YouTube and Facebook taking lion’s share of online video ads, but TV dominates

YouTube and Facebook account for the majority of online video advertising in Europe, but the vast bulk of video advertising still goes to television, according to a report by the European Audiovisual Observatory.

facebook Youtube TV ads

According to the report, Online Video Sharing: Offerings, Audiences, Economic Aspects, which cites a number of third-party data sources, YouTube and Facebook together take a 56% share of the European online video advertising market. In 2018, YouTube took an estimated 32% of the market, with Facebook taking a 24% share. Broadcasters took a 20% share of the market collectively.

Despite the dominance of YouTube and Facebook in online video advertising, the vast bulk of video advertising – 91% – went to television in 2016. However, the growth rate of the online video advertising market is much higher than that of the TV ad market – 21.4% between 2015-16 compared with 2% for the TV advertising market and 11% for the overall online advertising market.

The report also noted that 6-15 year-olds in the UK spend about 20% of their screen time watching online video clips, compared with about 45% watching broadcast TV, 12% watching recorded TV, 6% watching catch-up TV and 10% watching paid for streaming or download services. Over 16s, by contrast spend 63% of their screen time watching broadcast TV, 17% watching recorded TV, 6% watching catch-up TV and 6% watching paid for streaming or download services, and only a very small amount of screen time – 2.9% – watching online video clips.

YouTube is used at least once a month by 93% of western European consumers, according to the report.

Despite the growth on online video and the rise of SVOD, the report cited Recode data from 2017 that shows traditional media companies still account for the bulk of expenditure on original non-sports content, with the top four spenders – NBCUniversal, Time Warner, Fox and Disney all being traditional players, led by NBCUniversal, which spent US$10.2 billion. Netflix comes in at number five with expenditure of US$6.3 billion, while Amazon is number seven with US$4.5 billion. Among technology and social media companies, Apple and Facebook were the top spenders, coming in at number 13 and 14 with spend of about US$1 billion apiece.

read more here: www.digitaltveurope.com

Internal Emails Shine Light On Facebook’s Approach to Sharing and Selling Data With Developers

Your personal data has always been the key to Facebook’s business — and Facebook executives, including CEO Mark Zuckerberg, have used access to that personal data to strengthen strategic partnerships and hurt competitors over the years. At one point, Zuckerberg even considered selling users’ personal data to outside app developers.

That much was clear from a new trove of internal Facebook emails and other documents released by British lawmakers Wednesday. The documents had previously been sealed as part of an ongoing lawsuit filed against Facebook in California, but were made public by Britain’s Digital, Culture, Media and Sport Committee, which collected the documents last week.

“I believe there is considerable public interest in releasing these documents,” tweeted Damian Collins, the committee’s chair. “They raise important questions about how Facebook treats users data [sic], their policies for working with app developers, and how they exercise their dominant position in the social media market.”

The emails, which mostly date from 2012 to 2015, include conversations from Facebook’s top executives about the company’s developer tools and data-sharing practices before widespread changes were made to limit access to some user data in early 2015.

A Facebook blog post says the emails were “cherrypicked” from the lawsuit and represent “only one side of the story.”

“I understand there is a lot of scrutiny on how we run our systems. That’s healthy given the vast number of people who use our services around the world, and it is right that we are constantly asked to explain what we do,” Zuckerberg wrote in a Facebook post published Wednesday. “But it’s also important that the coverage of what we do — including the explanation of these internal documents — doesn’t misrepresent our actions or motives. This was an important change to protect our community, and it achieved its goal.”

read more here: www.recode.net

Video Now Up For Grabs After Facebook’s Abdication

by Gil Sommer

In a candid Q3 earnings call, Mark Zuckerberg laid his cards on the table with a vision of change for Facebook that signaled an increased focus on user-generated content (UGC). With this move, the days of Facebook acting as a source of referral traffic are gone, which means the opportunity is ripe for anyone invested in social to use video to finally grow consumer engagement outside its ever-closing walls.

These days, adults spend, on average, more than 90 minutes each day watching digital video — a number that’s increased almost 50% since 2015. Video provides that immersive experience viewers have grown accustomed to on social, and the appetite for video is only growing on the content side, as readers now want to experience narratives visually as well.

