Billionaire investor and dot-com veteran Mark Cuban had harsh words on Thursday for YouTube, the online site that lets people share video clips, saying only a "moron" would purchase the wildly popular start-up. Cuban, co-founder of HDNet and owner of the NBA's Dallas Mavericks, also said YouTube would eventually be "sued into oblivion" because of copyright violations.
Friday, September 29
MySpace Going Mobile
RBC Capital said after meeting with the managers of MySpace that the firm is developing a mobile phone application. He also said that the site could be worth $15 billion or more in the next few years.
(Source: MarketingVox)
(Source: MarketingVox)
NBC Puts Intel Inside, Online Too
NBC and Intel have created a new higher-resolution online service, called "VIP Access," to raise the quality of online viewing. Viewers can download a variety of programs free--including the entire fall season of two new shows, "Heroes" and "Studio 60 on the Sunset Strip"--if they have Intel's new Viiv-based PC or Centrino mobile technology-based laptops. One of the major differences with Intel's Viiv technology is that it connects the PC to the TV. It lets consumers share and control their sports, games, music and movies.
NBC and Intel put together a similar online lineup earlier this year for the Winter Olympics.
(Source: MediaPost)
NBC and Intel put together a similar online lineup earlier this year for the Winter Olympics.
(Source: MediaPost)
Facebook to Launch 'Sponsored Stories' Ad Unit
News Feed, a social networking site Facebook launched earlier this month, provides users with a self-updating list of "news" items, or alerts, which let users know when members of their network have made changes to their profiles. The new ad unit, called Sponsored Stories, will be placed in the third position within a News feed, either as a small, banner-like placement or as a video clip, writes Mediaweek. When users click on the ad, the user's entire network of friends is alerted, who can then interact with the ad.
According to the company, the ad will allow advertisers to harness the site's social networking dynamic and to leverage social networking behavior.
According to the company, the ad will allow advertisers to harness the site's social networking dynamic and to leverage social networking behavior.
Accipiter launches European version of AdMarket
Accipiter Solutions announced the launch of the European version of AdMarket, an online advertising service. The service, which debuted in the U.S. in May, lets European Web publishers operate their own online ad marketplaces. AdMarket is the result of Accipiter's recent acquisition of BidClix. It gives online publishers a self-service model for setting up their own pricing structures and interacting with advertisers through an online bidding system.
(Source: BtoB)
(Source: BtoB)
Thursday, September 28
Tremor Rebrands, Launches Seizure-Inducing Banner Campaign
During Advertising Week and with a seizure inducing online ad banner campaign, online video advertising firm Tremor Network has announced a rebranding and name change to Tremor Media to better describe its shift from online ad network to full blown "online video solutions" company for advertisers and publishers.
Gannett Multi-Platform Video Division Formed
Gannett Broadcasting will be offering customized video to other media for on-air, online and wireless distribution, seeking to fill new distribution channels' need for video content - particularly news and information.
VideoEgg Hatches $12 Million in Funding
VideoEgg, a social video ad network which launched on Monday, has just announced it has received $12 million in round C funding, headed by venture firm Maveron. August Capital and First Round Capital, two of VideoEgg's existing investors, also contributed. The VideoEgg system lets users quickly upload video and publish it in a platform-agnostic format. The company already claims to be streaming more than 20 million videos a day.
UGC Revenues To Reach $850M By 2010
User-Generated Content (UGC), such as that found on YouTube and MySpace, will continue to grow significantly in popularity and generate increasing revenue over the next several years, reports In-Stat. By 2010, the volume of downloads/views on these sites will surpass 65 billion, and revenues tied to UGC video are expected to exceed $850 million by 2010, the high-tech market research firm says. Revenues are those directly linked to videos in the form of banner/skyscrapers, embedded video, Google Adsense, and/or branded pages/channels.
MSN To Stream Live Concerts
Network Live, the company that produced Live 8, has discontinued its relationships with AOL and signed a new distribution deal with MSN to produce live concerts for Webcast. Network Live also has rebranded under the new name Control Room.
(Source: bizreports).
(Source: bizreports).
Yahoo Buys Online Video-Editing Company
MediaPost reports:
" (...) Yahoo has acquired Jumpcut, a San Francisco video-sharing start-up that offers consumers the ability to not only upload clips, but also to edit them online. Terms of the deal weren't disclosed. Jumpcut, which launched in April, has done promotional deals with several entertainment companies (...). Studios have made their own videos available and then invited consumers to use Jumpcut's editor to re-mix the clips by incorporating their own videos.
