Top 10 Stats About Online-Video Usage and Advertising for 2016 and Beyond

What do you need to know about online video for 2016? Here’s a convenient “round up” for your viewing pleasure.

Here's a guy looking at mobile video. It's trending.
Here’s a guy looking at mobile video. It’s trending.
  1. Mobilization. Mobile advertising is growing 66% and desktop is just 5 percent. What’s interesting to me is that 36% of our time is spent on TV, and 39% of the ad spending is there. But we’re spending 25% of our self on mobile, while only 12% of ad spending is on mobile. Implication: watch for way more advertising in your apps, on mobile-enabled site, and perhaps even while you text. (KPCB Internet Trends, June 1, 2016)
  2. Mobile vs desktop tie. By 2020, online-video advertising will be about 50% mobile and 50% desktop.
  3. Pay TV is stuggling. About 86% US Internet users think pay TV is too expensive. Some forecast a decline (source: TVFreedom, : SNL Kagan as cited in Video Advertising Bureau, 2015).
  4. TV ain’t dead. According to eMarketer “TV will continue to grow and remain the top video advertising format through 2020.” That said, our time with digital video (versus TV) changed in 2012 and the gap has widened, with digital outpacing TV (Nielsen, eMarketer).
  5. Netflix is rocking it for time. The streaming time of Netflix is growing insanely. 600M hours in 2009 and 42 billion hours in 2015. And originals are the reason (Netflix and Cowen & Company, 2016)
  6. Digital Video Ad Spending is Growing But Slowing. We’re seeing about 30 percent growth in digital video ad spending this year, but in the next few years the growth will slow somewhat…. Down to 20 percent next year and about 10% by 2020. Still growing, just not as radically.
  7. Watch out. We're gonna block that online-video ad on mobile.
    Watch out. We’re gonna block that online-video ad on mobile.

    Video ads need help. Many Online video ads are ineffective. About 80% of us mute video ads, and the majority (62%) are annoyed with pre-rolls. And 93% consider using ad-blocking software (Unruly Future Video Survey, July 2015). Given mobile use behavior, online videos are going to have to adapt.

  8. Block You. You know that thing about mobile users being annoyed by ads? The growth of mobile ad blocking is happening radically faster than desktop (as cited by the KPCB report, PageFair & Priori Data 2016 Adblocking Report.).
  9. What works in mobile video ads? Keep it less than 10 seconds, shoot it for mobile, and try for full-screen delivery. (Snapchat and other sources).
  10. What makes for good video ads? Unruly’s recommendations: be authentic, entertain, evoke emotion, go personal/relatable, be useful, give viewers control… and work with sound off and in non-interruptive ad format.

See more at eMarketer. Or KPCB for internet trends. Or Invisia for more.

Latest YouTube Stats in Infographic Video

Here’s everything you wanted to know about YouTube in 2012 courtesy of James Wedmore. Examples:

  • 76% of marketers plan on increasing their use of YouTube and video marketing …making it the top marketing strategy to invest in for 2012.
  • YouTube is STILL
    1. …the 3rd most visited website in the world
    2. …the 2nd Largest Search Engine in the World
    3. …the world’s largest video sharing platform

YouTube has

  • over 800 million monthly unique viewers worldwide
  • YouTube Receives over 4 Billion Video Views Daily
  • In 2011, YouTube had over one TRILLION total views
  • That’s over 140 views for every man woman and child on earth.

TopRank finds that online video is expected to grow 55% this year and is the top format for content marketing. With a 41% higher click-through rate than plain text, video is predicted to reach 90% of all web traffic by the year 2014

Kony 2012 Viral Summary

We’re three days away from when participants of the Kony 2012 movement will be blanketing the town with posters, but one could argue they won’t do much better than the 180 million views to date.

Visible Measures has a stat roundup of the social-cause campaign that popped in early March 2012. For comparison, M&M’s 2012 Super Bowl ad, Just My Shell, has 41.7 million views. Honda’s Matthew’s Day Off, another top five Super Bowl campaign this year, has 25.3 million views.

And I have 250 million after 6 years of posting, so… yeah, they should have monetized it. It would have raised about $100,000, assuming advertisers wouldn’t mind appearing next to it.

Kony View Growth

Netflix: Is Video Content Fungible?

