Over the past two months, a heated discussion has emerged in the media about the rise of ad blockers and their negative impact on revenues for advertising-supported media. Advertisers, agencies, and publishers are all weighing in, which is unsurprising given that ad blockers represent a significant challenge for the publishing industry.
Most media companies are familiar with the findings of the August 2015 study revealing that nearly 200 million people use ad blockers, reflecting a 41% growth rate compared to the previous year. The same report estimated that publishers lost nearly $22 billion in advertising revenue in 2015 due to ad blockers. Although the report covered all types of online advertising, the higher CPMs of video ads suggest that ad-supported video publishers are particularly vulnerable. The problem is further compounded by the introduction of ad blockers on mobile devices, such as Apple’s content blockers with iOS 9, as mobile devices increasingly replace desktops as the primary platform for media consumption.
Both sides of the debate have valid arguments. Proponents of ad blockers argue that advertising technology has become intrusive and overwhelming, and ad blockers are necessary to protect consumers from aggressive, poorly designed, or unwanted ads. They believe this is the only way to preserve the user experience.
Conversely, media companies criticize ad blockers for their “all or nothing” approach, which threatens advertising associated with premium content and undermines the economic model of ad-supported publishers. Many in the industry warn that widespread ad blocking could ultimately harm consumers. Lisa Valentino, Chief Revenue Officer at Condé Nast Digital, summarized the issue, stating: “If we block every ad out there, there will be no content.”
At Brightcove, we are committed to helping our customers deliver engaging video experiences that entertain and connect with audiences, enabling media companies to monetize their content without alienating viewers. To achieve this, we’ve developed market-leading player technology designed for high performance (fast loading and publishing) and flexibility (enhanced experiences via HTML, CSS, and JavaScript). Additionally, our server-side ad insertion technology ensures seamless video and ad delivery across devices, offering a TV-like experience.
Recognizing the need to support both content creators and audiences, we introduced Brightcove Lift—a solution that combines server-side ad insertion with advanced player technology. Brightcove Lift enables media companies to bypass ad blockers while delivering high-quality ad-supported video experiences on both desktop and mobile platforms.
Mobile devices present particular challenges for publishers and consumers alike due to latency, buffering, timeouts, and other rendering issues. Brightcove Lift addresses these challenges by ensuring consistent ad delivery across all mobile devices, regardless of manufacturer or operating system.
Early results from Brightcove Lift users are promising. They have successfully mitigated revenue losses from ad blockers and display issues, while also achieving significant revenue increases. At Brightcove, we believe Brightcove Lift will empower media companies to continue creating outstanding content and video experiences for their audiences.