(...) Jumpcut recently was named one of the 10 best video-sharing sites by Light Reading, a telecom research company.".
jumpcut.com
" (...) Yahoo has acquired Jumpcut, a San Francisco video-sharing start-up that offers consumers the ability to not only upload clips, but also to edit them online. Terms of the deal weren't disclosed. Jumpcut, which launched in April, has done promotional deals with several entertainment companies (...). Studios have made their own videos available and then invited consumers to use Jumpcut's editor to re-mix the clips by incorporating their own videos.
(...) Jumpcut recently was named one of the 10 best video-sharing sites by Light Reading, a telecom research company.".
jumpcut.com
DivX IPO
Great job done: introduced at $17, those guys are over $21 after less than a week. (nasdaq DIVX, market cap: 700M)
Wednesday, September 27
AP Images creates photo Web site
AP Images, a division of the Associated Press, Wednesday announced that it has created a photo Web site. The site (apimages.com) is designed to make it easier for buyers to search and download from millions of images that are available from AP and its content partners. Users can save searches and will be able to receive custom e-mail alerts when new images match their search parameters.
(Source: BtoB)
(Source: BtoB)
VideoEgg Launches User-Generated Video Ad Network
VideoEgg announced the launch of the Eggnetwork, a video ad network that allows advertisers to place ads in user-generated video across social networks including Bebo, Dogster, hi5 and Tagged.
ABC Strikes $3.6 Million Worth Of Ad Deals for ABC.com
MediaPost reports:
"ABC has inked $3.6M worth of deals with 36 advertisers for its new abc.com streaming video that promotes its prime-time lineup. Media buying and selling executives equate the figure as about double the CPM viewer prices of traditional TV. Each advertiser paid $100,000 for three months of commercial Web messages. (...) Internet pricing for streaming ads on prime-time shows equates to $25 per thousand households (CPM), say a number of media selling execs. That's double the traditional network TV pricing of around $12 CPM on households. (...)
A couple of weeks ago, Disney-ABC Television reached an agreement with ABC affiliates. Armed with a new ABC video player, stations could sell and insert local video Internet advertising. ABC will run three 30-second spots in each hour show, and two 30-second spots in a half-hour show. Internet video advertisers will be rotated in all ABC shows. Each advertiser will get a five-second introductory spot--for example, "this limited commercial viewing of 'Grey's Anatomy' is brought to you by Home Depot." Home Depot will then get all three 30-second spots. Different unique Internet users will see different advertisers.(...)"
"ABC has inked $3.6M worth of deals with 36 advertisers for its new abc.com streaming video that promotes its prime-time lineup. Media buying and selling executives equate the figure as about double the CPM viewer prices of traditional TV. Each advertiser paid $100,000 for three months of commercial Web messages. (...) Internet pricing for streaming ads on prime-time shows equates to $25 per thousand households (CPM), say a number of media selling execs. That's double the traditional network TV pricing of around $12 CPM on households. (...)
A couple of weeks ago, Disney-ABC Television reached an agreement with ABC affiliates. Armed with a new ABC video player, stations could sell and insert local video Internet advertising. ABC will run three 30-second spots in each hour show, and two 30-second spots in a half-hour show. Internet video advertisers will be rotated in all ABC shows. Each advertiser will get a five-second introductory spot--for example, "this limited commercial viewing of 'Grey's Anatomy' is brought to you by Home Depot." Home Depot will then get all three 30-second spots. Different unique Internet users will see different advertisers.(...)"
Internet Ad Revenue Reached A Record High
Revenue from online advertising set a new record by reaching $7.9 billion during the first six months of 2006. ($12.5B in 2005). Revenue grew 37%, leaving it on target for a fourth consecutive year of growth. It is also on track to set a record for the third year in a row.
- Keyword ads: 40%
- Display ads: 21%
- Classified ads: 20%
But still, online advertising represents only 5%of all U.S. advertising revenues.
- Keyword ads: 40%
- Display ads: 21%
- Classified ads: 20%
But still, online advertising represents only 5%of all U.S. advertising revenues.
Tuesday, September 26
MySpace Tops YouTube, Yahoo in Videos Streamed
MySpace is the top video site according to a new ComScore report.
The shorter, the better.
