Streaming Content
Kate KozlowskiSeda Gokoglu
Vanessa InterranteYing_Chen_Chen
178 MILLION U.S. Internet users
watched 33.2 BILLION online videos
The growth of online video
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5.9 Billion video ad impressions per month
36% Growth video ad impressions per month
2.4 Billion video ad minutes per month
30% Growth video ad minutes per month
148 Million Viewers exposed to video ads
8% Growth Viewers exposed to video ads
(Source: comScore Video Metrix) 3
Video advertising reach
(Source: comScore Video Metrix)
83%video ad impressions per month
70%total web
49%total population
Linear video ads are served across the web in a month reach the average video viewer 40 times
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Ad percentage
16.4% of videos viewed are ads16%
84%
AdsContent
(Source: comScore Video Metrix) 5
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Exceeds 2 BILLION VIEWS a dayNearly double the prime-time Audience of all 3 major U.S. broadcast networks combined
40% of online videos
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(Source: YouTube 2009)
Target
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Incidence of ever watching a video on YouTube
Profile of YouTube usage at least once per week
(Source: Entertainment Media Research 2010) 10
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Top Online Video Brands by Unique Viewers (February 2011, U.S.)Top Online Video Brands by Unique Viewers (February 2011, U.S.)
Video Brand Unique Viewers (000)
YouTube 107,953
VEVO 32,287
Facebook 31,698
Yahoo! 23,418
MSN/Windows Live/Bing 14,916
Hulu 12,793
AOL Media Network 9,863
The CollegeHumor Network 9,342
Fox Interactive Media 8,061
Netflix 6,518
(Source: The Nielsen Company) 12
Why advertise on YouTube?
• Audience size
• Time spent
• Purchase intent
• Low pricing for value
• Ease of use
• Google Adwords integration
• Diverse campaign formats scaled to budget
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Different Budget Levels
Advertising opportunitiesEvery budget: Promoted videos
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Small and mid-range budgetCompanion ads with InVideo overlay
Advertising opportunities
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Small and mid-range budgetInStream Ads (Pre-roll)
Advertising opportunities
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Small and mid-range budgetBanner ads (click-to-play)
Advertising opportunities
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Large budget ($200,000+)Masthead unit (24 hours on YouTube Homepage)
Advertising opportunities
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Large budget ($200,000+)Custom brand channels
Advertising opportunities
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Cost
• Requires a $50,000 spend within 90 days
• On brand channels, advertisers must spend $250,000 across Google and YouTube, including $100,000 or more on YouTube only
• A YouTube home page roadblock is a $100,000 per day flat fee plus a $100,000 incremental spend on Google and YouTube within 90 days
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Cost
• PPC (Pay-per-Click)
• CPC (Cost-per-Click)
• CPM (Cost-per-Thousand)
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(Source: Entertainment Media Research 2010)
% Interested
in seeing product
demo/review for
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Background
• Launched on March 2007
• Owned by NBC & disney
• Revenue generated through advertising (41%)
• Offers premium content to consumers
• When, where & how they want it
• Limited commercial interruption
24http://www.hulu.com/about
Men & Women 18-49
Target
25http://www.hulu.com/about/media_faq#background
Competitors
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#9 in Unique Video Viewers
27http://wwwery.com/12820-online-video-february-stats.html
#1 by video ads viewed
28http://wwwery.com/12820-online-video-february-stats.html
• Standard video ad package
• Branded Slate / Premium Branded Slate
• Branded Player Skin / Premium Player Skin
• Branded Entertainment Selector
• Ad selector
• Product Interstitial
Advertising opportunities
29http://assets.huluim.com/downloads/hulu_ad_specs.pdf
Standard video ad package
Advertising opportunities
30http://assets.huluim.com/downloads/hulu_ad_specs.pdf
Branded / Premium SlateCustomer title card – 7-10 second
Advertising opportunities
31http://assets.huluim.com/downloads/hulu_ad_specs.pdf
Branded / Player skin
Advertising opportunities
32http://assets.huluim.com/downloads/hulu_ad_specs.pdf
Branded entertainment selector
Advertising opportunities
33http://assets.huluim.com/downloads/hulu_ad_specs.pdf
Ad selector – You Choose
Advertising opportunities
34http://assets.huluim.com/downloads/hulu_ad_specs.pdf
Product Interstitals
Advertising opportunities
35http://assets.huluim.com/downloads/hulu_ad_specs.pdf
Cost• Based on CPM
• For 30 second spot
• Reflective of supply and demand
• (fewer commercials = less supply = higher rates)
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Estimated CPM RatesEstimated CPM RatesMedium CPMWSJ.com $75Hulu $40Yahoo!/MSN $20Prime-time Network TV $18Cable TV $12YouTube/ad networks $10Banner ads <$5
What it means for media planners?