Can streaming-video service Netflix survive recent losses by substituting new content? According to the Associated Press, major movie studios are refusing to license Netflix the rights to most of their latest movies. They studios also are withholding their most popular series, including “Game of Thrones” and “Dexter.”

Associated Press writer Michael Liedtke said Netflix may lose subscribers as a result of the termination of Starz contract beginning in March 2012. Starz library included recent movies from Walt Disney Co. Netflix has been paying an estimated $30 million annually, and Starz is believed to have demanded as much as $300 million a year to renew.

Competitors have larger libraries, and Walmart is charging customers $2 to access their DVDs via permanent online-viewing.

Netflix

Streaming subscribers watch an average of 30 hours of online-video monthly, which is about 27 cents per hour. Netflix has already agreed to pay about $4 billion in licensing fees during the next few years, however after recent price-hike backlash, it may be reluctant to increase its $8 monthly subscription for its approximately 25 million members.

Netflix is downplaying the loss of Starz, but Wedbush Securities analyst Michael Pachter believes there is only so much that Netflix will be able to do to conceal the weaknesses in its Internet library.

“I think Netflix has underestimated the intelligence of consumers,” Pachter says. “They seem to think all content is fungible, but I don’t think consumers will see it that way.”

YouTube Statistics for 2012

Time Magazine provided a rather exhaustive review of YouTube’s past, present and future. Check out the full article, titled “The Beast With a Billion Eyes” (a title, no doubt, with Shakespearean roots). Some highlights:

This is the first ever coverage of YouTube that failed to mention Shaycarl or Olgakay.

The piece cites the age-old quote that every minute that passes in real time, 60 hours of video are uploaded to YouTube, and then plays with the math (more video uploaded in past month than three big TV networks in the past 60 years).

YouTube gets 4,000,000,000 page views a day, which adds up to 1,000,000,000,000 a year.

The author creates the mock YouTube video title, “LOLOLOLOL this thing is amazeballs!!!!!!!”

YouTube recently enlarged the thumbnail images very slightly. “That change alone increased clicks to the Watch page by 2%,” said Margaret Gould Stewart, director of user experience.

On the efforts to boost channels (versus individual videos): Where there used to be two units of organization on YouTube–a single video and the 1 billion video collection–now there’s something in between.

YouTube has 800,000,000 users (about the same as Facebook) who watch 3,000,000,000 hours of video a month. But even one of the most-subscribed guys, RayWilliamJohnson, has 5.3 million subscribers. So that could suggest that the number of users who actually subscribe is in the low single digits.

Average viewing session remains a low 15 minutes (compared to hours of television binging).

Intravenous Twitter Drip of Online-Video Enthusiasts

Without bookmarks, RSS or e-mails, there are a few sites I remember and visit randomly.  It’s usually because I’m bored or curious (but don’t know what I’m curious about). For instance, TechCrunch, Cheapskate, TheOnion, Google News, Yahoo Buzz. What are yours?

On TechCrunch I found an article about Blekko, a search engine that avoids spam by only indexing sites identified by people (like 2100 university sites). You use slashes to refine your search, so I tried Nalts and /date. That awakened me to a SocialTimes piece Megan O’Neill (Tel Aviv) curated a bunch of people and websites worth following on Twitter if you’re an online-video enthusiast. It’s quite handy, but I’m biased because I made the cut. 🙂

The Twitter accounts include ReelSEO’s Mark Robertson, GigaOM’s Ryan Lawler, Shape Shifting Zadi Diaz, as well as a bunch of people I consider “Friends” by a broad definition (meaning I have met them in person, I like them, and we share interests). Author Steve Garfield, Revisiond3’s Jim Louderback, Michael Buckley (WhatTheBuck), iJustine, Charles Trippy, Kassemg (the guy I know least among these). By a pure definition they’re not exactly friends, though. But isn’t the term “friend” changing because of Facebook’s use of the term?

Hey on that note, what’s a close friend? I’d consider a “close friend” someone you’ve known for a year or more, you’ve exchange meaningful information, and you know well and vice versa (meaning you each know your family/friends/significant others). For me, a friend isn’t competitive, they listen, and they share values. They can differ in many ways, but enjoy each other’s conversation and company. Most importantly, they forgive lapses in communication (something important to me because I’m spread thin and often vanish). I can think of dozens of people who are too frustrated by my intermittent communication to consider me a friend, and others who I can call after a long lapse and it’s like no time has passed.