Yesterday at OMMA, a panel of online advertising and media executives agreed that shorter prerolls is better. Given the short attention span of the Internet audience, pre-roll video ads generally shouldn't last more than 15 seconds. And I tend to agree with that. Also, I think the Internet should not reproduce the TV model by 'forcing' advertisers to create :15 or :30 ads. Let's keep the creative creative!
Monday, September 25
The Simpsons and MySpace.
Fox's recent Web play for "The Simpsons," which involved placing a seven-minute clip from the show online in advance of the 18th season premiere of the series. Burger King was the exclusive sponsor, running both pre- and post-roll ads. Fox also gave the Simpsons wide play throughout its network; Homer Simpson's football predictions for that weekend's NFL games, for instance, ran on FoxSports.com.
In the three days that the Simpsons clip was available on Fox properties, it garnered 1.4 million streams, Levinsohn said. What's more, 80 percent of MySpace users watched five minutes of the clip, he added, while 50 percent of visitors who streamed the clip from Fox.com saw the entire video. Based on those numbers, Fox now is mulling similar initiatives for other types of premium video.
IAB Releases Accelerating Internet Ad Revenue Figures
Revenues for 2006 first six months reached a record high of approximately $7.9 billion, while the second quarter of 2006 alone totaled nearly $4.1 billion, a 5.5% increase over the first quarter and a 36% increase over the same period in 2005.
(Source: Adotas).
(Source: Adotas).
Online Broadcast Stats for August.
I will try to gather that data every month and add it to the blog on a regular basis.
| Top 10 Online Broadcast Media Destinations (Week ending August 27, 2006 US, Home and Work) | ||
|
| Unique Audience (000) | Active Reach (%) |
| Yahoo! TV | 4,438 | 3.36 |
| Clear Channel Online Network | 3,591 | 2.72 |
| BBC | 3,139 | 2.37 |
| NBC Universal | 2,972 | 2.25 |
| AOL Television | 2947 | 2.23 |
| Nick | 2,777 | 2.1 |
| MSN TV | 2,507 | 1.9 |
| CBS Television | 2,128 | 1.61 |
| TV.com | 1,727 | 1.31 |
| Gannett Broadcasting | 1,681 | 1.27 |
| Source: Nielsen//NetRatings NetView | ||
| Demographic Data for Broadcast Media Category (Month of July 2006 US, Home and Work) | |||
|
| Target | Unique Audience (000) | Audience Composition (%) |
| Total |
| 61,260 | 100 |
| Male |
| 29,958 | 48.9 |
| Female |
| 31,302 | 51.1 |
| Age | 2 - 11 | 2,879 | 4.7 |
|
| 12 - 17 | 4,622 | 7.54 |
|
| 18 - 24 | 3,061 | 5 |
|
| 25 - 34 | 9,335 | 15.24 |
|
| 35 - 49 | 21,814 | 35.61 |
|
| 45+ | 26,773 | 43.7 |
|
| 55+ | 12,645 | 20.64 |
|
| 65+ | 4,647 | 7.59 |
| HH Income | $ 0 - 24999 | 3,874 | 6.32 |
|
| $ 25000 - 49999 | 13,107 | 21.4 |
|
| $ 50000 - 74999 | 16,575 | 27.06 |
|
| $ 75000 - 99999 | 12,158 | 19.85 |
|
| $ 100000 - 149999 | 9,613 | 15.69 |
|
| $ 150000+ | 4,950 | 8.08 |
|
| No Response | 982 | 1.6 |
| Source: Nielsen//NetRatings NetView | |||
| Top 20 Advertisers | ||
|
| Impressions (000) | Share of all Impressions |
| The News Corporation Limited | 85,862 | 26.0% |
| Viacom Inc | 69,499 | 21.0% |
| General Electric Company | 31,891 | 9.7% |
| Time Warner Inc. | 31,541 | 9.6% |
| Discovery Communications, Inc. | 20,907 | 6.3% |
| E.W. Scripps Company | 11,649 | 3.5% |
| News 5 Net | 11,139 | 3.4% |
| A&E Television Networks | 10,794 | 3.3% |
| Cox Enterprises, Inc. | 10,390 | 3.1% |
| Public Broadcasting Service | 8,803 | 2.7% |
| Oxygen Media, Inc. | 8,220 | 2.5% |
| National Geographic Society | 6,907 | 2.1% |
| Grupo Dataflux, S.A. de C.V. | 5,141 | 1.6% |
| The Walt Disney Corporation | 3,432 | 1.0% |
| Academy of Television Arts & Sciences | 3,405 | 1.0% |
| Lifetime Entertainment Services | 2,671 | 0.8% |
| Sundance Channel | 1,452 | 0.4% |
| Speed Channel Network Inc | 1,387 | 0.4% |
| Courtroom Television Network | 1,091 | 0.3% |
| Comcast Corporation | 542 | 0.2% |
| Total | 330,168 | 100.0% |
| Source: Nielsen//NetRatings AdRelevance | ||
Warner Music's YouTube pact raises rights issues
Is it possible that the YouTube/WMG deal will never take place? Here's the real issue the music industry will fight for.
