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Cable TV Influences In-Stream Video Prices

by Wayne Friedman

April 8, 2015

Traditional cable and network TV content continues to heavily influence digital in-stream video media prices, according to a new report.

Media planning software provider SQAD says, for example, that “many of the highest in-stream video CPMs [cost per thousand viewers] reported in December had some kind of network or cable affiliation, such as CBS, Fox, NBC or CNN.”

Tom Adams, director of SQAD WebCosts, said: “This leads us to believe that traditional cable and network TV continues to heavily influence digital in-stream video CPMS.”

SQAD says in-stream video advertising in 2014 averaged a $24.20 CPM for all viewers.

Looking at overall broadcast network viewer CPMs in 2014, NBC was at $34.56; CBS, $29.92; and ABC, $22.41. This average was about $29.00, approximately $5 more than the $24.20 all category, in-stream average.

Broadcast network TV CPMs continue to be the most expensive against key advertising 18-49 viewers — averaging $43.06 CPM. This was down 2% from the previous year. Cable TV CPMs, which average $15.11 for 18-49 viewers, also dropped — 3% in 2014 from the year before.

SQAD did not have comparison 2013 data for in-stream video ads. Display ads were the least expensive medium, averaging $10.85 CPM.