Welcome!

News Feed Item

Frost & Sullivan: A record year for the online video advertising market; grows by 58%

The proliferation of mobile devices a key growth factor

SYDNEY, Nov. 4, 2012 /PRNewswire/ -- The rapid proliferation of mobile devices and insatiable demand by younger consumers has driven further demand for online video among Australians and led to a record year of growth in the online video advertising market, according to the latest Frost & Sullivan report into the market.

An overwhelming majority (94%) of 15 to 17 year olds now watch TV shows and/or movies at least once a month on a desktop / laptop.  Smartphones and tablets are playing a key role in the delivery of online video with two-thirds of smartphone users watching short video clips on average at least once a month.  The rise of mobile devices is also leading to much higher levels of multi-tasking across different devices and platforms with social media being a key facilitator of this experience.

These are among the findings in Frost & Sullivan's latest report of The Online Video Market in Australia, written in association with TVN.  The report draws from Frost & Sullivan's inaugural Australian Online Video Usage Trends Survey conducted in May 2012, examining the online video consumption behavior of 1,000 Australians between the ages of 15 and 65.

Phil Harpur, Senior Research Manager, Australia & New Zealand ICT Practice, Frost & Sullivan, said, "The online video advertising market grew by 58% in the 12 months to June 2012 to reach $86 million, faster than any previous year. A growing number of 'light' TV watchers are now watching online video across a range of devices while 40% of tablet owners are accessing their tablet as they watch traditional TV, always or most of the time".

The rise of mobile devices presents challenges and opportunities

Pete Ostick, TVN Managing Director, said the rise of viewing video content on mobile devices presented both challenges and opportunities for advertisers.  "Brands need to find new ways to reach their audiences as more of us turn to our mobile devices during TV ad breaks or choose to watch more long form content online," he said.

Indeed, TV programs and full length movies have become mainstream activities with both now viewed by nearly half of all tablet users at least once a month.  Short video clips remain the most popular with 39% of tablet owners viewing these on most days.

"Tablets are significantly changing entrenched TV user behaviour patterns. Around half (51%) of tablet owners indicated that using a tablet has to some degree reduced the amount of time they spend watching TV shows or movies. As tablet penetration rises and behaviour patterns become more established, the impact that tablet usage is expected to have on general consumer behaviour is expected to increase.

"Developing engaging and targeted online video advertising campaigns is a key strategy for a growing number of brands as they seek to offset the fall in TV ad engagement and leverage the rise of online video," Ostick said.

Strong market growth forecast

Frost & Sullivan forecasts strong market growth will continue over the next five years with the market predicted to grow at a CAGR of 39% from 2012 to 2017, increasing from $86 million in 2012 to $442 million in 2017. It is expected to outperform all other major online general advertising segments such as banner ads, advertorials, sponsorships and e-newsletters.

Harpur said there were a number of factors that were securing the online video market's robust growth into the future. "Attracted by the greater targetability, engagement and interactivity that online ad serving platform solutions offer, agencies and large brands are increasingly seeing online video as an important and crucial part of the overall advertising mix while an acute shortage of inventory remains. In addition, the adoption of the Interactive Advertising Bureau (IAB)'s Digital Video Ad Serving Template (VAST) and Digital Video Player Ad Interface Definition (VPAID) standards have made it more efficient and effective for publishers to monetise their online assets."

As the online video market matures, three major players are dominating the local market being TVN, a media and technology company dedicated to internet TV; Smartclip, Adconion's video offering; and Tube Mogul.

Frost & Sullivan's report Australian Online Video Market 2012 forms a part of the Frost & Sullivan Australian Digital Media Research program. All research services included in this subscription provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants. For media queries and more information please send an e-mail with your contact details to Donna Jeremiah, Corporate Communications, at [email protected].

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants.

Our "Growth Partnership" supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.

  • The Integrated Value Proposition provides support to our clients throughout all phases of their journey to visionary innovation including: research, analysis, strategy, vision, innovation and implementation.
  • The Partnership Infrastructure is entirely unique as it constructs the foundation upon which visionary innovation becomes possible. This includes our 360 degree research, comprehensive industry coverage, career best practices as well as our global footprint of more than 40 offices.

For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organization prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies?