"The deal, in theory, clears all of WMG's recorded music and music video catalog for use on YouTube. In practice, that's a complicated goal. (...) Making its recorded music available in user-generated videos created by the YouTube community is a (..) thornier proposition. WMG isn't creating a centralized database of songs for YouTube users. Rather, the label is giving its blessing to YouTube users who take WMG songs they already own and feature them in videos posted to the site. Think a wedding video with the happy couple swaying to "Time of Your Life" by WMG act Green Day.
While WMG is signing off on its master rights for recordings, two other rights -- performance and synchronization -- are triggered by YouTube usage. For the right to perform, or stream, the songs, YouTube already has obtained a license from BMI. Of the other two performing rights societies, ASCAP (American Society of Composers, Authors and Publishers) says it is "in sensitive negotiations" with YouTube, and SESAC (Society of European Stage Authors and Composers) declined comment."
(Source: Reuters)
"The deal, in theory, clears all of WMG's recorded music and music video catalog for use on YouTube. In practice, that's a complicated goal. (...) Making its recorded music available in user-generated videos created by the YouTube community is a (..) thornier proposition. WMG isn't creating a centralized database of songs for YouTube users. Rather, the label is giving its blessing to YouTube users who take WMG songs they already own and feature them in videos posted to the site. Think a wedding video with the happy couple swaying to "Time of Your Life" by WMG act Green Day.
While WMG is signing off on its master rights for recordings, two other rights -- performance and synchronization -- are triggered by YouTube usage. For the right to perform, or stream, the songs, YouTube already has obtained a license from BMI. Of the other two performing rights societies, ASCAP (American Society of Composers, Authors and Publishers) says it is "in sensitive negotiations" with YouTube, and SESAC (Society of European Stage Authors and Composers) declined comment."
(Source: Reuters)
Thursday, September 21
AOL Reorg Seeks Ad Sales Growth Worldwide
AOL announced plans to reorganize its business and focus on increasing online advertising sales worldwide.
Rumors again....
YouTube is apparently holding out for $1.5 billion in a potential sale - a "magic number" that, according to the New York Post, is far above what media executives are willing to pay for it.
Facebook in talks with Yahoo!
Facebook is in serious talks to sell itself to Yahoo for an amount that could approach $1 billion, The Wall Street Journal reported on Thursday.
Yahoo, Current Launch Vlog Network
Yahoo will start a new video-sharing site through a partnership with Current TV, the cable network founded by former Vice President Al Gore. The Yahoo Current Network encompasses both professional and amateur videos aimed at 18- to-24-year-olds, and will debut with four channels on Yahoo Video.
Wednesday, September 20
Web Video Takes Off, Ads Trail
Article found on Forbes:
"(...) The relative scarcity of online video ad inventory has caused the cost per thousand impressions to climb about 15% to 20% this year, estimates James Kiernan, vice president and associate director of digital media and innovation at MediaVest USA in New York. While a 30-second ad during a prime-time broadcast TV show typically fetches a CPM rate of about $20, a 15- or 30-second online video ad currently commands a CPM of around $20 to $50, Kiernan says. Another stumbling block for mainstream advertisers is figuring out what kind of ads a Web user can stomach. Most of the video on the Web runs for just a few minutes. That means most Web sites with video content dare not tack on more than one "pre-roll" ad, which run before the clip itself, for fear of scaring off viewers.(...)"