For those who haven’t yet made the investment, finding the right opportunities to extend written narratives into fast and digestible, interactive content will be paramount to engaging readers for longer periods of time. Solutions like dynamic video sections allow for additional exploration opportunities with video recommendations, and give readers a deeper content experience, while also generating revenue via video advertising.

With this shift, marketers will naturally have more opportunities to spread the media mix. However, advertisers aren’t likely to re-allocate mobile video dollars without a plentiful supply of vertical inventory available, which has been a bit sparse outside of social media. The onus will fall to publishers to build a tech stack that can keep pace with the seamless experience both readers and advertisers have grown accustomed to.

Anyone wanting to successfully scale video on their own terms should focus on relevance (what works best for their audiences) and quality. Branded video content and syndication is a great way to deliver a seamless viewing experience at scale, since both the advertisement and the video content were created with the other in mind.

At the end of the day, brands want to be where viewers are, and as emerging video formats continue to grow and keep readers engaged for longer periods of time, advertisers will want to be part of this momentum.

read more here: www.mediapost.com

Major OTT Companies Securing Foothold in Sports Streaming

In their attempt to entice and engage more customers, leading over-the-top (OTT) companies like Facebook and Amazon have tapped into the sports streaming market.

At the Sport Business Summit held recently in London, executives from Facebook and Amazon have discussed about the engagement of these Internet-based companies in sports matches streaming.

In the words of Peter Hutton, Facebook’s Director of Global Live Sports Partnerships and Programming, Facebook believes it can help congregate sports fans.

In addition, he said that the social media giant thinks it can facilitate streaming enthusiasts to experience sports “in a better way.”

The Facebook executive admitted that shifting from watching on traditional TV to availing the services of OTT companies is certainly challenging.

However, Hutton contended that smooth transition is facilitated by Facebook through its partnerships with broadcasters.

Social media platforms can also help rake in new sports fans like what happened during Facebook Watch’s coverage of the Major League Baseball.

It enabled the real-time interactions among the audiences, the coaches, and the athletes during the live presentations of the baseball games.

Amazon Prime Video, the subscription video-on-demand (SVoD) division of the e-Commerce juggernaut, presents a wide array of sports programming as well.

These include the National Football League’s matches, the US Open Tennis Championships, and the soccer games of Germany’s Bundesliga.

By 2019, Amazon Prime Video will present 20 English Premier League matches across two particular dates in December. This schedule also consists of Boxing Day programming.

Alex Green, European Managing Director of Amazon Prime Video, also spoke at the Leaders’ Week of the London sports business conference.

He cited that the SVoD service of the online retail giant is certainly committed to sports broadcasting for the long haul.

Green elaborated on the fact that plenty of today’s consumers are anticipated to register for a 30-day trial free of charge to view the Boxing Day matches.

In addition, this trend will propel an increased surge in new members during the busiest shopping period of the year.

read more here: digitaltvlife.com

Facebook sees video growth but admits it is still ‘well behind YouTube’

Facebook CEO Mark Zuckerberg said the company is seeing video expand dramatically across its ecosystem, but admitted that while its dedicated Watch service is growing quickly it is still “well behind YouTube”.

Speaking on the company’s third quarter earnings call, Zuckerberg reiterated that video is one of Facebook’s key priorities for its core app along with a much bigger focus on communities and groups.

However, he said that Facebook has had “challenges” reconciling passive video consumption with “what people uniquely want from us, which is meaningful social interactions.”

“Video has grown a lot on our services, but we hit a dynamic where when it grows in Feeds and Facebook and Instagram, it displaces some social interactions and people tell us it makes the experience less valuable even though they’re spending more time on it.”

The company’s solution to this has been to build separate video experiences with the launch of Facebook Watch and Instagram’s IGTV – a strategy that seem to be paying off, even though these services still trail their established rivals.

“What we found is that when people seek out video experiences intentionally, they don’t displace social interactions as much and the quality of the experience is generally higher,” said Zukerberg.

“Watch has really hit its stride and it’s growing incredibly quickly, about three-times in the last few months in the US alone. IGTV is still earlier in its development, but I think we have a good sense of how to make it work as well.

“To be clear, these services are still well behind YouTube, which is our primary competitor in this space, but they’re growing very quickly.”

