Advertising Trends: Video Takes Over Digital, Mobile Advertising Social.com

Who’s Watching and Where People are consuming more and more online videos on Facebook and Mobile

Consumer Time Shifts from TV to Digital Video  Time spent by US Adults watching TV is gradually declining, while time spent on digital video grew by 362% from 2011 to 2015.

“US Adults Spend 5.5 Hours with Video Content Each Day,” eMarketer, April 16, 2015

 Between 2011 and 2015, the average shifted from spending 0:21 per day on digital video and 4:35 on TV to 1:16 and 4:15.

362% Growth

Mobile Has Become the Primary Platform for Video  of video viewers are watching on mobile devices

 of all digital videos are viewed on mobile devices.

75%

“INFOGRAPHIC: Facebook Leads Digital Discovery of Entertainment,” Facebook IQ, May 11, 2015

 From 2014 through 2015, Facebook increased 91% in video views per person, compared to a 10% decrease on YouTube.

Facebook Has Attracted Viewers Away From YouTube

“The State of Video Advertising: Facebook’s Rise to Dominance,” mixpo, 2015 “The New Universal Language,” Facebook IQ, January 1, 2015

Note: 2/3 of all Facebook video views are on mobile, not desktop.

 In 2014, Facebook surpassed YouTube in the number of videos uploaded by brands for the first time, by 5,000 uploads. By 2014, that number increased 4x to 20,000 more video uploads.

 In 2014, Facebook owned 50% of all online video interactions over YouTube, by Dec ’14 Facebook reached 80% of all interactions.

Facebook Surpasses YouTube in Uploads and Interactions  By the end of 2014, Facebook dominates both uploads and interactions

“The Rise of Facebook Video,” socialbakers, January 8, 2015

Facebook Video Views grow exponentially month after month Facebook Video Views Quadrupled in Under a Year

 The number of daily video views on Facebook grew from one billion in September 2014, to three billion by January 2015, reaching four billion in April 2015.

“Facebook video views hit 4B per day, up from 3B daily views in January,” VentureBeat, April 22, 2015

The percentage of online video viewers per age group continually declines as age increases Video ads are a great way to reach younger consumers.

The Younger the Viewer, the More Videos Viewed

“Why You Should Look At Video Marketing,” Delos, December 18, 2013

The percentage of online video viewers increases as the level of income increases Video ads are a great channel to reach the higher-income consumer.

Higher Income Means More Videos Viewed

“Why You Should Look At Video Marketing,” Delos, December 18, 2013

Advertising Shift to Digital Video Digital video ads have become a dominant force in advertising overall

Viewers Are Positively Affected Even if They Don’t Watch the Whole Video

Total Seconds of Video Watched

“Nielsen Studies Impact of Facebook Video Ads Beyond View Counts,” Nielsen, March 18, 2015

Brand Awareness Purchase Intent Viewers who watch fewer than 3 seconds are responsible for 32% of the increase in brand awareness using video ads, 65% of the increase in brand awareness and 72% of the increase in purchase intent is from viewers who watched fewer than 10 seconds.

 Online display ad revenue will grow 13.7% by 2019, from $20 billion in 2014 to $38 billion in 2019.

 This is largely thanks to Video ads, which will be responsible for 55% of that $38 billion total ad revenue by 2019.

Video Ad Revenue Will Continue to Explode  Share of online display ad revenue claimed by video ads

“Video Growth Drives Display Advertising Spending To $37.6 Billion In 2019,” Forrester, October 6, 2014

From 2013 to 2016, TV ad revenue declines while video ad revenue doubles Attention Shifts From TV to Video Advertising

Digital video ad spend increases by 104%

 TV ad revenue decreases by 11%

 Traditional online display only grows 12%

“Online Video Advertising Is Growing Many Times Faster Than TV, Search, And Most Other Digital Ad Markets,” Business Insider, August 19, 2014

Ad Spend Moves From TV to Video  Advertisers expect to move spend from TV to digital video advertising

“68% of Marketers & Agencies Anticipate Increasing Their Digital Video Ad Spend in Next 12 Months,” IAB April 28, 2015

 67% advertisers expect to devote more spend to digital video advertising, and say are likely to move funds from TV to do so.

67%

Thank you