• High frequency
• High ad impressions
• Increased brand recognition / brand recall
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Who would benefit?
• Companies trying to increase brand recognition/recall
• Long form content
• Interactive products / ads
• Acts as a reminder
38http://thedigitalists.com/2009/11/13/nytimes-blesses-high-online-video-cpms-whatever-they-are/
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Background
• Founded 2000
• Mobile app launched June 2007 – 65 million users daily
• Streaming music service – associated with various costs
• Music royalties paid on every song
• Advertising helps cover cost
• Pandora 1 – no advertisements, $36/year
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Target
• Smartphone users
• More affluent than US population as whole (index of 160 for HHI $100K plus)
• More educated (index of 127)
• More likely to be employed (index of 126)
• Listen to content at work
• Mobile phone usage for music is more popular with people in their 20s and is skewed slightly male
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Competitors
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Advertising opportunities
• Typical stations play 9 minutes of ads per hour (can be as high as 20) – low clutter means high recall
• Pandora has 3 audio ads or less per hour
• Banner ads only appear when a phone is not locked
• Run banner, audio, and video
• Information not made available to the public, but Pandora works with companies with budgets from $5K
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Who would benefit most?
• Local impact: like newspaper ands terrestrial radio, ads can be targeted by regions either through mobile carrier data or user-supplied data like zip codes
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Strategic thinking
47 source: Pandora White Paper
Strategic thinking
48 source: Pandora White Paper
• Demographic info is required to be supplied to Pandora when creating an account (age, sex, etc.)
• Device used to access Pandora app • iPhones (age 25-34)• iTouch (kids&teens through college students – especially heavy gamers)• Blackberry (age 35-54 – more business oriented)• Android (scewing more male and younger than iPhones)
• Genre – type of music listened to can give psychographic, mood, lifestyle or interest information
• Geographic – Ads can be targeted by location, though at the moment, that targeting is based on the zipcode users provide to the service as opposed to the physical location or IP address
Strategic thinking
• Local impact: like newspaper ands terrestrial radio, ads can be targeted by regions either through mobile carrier data or user-supplied data like zip codes
49comScore monthly OEM Reports
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Background
• Sirius - 1990
• XM - 1992
• July 28, 2008, the stations merged, bringing together 18.5 million subscribers
51www.siriusxm.com
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Background
• Packages cost 12.95-16.99/month
www.siriusxm.com
What is it?
• 71 commercial free
• 40 spots
• 20 talk/entertainment
• 6 comedy
• 20 news and issues
• 12 traffic, weather
• 12 other
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180 channels
www.siriusxm.com
Advertising opportunities• 100% coverage coast-to-coast
• Exclusive content
• Creative ideas
• Niche targeted
• 25.5 million listeners
• Live-reads by A-list
55www.siriusxm.com
Target
56http://radio.about.com/od/satelliteradio/a/aa051505a.htm
• Major cities
• Affluent and well educated
• Skewed male
• 76.1% 35+, 48.5% 45+
Cost
2010 net advertising revenue: $64,517,000
59http://investor.sirius.com/releasedetail.cfm?ReleaseID=550111
SiriusXM build custom advertising platforms and does not publicly share advertising prices
What it means for media planners?
• National, not local buys
• Niche targeted
• Custom creative platforms
• High recall, less clutter
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Who would benefit?
• National, niche brands
• Brands with similar values as SiriusXM celebrity DJs
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