"(...) The relative scarcity of online video ad inventory has caused the cost per thousand impressions to climb about 15% to 20% this year, estimates James Kiernan, vice president and associate director of digital media and innovation at MediaVest USA in New York. While a 30-second ad during a prime-time broadcast TV show typically fetches a CPM rate of about $20, a 15- or 30-second online video ad currently commands a CPM of around $20 to $50, Kiernan says. Another stumbling block for mainstream advertisers is figuring out what kind of ads a Web user can stomach. Most of the video on the Web runs for just a few minutes. That means most Web sites with video content dare not tack on more than one "pre-roll" ad, which run before the clip itself, for fear of scaring off viewers.(...)"
Feds Post Anti-Drug Videos On YouTube
Last week, the White House quietly began posting anti-drug ads from TV on the popular video-sharing site.
Yahoo Ad Growth Slows In September
Yahoo expects to miss its third-quarter financial estimates because of slower advertising sales in the financial services and automotive sectors. The announcement sent the Internet portal's stock down 11.2 percent and led a broader Nasdaq decline of 13.38 percent
YouTube To Share Ad Revenues?
The company has announced today that it is rolling out a technology designed to automatically spot copyrighted material that user upload without permission of media companies, and then to share ad revenue with those companies.
Tuesday, September 19
Video Publishers list
For what it's worth, here's a list of publishers I found...
Youtube, Google Video, iFilm, Metacafe, Dailymotion, Myspace, Angry Alien, AnimeEpisodes.Net, Badjojo, Blastro, Blennus, Blip.tv , Bofunk, Bolt, Break.com, Castpost, CollegeHumor, Current TV, Dachix, Danerd, DailySixer.com, DevilDucky, Double Agent, eVideoShare, EVTV1, FindVideos, Free Video Blog, Grinvi, Grouper, Hiphopdeal, Kontraband, Lulu TV, Midis.biz, Music.com, MusicVideoCodes.info, MySpace Video Code, Newgrounds, NothingToxic, PcPlanets, Pixparty, PlsThx, Putfile, Revver, Sharkle, SmitHappens, StreetFire, That Video Site, TotallyCrap, VideoCodes4U, VideoCodesWorld, VideoCodeZone, vidiLife, Vimeo, vSocial, Yikers, ZippyVideos
Youtube, Google Video, iFilm, Metacafe, Dailymotion, Myspace, Angry Alien, AnimeEpisodes.Net, Badjojo, Blastro, Blennus, Blip.tv , Bofunk, Bolt, Break.com, Castpost, CollegeHumor, Current TV, Dachix, Danerd, DailySixer.com, DevilDucky, Double Agent, eVideoShare, EVTV1, FindVideos, Free Video Blog, Grinvi, Grouper, Hiphopdeal, Kontraband, Lulu TV, Midis.biz, Music.com, MusicVideoCodes.info, MySpace Video Code, Newgrounds, NothingToxic, PcPlanets, Pixparty, PlsThx, Putfile, Revver, Sharkle, SmitHappens, StreetFire, That Video Site, TotallyCrap, VideoCodes4U, VideoCodesWorld, VideoCodeZone, vidiLife, Vimeo, vSocial, Yikers, ZippyVideos
Takeaways from Goldman Sachs conference
- News Corp doesn't intend to distribute content on other companies' Web properties.
- Time Warner and CBS are placing articles, videos and other content on as many sites as possible.
- Time Warner and CBS are placing articles, videos and other content on as many sites as possible.
Yahoo Warns of Slowing Ad Growth
Yahoo executives warned that online advertising growth appears to be slowing in some categories, prompting the Internet giant's shares to plunge more than 10% in heavy trading.
At an investor conference Tuesday, executives said they have seen growth weaken in ads from automotive and financial services companies, adding that it's too early to tell if the slowdown will spill over into other areas.
At an investor conference Tuesday, executives said they have seen growth weaken in ads from automotive and financial services companies, adding that it's too early to tell if the slowdown will spill over into other areas.
Blinx syndicates Freecaster content
Freecaster, a library of extreme sports clips, and video search engine blinkx have announced a partnership that will make Freecaster's offerings fully searchable at blinkxtv.com. Blinkx users will be able to access Freecaster's collection of sporting and music clips as well its major athlete and rock star profiles
Soapbox
"Microsoft has launched the U.S. beta version of Soapbox, its YouTube-like video sharing service. (...) Unlike YouTube, access to the MSN beta is by invite only. (...) Soapbox has 15 video categories, RSS feeds, commenting, tagging, and the ability to send videos via email or to embed them on other websites. Microsoft will gradually expand the beta and let existing members invite their friends. "
(Source: Adotas)
(Source: Adotas)
Monday, September 18
Commission Junction adds Web Services product
Commission Junction, a division of ValueClick, announced the release of Web Services, a product that lets publishers and advertisers customize affiliate sign-up programs, provide direct access to product catalog data in real time, and offer searches based on keyword, model number, SKU and other options. As part of the launch, Commission Junction has created a Web site for its clients at
Video Net Nabs Sales Chief, Funding
NEW YORK Tremor Network said it has hired Randy Kilgore as chief revenue officer and recently closed an $8 million round of funding.
