A Brand Marketer’s Guide to Online Video, Part One

Online video is rapidly becoming a natural extension to broadcast buys, with distribution across the Internet and a whole new generation of connected devices.  Here’s the FIRST PART of what you need to know to connect with the “TV everywhere” generation.

Executive Summary

  • Online video is today what cable TV was 20 years ago – a new and untapped extension to a broadcast buy.
  • OVER 170 million people in the US are viewing online video today, expected to grow to 195 million people by 2015.
  • The average online video viewer consumed 14.2 hours per viewer per month in 2010 – a growth rate of 12% over 2009.
  • Broadcast television today represents less than half of all 18-34 year olds’ primary video viewership diet.
  • 61% of all video usage online takes place outside the realm of YouTube and Hulu.
  • Wireless devices are spurring increased online video viewership.
  • GRPs (gross rating points- a TV advertising measurement) are now available to measure online video audience, in addition to brand lift studies and even offline sales lift metrics.

Professionally-produced content enjoys higher acceptance by consumers and is brand-appropriate for advertisers. Be wary of anyone selling video inventory for less than $5CPMs as it is likely not top quality. Conversely, work your local TV stations DOWN from an outrageous $28+ CPM as well! Research shows that online video impact recall and purchase intent more than broadcast or cable. After all, viewers are ENGAGING with these online videos!

Next up, Part TWO: Critical mass, clutter and the numbers of video!


eMarketer 2010

comScore, December 2010

Harris Poll, September 2010

comScore, September 2010


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