Photo by Jim Davidson (Bucknick)

Anyway, Megan also assembled a nice collection of online-video stats and news websites (these are her words below). I’d suggest adding a few sites sites like ViralBlog, ReelSEOUrgo6667‘s stat site called Social Blade, and Renetto’s MyU2b).

  • Unleash Video Unleash Video is a video entertainment sharing website.  On their Twitter account they tweet about videos and news from their website, but they also tweet about general news in the online video space and they always have something interesting to share.
  • Web Series Today – If you enjoy web series then Web Series Today is definitely a must-follow.  Web Series Today tweets about the web’s top video series and is the best source for unfiltered web series information online.
  • Viral Video Chart – If you love being the first of your friends to know about the latest viral video hits then Viral Video Chart is the Tweeter to follow.  Viral Video Chart tweets about all the latest and most popular viral videos on the web.
  • Viral Viral Videos – Viral Viral Videos is also a great source, tweeting about viral videos as they go viral.
  • Web Video News – Finally, Web Video News is a great source for online and web video news, research and trends, compiling news from a variety of different sources across the web.

My list of linked sites is somewhat arbitrary and antiquated, but I hope to revise it. Please let me know what else you read for news about online video, and I’ll try to refresh the list with these and others!

How Much Money Do They Make on YouTube: Exposed

Renetto: The roundest face since Karl Pilkington

Renetto. Paul Robinette. Remember him? He makes about $55 a day from YouTube, and I once stalked him and shaved my head to assume his persona. He’s one of the guys behind one of the most interesting video website stats and mobile applications you’re bound to love and forget. It’s called MyU2B. See– I had to look at the website just to get that stupid name right.

The good news? If you’re an OCD creator or media buyer, than this is (and you can quote the guy who wrote the book on YouTube) “the crack cocaine of video statistics.” The bad news? The name is so damned forgettable I want to punch Paul Robinett in his branding boob. Half the reason I’m writing this post is so I can find his website searching the many alternative names my brain has given MyU2B: u2be, myu2be, ub40, u2b4, my2be u2be u2bme, and finally “renetto, youtube, stats, website, with, stupid, name.”

MyU2B iPhone App kicks the ass of YouTube's default mobile viewer.

MyU2B is my indispensable iPhone YouTube viewing app because it’s incredibly easy to sort by my favorite creator’s (people, channels, accounts, profiles) most recent videos. This is a common but impossible task via the caveman-like primitive search functions on YouTube’s own mobile app, and I call that a “deal breaker” or “functional obsolescence” for any regular viewer. MyU2B tells me exactly how many videos my favorite person or channel has posted since I last checked them. It solved a problem most don’t yet know we have.

The app (free and $1.99) also allows me to “super subscribe” to select people (although I haven’t figured out how to delete people like the incorrect jaaaaaa). There are about 2-3 dozen people I don’t want to ever miss, and for that I prefer this app to using YouTube on a computer. On YouTube I’ve “oversubscribed” like many people, so I miss some fresh videos by my favorite peeps. It really sucks to not be current on some of my favorite creators or friends.

The MyU2B stats site, although new and somewhat buggy, is entirely different (yet shares the horrible name). It gives you some pretty decent estimates of how much money each channel/person makes on could make (per comments below) on YouTube, and even sorts estimated revenue by individual video. That’s badass, even if it’s assuming CPMs (revenue per view) that are impossibly inconsistent and volatile. It’s a cool tool just to track who’s getting views and comments… instead of the somewhat archaic method of tracking subscribers… like on VidStatsx. Vidstatsx is an equally crappy named but remarkably useful website, though the latter is a bit too focused on subscriptions (which is not nearly driver of daily views it once was). And tip from Zipster08, who I never miss (despite the mocked screen shot): allow MyU2B to load completely before searching for someone. (Zipster checks hourly). MyU2B doesn’t yet allow you to bookmark or link to a specific search string, but it does index more than 11,000 individual channels.

See below for an example… are they the potential estimates accurate? I don’t know. YouTube doesn’t give me reporting this precise, but I know for a fact that CPMs by individual videos for the same creator can vary from pennies to dollars — by individual video.