Another issue flagged by Zuckerberg on the call was that video monetises “significantly less well per-minute than people interacting in feeds” – a factor that means as video grows it will displace services that would probably be greater revenue generators for the company.

This is just one of the major shifts Facebook predicted for its business over time, as it noted that the way people are connecting is also moving more to private messaging and Stories.

“People feel more comfortable being themselves when they know their content will only be seen by a smaller group and when their content won’t stick around forever,” said Zuckerberg. “Messaging and Stories make up the vast majority of growth in the sharing that we are seeing.”

Last quarter, Facebook shared for the first time the number of people who use at least one of its apps each month – a metric that Zuckerberg said is a “better way to measure our community over time” as so many people use more than one of Facebook’s apps.

Facebook said it now estimates that more than 2.6 billion people use Facebook, WhatsApp, Instagram, or Messenger each month, and more than 2 billion people use at least one of its family of services every day on average.

read more here: digitaltveurope.com

Viewers Enjoy Brand Videos on Facebook, YouTube, and Instagram

Where are consumers most receptive to commercial videos? Where do viewers not just put up with but actually enjoy brand videos? According to a report from Animoto, Facebook, YouTube, and Instagram lead the way.

Ananimoto, a company that helps businesses make videos quickly, released its State of Social Video report today, and the results are useful. One question asked viewers the platforms where they most enjoyed watching social videos from brands. People were allowed to pick up to three answers.

Facebook came it first with 65 percent of those surveyed, YouTube next with 61 percent, and Instagram third with 18 percent. That’s a big drop off before the number three spot, and it suggests that there are really only two platforms where people enjoy watching branded video.

If a large number of people really enjoy brand videos on those two platforms, what type of content do they want to see? The top vote-getter was how-to videos (35 percent), followed by sale videos (18 percent), and top 5 lists (13 percent). In this question, those surveyed could only pick one answer.

For the record, the least popular types of brand videos on social platforms are editorial or topical videos (4 percent) and videos featuring the company founder or owner (4 percent).

Other choice stats from the report:

– 46 percent of consumers watch more video ads on social media than on TV.
– 73 percent of consumers say a brand’s social media presence has had an impact on a purchase decision.
– 48 percent of consumers say a brand video on Instagram has impacted a purchase decision (compared to 31 percent who said the same in 2017).

read more here: www.onlinevideo.net

Facebook sued over inflated video figures

Facebook was fully aware of inaccuracies in the way it measured how many users viewed video on its platform for a much longer than it has previously admitted, new court documents have claimed.

In September 2016, Facebook confessed that it had overestimated how much video its users had watched for the previous two years. But newly released papers that are part of a US legal action against the social media giant, claim that it knew about the problems as far back as 2013.

The error affected a Facebook metric called “average duration of video viewed”, which was supposed to tell publishers for how long, on average, people had watched a video. However, the metric did not include viewers who had watched for less than three seconds in the count. Discounting the shorter views – including people who had ignored a video in their news feed – boosted the average viewing times for each video. It was also criticised for counting a video as being viewed after three seconds.

Now, a number of advertisers are suing Facebook for unfair business conduct and fraud. As part of their case, they have viewed thousands of internal Facebook records and claim these show the company knew about the issue in 2015.

The plaintiffs claim that a Facebook engineering manager followed up on advertisers’ complaints that dated back to early 2015, saying there had been “no progress on the task for a year”.

Facebook developed a “no PR” strategy to avoid drawing attention to the error, according to the court filing.

The plaintiffs case hinges on the fact that the numbers provided by Facebook meant advertisers put more money into its video ads than those on other platforms.

In response, Facebook said: “This lawsuit is without merit and we’ve filed a motion to dismiss these claims of fraud. Suggestions that we in any way tried to hide this issue from our partners are false.”

Facebook now has a dedicated metrics team in palce, and allows third parties and experts to review its measurements regularly.

read more here: advanced-television.com

Facebook Watch goes global

Facebook is rolling out Watch, its video-streaming service, globally effective immediately. It comes a little over a year after its US launch.

Users of the site, which looks set to take on the likes of YouTube, will be able to choose from a range of shows – from both established brands and new players – and have the ability to view clips saved from their News Feeds.

