Live videos in social media sites became very popular in 2016. Facebook’s live video feature has motivated more brands to use real-time videos to interact with their target audiences. Furthermore, digital videos in general and digital news video continue to be in demand, especially among young adults.
More people are likewise viewing digital advertisements. Several live and digital video trends are significant for digital marketing companies that see them as new, engaging platforms for reaching specific markets.
Online Video Advertisement Views and Revenues
Live and digital video views and advertisements have continued to rise for the past three years. Live video soared in 2013 with more than 35 billion views in December, according to the Business Insider (BI) Intelligence research unit. Online video ad revenue almost reached $5 billion in 2016, which is nearly twice the $2.8 billion revenue in 2013.
During this time, TV ad sales dropped by around 3%. Digital video ads likewise have a 1.84% average click-through rate (CTR) which is the highest for all types of digital ads. These statistics suggest that digital videos can help increase customer engagement and improve business-customer relationships.
YouTube Dominates Digital Video Advertising
YouTube leads the digital video advertising market. It made 20.5% of the $4.15 billion in digital video advertising in 2013. YouTube’s share is estimated to grow in 2017, which means lower advertising revenues for news organisations. Digital marketing companies can focus on YouTube as a platform for online video advertising content, since many producers and consumers are using it.
Young Adults as the Main Digital Video Consumers
Young adults are the dominant digital video consumers. Young adults view more digital videos and news videos than older audiences. Almost 50% of online news viewers belong to the ages 18 to 29 years old. The same age group watches TV news less frequently, which suggests their preference for digital videos.
Live videos are also popular among teenagers and young adults because they are immediate and can provide a more authentic feel than scripted videos. Digital videos remain highly viewed too because they can be included in activities that people simultaneously do, like while walking or eating, for instance.
Furthermore, many digital videos, even advertisements, are considered as more interesting, creative, or engaging than TV ads. Some digital ads are longer than TV counterparts, but have become viral videos.
The rise of live videos and digital video content has a significant impact on digital marketing companies. These digital formats can offer new and more engaging ways of attracting new customers, while retaining existing ones. They have a distinct, authentic feel and can help increase innovative, customer-centric content – qualities that business owners find hard to ignore.
“Five Findings About Digital Video News,” Kenneth Olmstead, Pew Research Center, Apr. 17
“Video ad spending is on a tear — here are the most important trends shaping the industry,” Mark Hoelzel, Business Insider