Since we YouTube Partners are all contractually obliged to conceal our revenue, it’s hard to know if it’s over or understating revenue/earnings. But feel free to comment (anonymously) if you want to share feedback on its precision! I’m glad it’s not accurate, because I don’t want people thinking about the money I earn from YouTube (it’s equally embarrassing whether it’s high, low or accurate).

MyU2Be (or whatever it's called) can easily track estimated earnings by creator and by video

Finally, let’s help these useful resources with their branding. Anything, including the word “pizzle,” would be better.

Trivia: Time Watching Television Versus Online Video?

I’m fairly immersed in the online-video space, but would have had to “phone a friend” if you asked me some of these questions on “Who Wants to Be a Millionaire.”

  • Are we consuming more or less television now that we have online video and the mobile players (3 screens)?
  • What percent of our live television viewing has given way to “time shifted” (via DVRs, TiVo, AppleTV and stuff)?
  • How much time do we Americans spend in front of the television versus watching online video?

The answers may surprise you. Try to guess before peeking.

  • As you might have gathered, we’re actually consuming more television according to Nielsen’s “Three Screen Report” (despite the other two screens: mobile and computer).
  • I must be in a small minority because I watch precious little live television. The rest of the nation consumes only about 2 hours of time-shifted television per week, compared to about 35 hours of live television. Obviously our attention differs dramatically. For instance, my kids are blaring Nickelodeon behind me as I type. But I just noticed an ad for Miranda Cosgrove’s new CD, so maybe that counts.
  • Now for the zinger. A single amateur can sometimes command a larger audience than well-known television shows. I just made the graphic below for my book, “Beyond Viral” (Wiley). Pretty wild that one dude can swing 50 million views in the past 30 days (according to TubeMogul). Dane Boedigheimer, who produces GagFilms and AnnoyingOrange, was late to the YouTube party because he was soaking in the now set Metacafe sun… but now he’s knocking out more than 1.6 million views per day.
One YouTube "webstar" commands 50 million views in the past 30 days. That has him rivaling audiences of many well-known television shows.
  • But before you think we’ve all migrated to online video, our average consumption pales when compared to television. We early adopters are still early. Yes the folks that gobble up 35 hours of television are only watching 22 minutes of online video according to Nielsen Wire’s recent chart below. I suppose those 22 minutes might be longer if the majority of us made it past that first 60 seconds (which we don’t according to this way outdated Tubemogul report).
Video consumption by medium by age... seems we're still only snacking online video while we're feasting television.
  • Before you make any major conclusions based on this data, it’s important to remember two things: First, if we looked at a bell curve, we’d observe that these numbers are highly skewed by those that won’t be bothered with online video. I know many people who have abandoned television entirely. Second, this behavior is changing rapidly. For instance, there’s been a 30% plus increase in our simultaneous use of television and web (now I’m hearing Flapjack in the background).
  • I wish it was TreeTrunks or the little hand alien from Bravest Warriors. She’s so soothing.

10 Predictions for Online-Video in 2010

I’m a bit late on my online-video predictions for 2010 (unless you count this December post). The landscape continues to change, and it seems the world has been slow to catch up with my 2008 and 2009 predictions. Heck I even made a video in 2006 predicting 2007.

Here’s what I’m seeing in Online Video for Twenty Ten. Don’t forget to read the predictions from December from many WVFF guests who be smarter then my.

