Interactivity

Report, Q4, 2014

Interactive mobile video earns

165%more engagement

over desktop.Innovid Interactive Video

Benchmarks, Q1 2015

SO WHAT DOES THIS MEANFOR ADVERTISERS?

Interactivity is a must. As digital continues to capture an

always-on, interactive audience, advertisers are finding ways to match their desire

behaviors with immersive forms of content.

of consumers are morelikely to buy from a

company that deliverscustom content.Custom Content Council

of users select movies based on Netflix’s recommendations.

Gigaom Research

of consumers find custom content useful.Demand Metric, 2014

And relevant content is a given.

Let’s face it, these days there’s no excuse for pushing out one-size-fits-all content.Consumers want their content tailored—ads included.

61% 75% 90%

THEIR TIMEWith traditional cable fading, the living room

is becoming digitized and content consumption is dramatically rising on OTT devices.

(Go outside and play!)

37

millionhours of video

streamed per week on

15

millionhours of video

streamedper week on

12

millionhours of video

streamedper week on

6

millionhours of video

streamedper week on

VARIETY4 2014

THEIR CHOICESIt’s a content-driven world and consumers

are gladly along for the ride.

21.2million

HBO subscribers say they areinterested inswitching to HBO Now

Cord Cutters News

has more than

1 billion

usersYouTube

has

61.4 million

worldwidesubscribers

Forbes

has

50million subscribers

Geekwire

has

6millionsubscribers

TechCrunch

And traditional cable is startingto play second fiddle.

Traditional TV viewing among 18-24-year-olds in Q4 2014 was

down by more than

17%

Marketing Charts

5 millionpeople have dropped their traditional

cable subscriptions since 2010. Citi Research, Company Reports

And consumers aren’t particular aboutwhich device can deliver the goods.

138.8 million people own connected TVs

eMarketer, March 2015

107.1 million people watch video onsmartphones

eMarketer, March 2015

100.5 million people watch video

on tabletseMarketer, March 2015

146 million people watch video on

computers monthlyNielsen Total Audience Report,

Q4 2014

THEIR TERMSWherever, whenever—audiences

have taken to online TV.

388% in 2014

Adobe U.S. Digital VideoBenchmark Report, 2014

Online TV consumption increased by

107.1m 100.5m 146m 138.8m

IMAGINE: It’s 2005.Sunday night. 8PM. The family is

gathered around the tube waiting for their weekly program to begin

after a nice meal together.

In just a mere decade,the traditional living room has changed

dramatically. The pastime of comingtogether — at distinct times and places — to

consume content is fading.

Now fast forward to 2015.

While traditional TV is still a $150 billion market, more devices, more demand and a lot more digital possibilities, have audiences consuming content on

THEIR TERMS, THEIR CHOICES, and THEIR TIME.Luma Partners: Future of TV, 2014

The New Living Room & What it Means for Advertisers