The New York-based video advertising network said Kilgore would be in charge of developing publisher relationships for Tremor's in-stream and in-banner ad placements, as well as working with agencies on campaigns. Kilgore spent over 15 years at Dow Jones, where he was most recently senior vice president of sales for Dow Jones Online.
Masthead Venture Partners and Canaan Partners led the funding round, Tremor's first. The proceeds are earmarked for expanding the company's publisher network and bolstering its sales force.
(Source: AdWeek)
The New York-based video advertising network said Kilgore would be in charge of developing publisher relationships for Tremor's in-stream and in-banner ad placements, as well as working with agencies on campaigns. Kilgore spent over 15 years at Dow Jones, where he was most recently senior vice president of sales for Dow Jones Online.
Masthead Venture Partners and Canaan Partners led the funding round, Tremor's first. The proceeds are earmarked for expanding the company's publisher network and bolstering its sales force.
(Source: AdWeek)
YouTube Traffic Grows 19%
YOUTUBE LAST MONTH GARNERED 19.1 million unique visitors, marking a 19% increase from July, according to comScore Media Metrix. With the extra traffic, YouTube became the 32nd most-visited Web property in the country.
(Source: MediaPost)
Google, Apple In iTV Talks
Google is in talks with Apple to provide video content on the device,
but neither company would offer any further information.
AOL Offers Publishers Free Video Search
HOPING TO BUILD ITS BRAND as a free video site, AOL is offering to
distribute its video search engine to other Web publishers for free.
"It's a play based on the belief that by helping the entire industry
grow, we'll help ourselves grow," said Tim Tuttle, vice president of
AOL Video.
AOL is making available open video search application programming
interfaces that Web publishers can place on their own sites for free,
but with a limit of 10,000 searches per day. If volume goes beyond
that, AOL would then seek branding on the site and/or revenue, said
Tuttle, who previously served as CEO and founder of the video search
engine Truveo, which AOL purchased last year for around $50 million.
AOL also is allowing video content owners to distribute their videos
throughout the Web by submitting feeds to the AOL video search engine.
AOL will then review the sites of content owners that submit feeds to
make sure their videos don't infringe on copyright, Tuttle said. If
approved, those sites' videos will then be available at any site that
powers its video search with AOL.
Separately, AOL today is also launching its AOL Video service for
computers with Intel Viiv; the new service will enable consumers with
Viiv technology in their computers to more easily view AOL Video on
large-screen TVs.
(Source: MediaPost)
YouTube signs with Warner Music
Music videos from artists like Madonna, Red Hot Chili Peppers and Sean Paul will be legally available for the first time on YouTube, a popular online video sharing site, after signing its first commercial partnership with Warner Music Group.
YouTube, which has over 100 million video viewed everyday, and Warner Music, the world's fourth biggest record company, said on Monday that the pact would help Warner distribute music videos, behind-the-scenes footage, artist interviews and original programming.
The companies said YouTube users would also be able to incorporate music from Warner's catalog into the videos they create and upload.
PreRoll is accepted by consumers!
According to a telephone poll by the AP and AOL, 71% of U.S. Internet users who watch online video prefer to watch and download videos for free, sponsored by pre-roll advertising, while only 23% said they would prefer to pay for ad-free content.
The poll also reports that
- Users prefer shorter videos
- 20% of those surveyed had downloaded or watched a full-length movie or TV show
- 54% of U.S. Internet users consume video online
- 32% of respondents say they watch more video online than they did a year ago
- 80% say their TV viewing habits remain unchanged
AOL EVP, Kevin Conroy, said "... video usage is growing faster than most predicted... As more and more Web users adopt broadband, demand for online video of all types, including news, music videos and concerts, TV and movies, sports highlights, and user generated video mash-ups will continue to grow at a very fast pace."
The poll, conducted by Ipsos Public Affairs among 1,347 online video watchers in the U.S., found that the top video categories were News, at 72%, and TV or movie clips, at 59%.