  1. Continued web-to-television bridges. While we’re still far from a merge of cable, television and online-video, we’ve seen some interesting changes already. Roku, Netflix, AppleTV, and a few brave television manufacturers pre-embedding software and wireless access or Ethernet plugs. I’m going o once again bet on the lazy man’s alternative to setting up their own PC media player. I see a $199 device that allows us to access the Internet right from our televisions. It’s a small PC, a remote-controlled keyboard and mouse, and it plugs into any television via HDMI or even less progressive connections.
  2. More stars dive into online video. Ashton Kutcher, Felicia Day, Tom Green. These guys have embraced new media, and there’s a wild rush to Twitter. 2010 is the year that more stars put themselves on YouTube. Don’t believe me? Wired reports Kutcher IS the future of video. They won’t always “go viral” but their strong fan bases offline will propel them to the most-subscribed pages of YouTube, eclipsing many of the web purists.
  3. AOL, Microsoft, and Yahoo Catch Up. Ironically, the laggards are web portals and search engines that had a media bent a decade ago. Google leapfrogged them with YouTube. They can’t stand on the sidelines forever. Watch for these players cutting deals with larger players (cable, telecommunications, etc.) to establish their dominance. Since it’s almost impossible to battle YouTube directly, they’ll focus on partnerships with tech companies and premium content providers. The result may not be as popular, but it will command the attention of advertisers that like pro content and “safe” plays.
  4. Programming Not Sporadic. When I was posting daily, I didn’t realize how important that was. It kept my audience active, and ensured my recent videos got 50-100,000 views. In past months, I’ve posted unpredictably and as little as 10 times a month. The result? I’ve plateaued. Meanwhile the regular posters (Sxephil, WhatTheBuckShow, CharlesTrippy and ShayCarl) are souring. The creator community is learning about the vital need to post predictably. ZeFrank used to post at 1:00 daily. TheOnion was always updated online on Wednesday. If you’re not predictable, you’re forgotten. Many amateurs are hosting live shows once a week, and the crowds flock to see their favorite “stars” unplugged. Audiences like routines.
  5. Division of Audience Focus in Conferences and Publishing. In the early days of the Internet, attendees included marketers, tech folks, and about every other business function that thought the web was going to be more than a fad. Online-video conferences and publications have taken the same approach. Watch in 2010 as conferences and publishing focus on more concrete audiences. AdTech for advertisers. StreamingMedia for technology people. And other conferences for marketers or web-studio playas. These conferences are too frequent and too broad to serve any audience well.
  6. Niftier Audience Participation. We’re still doing little more than putting VHS tapes online. The power of Web 2.0 (or 4.0 or whatever the hell you want to call it) is the interactivity and the engagement it facilitates in storytelling. Sure we saw 2009 videos that took advantage of “annotations” to create “choose your own adventure” series. But watch as advertisers and content creators merge to create more robust engagement experiences built on video, but with lots of tools that create a deeper, immersive experience. SevenEcho is one company to watch.
  7. White Dwarfs and Luminous SuperGiants. The lifecycle of the average weblebrity is compressing, despite a handful of amateurs that have maintained a vibrant presence. In 2010 we’ll see some new talent and more popular talent fading. There are not many people that have the persistence and creativity to sustain a continued audience. There are “Gary Larsons” that burn bright but short. There are Charles Shulz’s that don’t stop until they die (or their lines become jagged like someone drawing on a motor boat).
  8. Advertisers Forced In. Every year we predict advertisers will finally embrace online video (but the spend levels are not proportionate to the audience reach). That pretty much HAS to change dramatically in 2010. Not enough impact on television’s fragmenting and depleting audiences. So even the most traditional and laziest media buyer will be forced by marketers to spend more and spend more wisely. Watch for more obnoxious takeovers on YouTube and other sites, but also some clever alternatives that get brands “inside” the content.
  9. There is No 9th Preduction. That’s because I have to go wake up the kids, and don’t have time.
  10. News, News, News. We have watched as “consumer generated media” has made its way to many televised news stories. Now that cell phones with video cameras are fairly common, we’ll see more of this. And that prediction I made years ago… a live broadcast from some crisis directly from a person’s cell phone? That’s happening in 2010 or I’ll stop predicting it. I promise.

Online Video and Paid Search Run Counter to Shrinking Online-Advertising Spends

Laurie Sullivan of MediaPost reports that paid-search and video are the “bright spots” of online ad spending according to a recent eMarketer report. “Search and video were the only two media that experienced growth this year, although much less than the prior year,” according to the article.

Two trends to watch according to David Hallerman, eMarketer senior analyst.

  1. The first is the move toward non-advertising marketing. That is particularly true in the online space, where marketers focus more on social media (so estimates on spending can be misleading because the numbers fail to capture the full extent of the growth in online marketing).
  2. Second, the way we’re using various media impacts ad spending by traditional media losing audience and associated ad dollars, and the social Internet has begun to alter how marketers need to communicate with customers and prospective clients.

Go check out the article in MediaPost for some fun-filled stats that reaffirm that video has power… because it’s a hot portion of the online mix, and has direct impact on a company’s ability to show up on search results (more YouTube videos means a greater chance of placing high on organic results on Google). And if you’re rich enough to buy the $700 eMarketer report, please send me a copy. 🙂