Contact Us:  Start the discussion

Join Us:  Join our community

Subscribe:  Newsletter on "the next big thing"

Register:  Gain access to visionary innovation

Contact:
Donna Jeremiah
Corporate Communications – Asia Pacific
P: +61 (02) 8247 8927
M: +61 (0) 407 598 937
F: +61 (02) 9252 8066
E: [email protected]

http://www.frost.com

SOURCE Frost & Sullivan

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
19th Cloud Expo, taking place November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy. Meanwhile, 94% of enterpri...
Enterprises have forever faced challenges surrounding the sharing of their intellectual property. Emerging cloud adoption has made it more compelling for enterprises to digitize their content, making them available over a wide variety of devices across the Internet. In his session at 19th Cloud Expo, Santosh Ahuja, Director of Architecture at Impiger Technologies, will introduce various mechanisms provided by cloud service providers today to manage and share digital content in a secure manner....
Smart Cities are here to stay, but for their promise to be delivered, the data they produce must not be put in new siloes. In his session at @ThingsExpo, Mathias Herberts, Co-founder and CTO of Cityzen Data, will deep dive into best practices that will ensure a successful smart city journey.
SYS-CON Events announced today that 910Telecom will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Housed in the classic Denver Gas & Electric Building, 910 15th St., 910Telecom is a carrier-neutral telecom hotel located in the heart of Denver. Adjacent to CenturyLink, AT&T, and Denver Main, 910Telecom offers connectivity to all major carriers, Internet service providers, Internet backbones and ...
To leverage Continuous Delivery, enterprises must consider impacts that span functional silos, as well as applications that touch older, slower moving components. Managing the many dependencies can cause slowdowns. See how to achieve continuous delivery in the enterprise.
There is growing need for data-driven applications and the need for digital platforms to build these apps. In his session at 19th Cloud Expo, Muddu Sudhakar, VP and GM of Security & IoT at Splunk, will cover different PaaS solutions and Big Data platforms that are available to build applications. In addition, AI and machine learning are creating new requirements that developers need in the building of next-gen apps. The next-generation digital platforms have some of the past platform needs a...
SYS-CON Events announced today Telecom Reseller has been named “Media Sponsor” of SYS-CON's 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Telecom Reseller reports on Unified Communications, UCaaS, BPaaS for enterprise and SMBs. They report extensively on both customer premises based solutions such as IP-PBX as well as cloud based and hosted platforms.
DevOps at Cloud Expo – being held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA – announces that its Call for Papers is open. Born out of proven success in agile development, cloud computing, and process automation, DevOps is a macro trend you cannot afford to miss. From showcase success stories from early adopters and web-scale businesses, DevOps is expanding to organizations of all sizes, including the world's largest enterprises – and delivering real results. Am...
I wanted to gather all of my Internet of Things (IOT) blogs into a single blog (that I could later use with my University of San Francisco (USF) Big Data “MBA” course). However as I started to pull these blogs together, I realized that my IOT discussion lacked a vision; it lacked an end point towards which an organization could drive their IOT envisioning, proof of value, app dev, data engineering and data science efforts. And I think that the IOT end point is really quite simple…
Internet of @ThingsExpo, taking place November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 19th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devices - comp...
SYS-CON Events announced today that eCube Systems, a leading provider of middleware modernization, integration, and management solutions, will exhibit at @DevOpsSummit at 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. eCube Systems offers a family of middleware evolution products and services that maximize return on technology investment by leveraging existing technical equity to meet evolving business needs. ...
StarNet Communications Corp has announced the addition of three Secure Remote Desktop modules to its flagship X-Win32 PC X server. The new modules enable X-Win32 to safely tunnel the remote desktops from Linux and Unix servers to the user’s PC over encrypted SSH. Traditionally, users of PC X servers deploy the XDMCP protocol to display remote desktop environments such as the Gnome and KDE desktops on Linux servers and the CDE environment on Solaris Unix machines. XDMCP is used primarily on comp...
Traditional on-premises data centers have long been the domain of modern data platforms like Apache Hadoop, meaning companies who build their business on public cloud were challenged to run Big Data processing and analytics at scale. But recent advancements in Hadoop performance, security, and most importantly cloud-native integrations, are giving organizations the ability to truly gain value from all their data. In his session at 19th Cloud Expo, David Tishgart, Director of Product Marketing ...
DevOps at Cloud Expo, taking place Nov 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 19th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long dev...
The 19th International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Digital Transformation, Microservices and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportuni...