One of digital marketing's greatest strengths is its ability to target consumers on an individual level. The efficiency of such campaigns grows each day and makes it a very attractive channel for advertisers.

Video advertising is one such marketing channel. Faster Internet speeds and video-friendly mobile devices have triggered an explosion of video consumption, and video content creation has followed suit. This presents great opportunities, but restrictions on how advertisements can be delivered often puts a ceiling on the true value of such marketing channels.

That's about to change, though, and it's all thanks to something called live ad insertion.

The One-Size-Fits-All Video Dilemma

As video content has risen dramatically in popularity, the ability to deliver ads relevant to consumers has been limited. Ads have traditionally been fixed within a piece of video content, which means the relevance of an ad can vary from one consumer to the next.

This isn't exactly a disaster, but it does limit the value of those ads to consumers, thus lowering their potential returns. This is why live ad insertion has the potential to spur on such significant change. By solving the problem of video advertising's one-size-fits-all approach, brands can get more value from their video campaigns, thus driving up value and encouraging the further maturation of digital video content.

Consumers are going crazy for video. According to a recent study from Adobe, growth in online video has surged even in the past year. Video consumption among consumers jumped 43 percent in Q2 of 2014, compared to rates from the same quarter one year earlier. In total, 38.2 billion free videos were watched online in a three-month span.

Between free video and subscription-based viewing — online TV video consumption enjoyed a startling 388 percent increase in viewership — there is overwhelming evidence that the growth in online video is attributable to trends and behaviors that will only become more significant in the coming years. And video is triggering other changes that are stabilizing the content creation industry, particularly where ad spending is concerned.

Here's a simple overview of how the growth in online video occurred, and what it means for marketers.

The first viral sensation of the holiday season is a master class in video advertising: the U.K. retailer John Lewis unveiled its new Christmas ad featuring a little boy and his beloved penguin, Monty. The spot was posted to YouTube on Nov. 6, and has been viewed more than 15 million times. The annual holiday videos have become an institution in the U.K. and, according to Mashable, John Lewis spent £1 million on the clip, hoping to push awareness on a global scale.

If you're a small business with a local presence, you don't have millions of dollars to spend. However, the viral success of the John Lewis clip demonstrates how video advertising has the power to boost brand visibility through the power of emotional storytelling. Most consumers probably weren't in the mood for heartwarming holiday ad spots in early November — or so they thought. But because the content of the video is so creative and sweet, John Lewis was able to successfully convert an audience of Grinches into Santas-in-training.

The good news is that leveraging video advertising to engage and build brand awareness with holiday shoppers can be achieved even without a million dollar budget. Here are some tips to help you create excitement with your campaign.

Digital video advertising is one of the fastest-growing opportunities marketers can leverage today — but is it mature enough as a format to replace the television ad spot? It's one of the most promising of online advertising formats, but there are many components of digital video advertising that are still in development, making the need for standards and best practices essential. Marketers can combine the powerful results of the classic TV ad with the exciting new interactive features of online video to create modern, eye-catching campaigns that build brand loyalty. Here are some things you should know before you begin.