MUMBAI, INDIA: Naren Nachiappan, MD, Jivox India, says: "Video is the new emerging medium for online advertising and is set for rapid growth in India.

Nachiappan was addressing the fourth conference on 'Digital Marketing', organised by The Internet & Mobile Association of India (IAMAI) at Mumbai today.
 
He emphasised that online video is a powerful medium, which can capture the attention of internet users better than comparable text and/or static images. This is best reflected in the increased click through rates, with video advertisements generating click through rates that are between 20 and 40 times higher than the click through rates of other forms of display advertisements.
 
In addition, the information content of video is substantially higher than the information content of other forms of display advertisements; this is a metric, which is particularly valuable and appreciated by Internet users who are typically looking for deeper engagement with a brand on the internet. Video satisfies this need and allows for an experience which has a higher recall rate and a much higher probability of generating user action. 
 
The major constraint that prevented wide-spread adoption of online video advertisements was beacause of low bandwidth. However with the huge anticipated increase in broadband users in India, there is bound to be an increase in the demand for online video ads.