Online video set to exceed 770 billion views by the end of 2011
Tuesday, November 22nd 2011 by John Burns
A new study by Futuresource has revealed that the consumption of legitimate online video is set to exceed 770 billion views across the USA, UK, France and Germany before 2011 is out.
Many companies are using online video as part of their editable websites and as a key arm in their managed emarketing strategies but it seems that new developments in accessibility are behind the growth.
Online video is now becoming increasingly more accessible and easy to use hence the predicted rise in views from 640 billion last year. The US continues to dominate the market with 90 per cent of the videos viewed being in short-form. Short-form content advertising is expected to account for between 60 and 70 per cent of total online video advertising revenues in the short to medium term.
The report also predicts that by 2015, the paid-for online video market will hit close to $7 billion across the countries although the market is currently described as negligible when compared to free markets.
Online subscription service Netflix is said to be a major players behind the strong state of the online video market in the U.S and the study predicts services like it in Europe will stoke up the market. Regional subscription services across the continent look set to be run by big players such as YouTube.
Mai Hoang, senior analyst at Futuresource said: "Brands have only recently started to harness the full potential of online video.
"With ad-funded revenues expected to grow by 50 per cent in 2011 as advertisers continue to develop and refine content specifically for the online environment, rather than repurposing content originally destined for television. At the same time, consumers become more receptive as ads are effectively targeted."
The report also suggests that the rising use of smartphones and tablets could prove a big plus when it comes to marketing online video.
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