(Source: OMMA)Friday, September 15
Thursday, September 14
ABC Abandons CPM, Charges Flat Rates For Broadband Spots
THE SHIFT FROM BROADCAST TO broadband is having broad implication in the way TV networks sell ad time to advertisers. A top TV executive at Walt Disney Co. disclosed that the company is charging advertisers a flat rate--rather than using the TV industry's standard of CPMs--as the basis of ad deals for the spots running in the seven shows it will stream this fall on ABC.com. Speaking at an investors' conference, Anne Sweeney, president of the Disney-ABC Television Group, added that advertisers had the option of just buying into the online streams. Going forward, however, ABC will look to package those opportunities with spots on the network and other properties.
The ABC.com streams were not sold in the upfront, a deliberate move to try and extract premium pricing, Sweeney said.
She also confirmed reports about ABC's performance in the upfront: CPM jumps of 3 percent to 4 percent and a total prime-time take of $2.3 billion.
In a sign of just how crucial prime time is to a network's success, she said ABC pulled in $3 billion for all dayparts in the upfront--meaning prime time accounted for 77 percent.
Still, Sweeney said the upfront was the tip of the iceberg. The network is "focused on a 52-week selling cycle" and encouraged by scatter pricing for the fall. Last season, scatter pricing showed double-digit increases over upfront pricing.
The ABC.com streams were not sold in the upfront, a deliberate move to try and extract premium pricing, Sweeney said.
She also confirmed reports about ABC's performance in the upfront: CPM jumps of 3 percent to 4 percent and a total prime-time take of $2.3 billion.
In a sign of just how crucial prime time is to a network's success, she said ABC pulled in $3 billion for all dayparts in the upfront--meaning prime time accounted for 77 percent.
Still, Sweeney said the upfront was the tip of the iceberg. The network is "focused on a 52-week selling cycle" and encouraged by scatter pricing for the fall. Last season, scatter pricing showed double-digit increases over upfront pricing.
CBS wants to buy the next YouTube, not YouTube
CBS Corp is interested in spotting the next big phenomenon in user-generated programming over the Internet, not buying market leader YouTube, Chief Executive Leslie Moonves said on Thursday. "It is obviously phenomenally successful," Moonves said of YouTube. "I doubt we would buy it at this point. Maybe we would look for the next YouTube, the next great idea that's not spread across the world."
Local Ads Come to ABC Online Shows
The Walt Disney Company has come to an agreement with local ABC television affiliates to add local advertisements to the network's online shows. Episodes of ABC series such as Desperate Housewives and Lost can be viewed with an ad-supported broadband video player that Disney will make available for download later this month, Reuters reports.
Clash between UMG and YouTube...
The New York Post reports:
"Universal Music chief Doug Morris launched a loud salvo at YouTube, warning the upstart Internet firm that it could come into the legal crosshairs of the world's largest music company.
YouTube, the prolific swapper of videos online, consistently violates the music industry's copyrights when it allows users to post videos, Morris said in a speech at a Merrill Lynch conference in California.
Morris' cage-rattling could signal the first legal fight on behalf of a major content company against YouTube, which was founded less than two years ago but has quickly become the dominant online video site. According to industry data, some 60 percent of videos viewed online come from YouTube.
A mega-lawsuit over copyrights would complicate YouTube's plans to sell itself to a major media company or launch an initial public offering.
As more video content hits the Web, YouTube is now seen as the Internet's hot property and many on Wall Street and in Silicon Valley are betting on its acquisition.
YouTube did not respond to a request for comment.
"What doesn't work for us are companies trying to build businesses using our content without our getting a fair share," Morris said.
Morris related a frequent historical gripe often mentioned by music execs, saying the industry made a costly mistake in the 1980s when it agreed to give MTV free music videos. At the time, the industry saw the fledlging video trend as mere publicity to sell albums, rather than as a revenue generator itself.
"The poster child for this was MTV," Morris said. "Twenty-five years ago, they built a multibillion-dollar company on our software.
"They received the software for virtually nothing. We learned a hard lesson. Recently, companies like Yahoo! and AOL started video on demand running ads between our videos. We asked for payment; they said no. We took down our videos and they said yes. Now we share in their advertising revenue."
Morris said YouTube and other sites "owe us tens of millions of dollars. How we deal with these companies will be revealed shortly."
