Tuesday, 13 May 2014
Digital Online Video exploding. New BusinessInsider Report. It's becoming more watched that TV and has the highest click-through rate.
The very reliable BusinessInsider has published an interesting report into digital video.
It might come as no surprise (hopefully) that digital video is skyrocketing.
Online video ads are the fastest growing medium outpacing TV. They exploded in 2013 and trust me, continue to do so in 2014.
Over 35 Billion video ads were viewed in the US in December alone. Largely because they give clients an opportunity to give longer narrative (because they're longer!) and more engaging content through storytelling, which 30 seconds on TV restricts you from doing.
They also of course, come with the benefits of all things digital such as low cost media placement and tracking.
BusinessInsider estimates that digital video will take $5 billion in ad revenue by 2016 ($2.8 billion in 2013), growth of +100% year on year (yoy) and the highest click through (just under 2%) of any other digital format. Of course, if you're prepared to watch a 2 or 3 minute video online, you're likely to be more prepared to click through because you've been engaged.
One thing you can't do, is click a TV Commercial....
The growth in domestic use of streaming devices, better Internet connectivity and indeed, more savvy PC users almost assures the growth. As more go online, the Opportunity-to-see (OTS) video, increases.
Viewability of course is the issue too - if your video is no good, then it won't be watched.....but that applies to all other Ad formats too.
Advertisers need to start increasing their investment in what is generally, low cost digital video. Low cost from a Production perspective and low cost Media. The days of 50k and 100k and more on TV Commercial Production are over with Digital Video costing 1k-5k generally.
And just as good. In fact, a whole lot better.
As BusinessInsider say too, much more watched.