The social media giant plans to allow all content creators to feature advertising breaks, so long as they hit certain metrics. Until now, only select publishers had been given the opportunity.

To begin with, only videos shown to audiences in the UK, US, Ireland, Australia and New Zealand will have this facility. The revenue split will be 55 per cent to the creators and 45 per cent to Facebook.

Facebook also revealed it will spend up to $2 billion itself on creating original content for Watch.

Commenting on the news, Kirsty Brice, Director of EMEA Marketing at 4C Insights, said: “This is the leap advertisers have been waiting for. It’s been on the cards for some time with the Premier League deal Facebook signed earlier this summer, and at the start of the season it’s the perfect time to roll out the platform for users. Facebook has been going from strength to strength in recent months, with ad spend up 26 per cent Year-on-Year in our latest report. New developments like Story Ads continue to draw advertisers to the platform and any fallout from Cambridge Analytica was not apparent in our data.!

“It’s also an interesting move in the wider context of platforms such as Amazon colluding broadcast entertainment with social and ecommerce. It’s important for advertisers to remember that while each platform appears to be closing the loop on audiences, the reality is that we now live in the age of the consumer. Prospects can happily switch from Facebook to Snapchat and then Amazon, changing device as they go. Multi-screen viewing is the new reality. While marketers have started to adopt cross-channel campaigns, to truly market the way that consumers consume, they must master a platform agnostic, audience-centric approach,” she concluded.

read more here: advanced-television.com

Will Interactive Video Right Facebook’s Ship?

With billions of dollars at stake, Facebook is betting its long-term success on content that consumers find more meaningful and engaging. In the short term, that has resulted in sagging consumption rates, slowing revenue growth, and soaring overhead costs.

Yet CEO Mark Zuckerberg insists that Facebook and its billions of users will ultimately be better off. “By focusing on meaningful connections, our community and business will be stronger over the long term,” he promised earlier this year.

Key to Zuckerberg’s grand plan is video that users find worthy of their time and attention.

Enter the seven-person team behind Vidpresso, an interactive video firm that Facebook just agreed to “aqui-hire” for an undisclosed sum.

Founded in 2012, Vidpresso helps publishers and brands soup up their videos with interactive graphics, comments, polls, and the like. As the company notes in a new blog post, the point was always “to make video more like HTML — easier to author, easier to change, and customized per person.”

Likely boding well for Facebook, Vidpresso’s client list is impressive. On the brand side, partners have included BMW, Burger King, and Nasdaq, while publishing partners include NBC News, TED, Fox Sports, Buzzfeed, The Washington Post, MTV, Turner Sports, and Reuters.

Along with the Vidpresso deal, Facebook recently began giving content creators tools to turn their videos into game shows.

read more here: www.mediapost.com

Facebook Now Beats YouTube for Video Viewing

It’s time to shift those budgets from YouTube to Facebook, a report suggests. According to a study by Slidely, maker of the Promo video creation platform, 47 percent of viewers say they watch more videos on Facebook now while 41 percent watch more on YouTube (only 8 percent say they watch more on Instagram). It looks like Facebook’s efforts to become the leading video destination are a huge success.

But people don’t simply watch more videos on Facebook now; they also prefer the video ad experience there, as well. While YouTube is known for its easily skipped ads, 71 percent of those surveyed said they find the sponsored videos in their Facebook feed to be relevant or highly relevant to their interests.

“This is fantastic news for marketers because it confirms their paid social budgets are going to good use. Not only are consumers watching sponsored videos, but they’re also finding them relevant (which is, of course, critical to successful marketing),” the report says. “For marketers, this also points to the extreme importance of closely targeting the right users. Consumers have come to expect that sponsored social content be perfectly tailored to their lives and their interests.”

All that video ad viewing is turning into consumer action, as the report finds 70 percent say they sometimes or very often visit the company’s website after watching a video. Also, 60 percent say they sometimes or very often visit the company’s social page after watching a video.

The survey looks at the popular Stories format on Facebook and Instagram, and finds viewing high. While 68 percent say they watch Facebook or Instagram Stories either sometimes or all the time, that number zooms up to 81 percent for those under 34.

view the full report for free online (no registration required).

read more here: onlinevideo.net