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For YouTube, Size and Youth Matter Most
YouTube has been the undisputed 800-pound gorilla of the online video market since the beginning of time. And it's key message to advertisers at last night's "Brandcast" NewFront event was to emphatically remind them of its massive size and its reach into the youth market, factors it believes should drive advertisers' attention and spending.
Whereas last year's Brandcast was all about the 100 new channels that YouTube was funding/launching, this year's event was more of a return to its roots: it's ability to give native digital talent the platform to reach and grow huge audiences. Because a lot of this talent resonates first and foremost with younger digital natives (in Nielsen parlance "Generation C"), YouTube says it's in a unique position to deliver these audiences. YouTube cited Nielsen data that it reaches more 18-34-year-olds than any cable network.Categories: Advertising, Indie Video
Topics: Ipsos, Nielsen, YouTube
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4 Items Worth Noting from the Week of August 3rd
Following are 4 items worth noting from the week of August 3rd:
1. Research, research, research - For some unknown reason, there was a flurry online video-related research and forecasts released this week. In no particular order:
eMarketer was out with a new forecast indicating 188 million online video viewers in the U.S. in 2013.
Veronis Suhler released its forecast of 2009-2013 communications industry spending, showing advertising shrinking as a percentage of total spending.
PWC's UK office released its 2009-2013 forecast, which also anticipates declines in advertising.
CBS's research head David Poltrack used detailed data to explain the company's online video strategy and buttress its argument that in a TV Everywhere world, it should be compensated for its content (slides are here, via PaidContent).
Ipsos found that Americans streamed a record amount of TV programs and movies, doubling their consumption from Sept '08 to July '09.
Yahoo and a group of research partners released data finding that 70% of online video consumption happens throughout the day and night, as opposed to traditional TV viewing which is concentrated in the prime-time window.
Last but not least, TDG released excerpts of its research on "over-the-top" video services, available for download at VideoNuze.
2. Unicorn Media launches, hires ex-Move Networks executive David Rice - It will be hard for some to believe there's room for yet another white label video publishing and management platform, but startup Unicorn Media is going to try elbowing its way into the crowded space, with a specific focus on large media companies. I spoke with Unicorn's executive team this week, led by Bill Rinehart, who was the founding CEO of Limelight.
Unicorn is positioning itself as the first "enterprise-grade" solution, staking out key differentiators such as enhanced analytics/reporting, faster/easier transcoding, improved APIs for content ingest/management and more flexible monetization/ad queuing. I have not yet seen a demo, but I'm intrigued by what I heard. The company has raised $5M to date from executives/angels and has a staff of 25. David Rice, formerly Move's VP of Marketing has come on board as Chief Strategy Officer. Given the team's industry expertise and relationships, this could be a company to watch.
3. Google acquires On2 Technologies and other encoding-related news - The blogosphere was in a flurry about Google's $106M acquisition of video compression provider On2 Technologies this week. Speculation flew about Google open-sourcing On2 new VP8 codec, which could potentially force a new standard to emerge as a challenge to H.264, today's leading codec. This is important stuff, though a little further down the stack than I usually focus, so I refer you to Dan Rayburn's analysis of the deal's implications, which is the best I've seen.
There was other news in the emerging cloud-based encoding/transcoding/delivery market this week, as Encoding.com announced a new premium service with tighter service level agreements (4 minute max wait time and 50 Gbyte/hour/customer throughput). Encoding.com's Gregg Heil and Jeff Malkin explained the company is using the new SLAs to move upmarket to service tier 1 and 2 media companies. Separate, Encoding.com's competitor mPoint's CEO Chiranjeev Bordoloi told me they're now on a $3M annualized revenue run rate as cloud-based alternatives continue to gain acceptance.
4. Don't try this at home - On a lighter note, there's been no shortage of knuckle-head stunt videos we've all seen online, but this one is near the top of my personal favorite list. Do NOT try replicating this over the weekend!Categories: Deals & Financings, Technology
Topics: CBS, eMarketer, Google, Ipsos, ON2, PWC, TDG, Unicorn Media, Veronis Suhler, Yahoo
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