Online Video

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I have been spending a lot of time working with online video advertising of late and wanted to share some facts.  It is an important space, and as most media and marketing people know,  a fast growing one.  The world of television (content producers and viewers) continues to move rapidly online.  And many people are also creating and distributing original video content online (i.e. not from traditional content producers).  Annoying Orange anyone?  Gary Vaynerchuk and  Wine Library TV?  The streaming ads are following at a brisk clip.

Here are some interesting facts that came out in an Ad Age report earlier this week:

  • currently there 178MM online video viewers in U.S. (eMarketer)
  • online video advertising reached $1.5b in 2010 (up 48% from 2009) (eMarketer)
  • in 2011 nearly 1/3 all online ad dollars will go to video (eMarketer)

Outside North America the shift to video online is accelerating as well, especially in South America, Europe and Asia.  TwitCam is a top 100 site in Brazil (!).

In the video space there are a lot of key players.  The significant ones are:

  • Hulu…leading the way in terms of high quality content and ad revenue
  • YouTube…most viewers
  • Livestream … best in breed for live video events online and growing
  • Brightroll & AdSense …at the head of the class re: U.S. ad networks
  • Vizu …doing really interesting things with audience research

Here’s where it gets interesting:  2010 was the first year — ever — that cable subscriptions in the U.S. declined.  That’s right – they went down.  Competition is coming to a TV, computer, tablet or smart phone near you.  Cable and the MSO’s are on the run for the first time.  Stay tuned…or should I say “stay logged in”?

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