The four major music companies, also including Warner Music, EMI and SonyBMG, have been in talks with YouTube about licensing arrangements, but so far no deals have been reached. "
"Universal Music chief Doug Morris launched a loud salvo at YouTube, warning the upstart Internet firm that it could come into the legal crosshairs of the world's largest music company.
YouTube, the prolific swapper of videos online, consistently violates the music industry's copyrights when it allows users to post videos, Morris said in a speech at a Merrill Lynch conference in California.
Morris' cage-rattling could signal the first legal fight on behalf of a major content company against YouTube, which was founded less than two years ago but has quickly become the dominant online video site. According to industry data, some 60 percent of videos viewed online come from YouTube.
A mega-lawsuit over copyrights would complicate YouTube's plans to sell itself to a major media company or launch an initial public offering.
As more video content hits the Web, YouTube is now seen as the Internet's hot property and many on Wall Street and in Silicon Valley are betting on its acquisition.
YouTube did not respond to a request for comment.
"What doesn't work for us are companies trying to build businesses using our content without our getting a fair share," Morris said.
Morris related a frequent historical gripe often mentioned by music execs, saying the industry made a costly mistake in the 1980s when it agreed to give MTV free music videos. At the time, the industry saw the fledlging video trend as mere publicity to sell albums, rather than as a revenue generator itself.
"The poster child for this was MTV," Morris said. "Twenty-five years ago, they built a multibillion-dollar company on our software.
"They received the software for virtually nothing. We learned a hard lesson. Recently, companies like Yahoo! and AOL started video on demand running ads between our videos. We asked for payment; they said no. We took down our videos and they said yes. Now we share in their advertising revenue."
Morris said YouTube and other sites "owe us tens of millions of dollars. How we deal with these companies will be revealed shortly."
The four major music companies, also including Warner Music, EMI and SonyBMG, have been in talks with YouTube about licensing arrangements, but so far no deals have been reached. "
Google Video to Stream CBS Primetime Lineup
CBS is the latest network to preview its fall primetime lineup online, on demand and free - via Google Video.
Wednesday, September 13
Universal Music to sue YouTube?
Found on MediaPost:
"(...)Speaking at a Merrill Lynch conference Tuesday, Universal Music CEO Doug Morris complained that YouTube and MySpace owed Universal "tens of millions of dollars" for copyright infringement. Universal is in negotiations with the sites, but indicated yesterday that it will sue should talks fall through. "This could be the first salvo from a content player against business models based on user-generated content, much of which relies on copyrighted material," wrote Merrill Lynch analyst Jessica Reif Cohen in a report about the conference. Morris's remarks, she wrote, "strongly suggested the company was planning to take legal action in the near-term to either prevent the illegal use of their content on these Web sites or to ensure the company is compensated for the use of its content."
The company's main concern appears to be the MTV-style music videos that users have uploaded to the site. Universal makes a limited number of these types of clips available for free streaming at AOL and Yahoo, but the portals pay a licensing fee. YouTube and MySpace, by contrast, have no agreement with the major labels to allow them to stream music videos. But the sites also don't post the content themselves; rather they rely on users to post it.
(...) Coincidentally, Morris vented about YouTube at the same time that NBC exec Randy Falco was likewise complaining about the video sharing site. "When 'Saturday Night Live' had a great clip of 'Lazy Sunday,' YouTube made a lot of money off it," Falco said Tuesday at a press conference, announcing the new broadband venture NBBC. "In the future, when we have a 'Lazy Sunday' clip, NBBC will make a lot of money on it." "Revver is out of beta!
Adotas reports:
"Revver, a marketplace for online ad-supported viral video, has emerged from beta, becoming what the company calls a "Viral Advertising Network." Revver wants to connect content creators with advertisers and viewers. Users upload video clips just like YouTube, or any other video-sharing site. But Revver matches video clips with appropriate advertising, allowing the content creator to earn revenue on what they post, and picking up some of the cost so users can watch for free.
"Revver is a next generation service for the online video market," said CEO Steven Starr in a statement. "We embrace the viral power of the Internet to help people benefit from the popularity of videos no matter where they are viewed online. By leveraging the Internet as one big platform for commerce, Revver has created a real marketplace for this new medium."
As part of the public release, Revver has updated its web interface and added more community-focused tools. Users can create their own web pages, view video analytics, send messages to other Revver users, create their own video collections, and add a Revver video feed to their own blog or website. The move out of beta has not been without hiccups. The Revver site has been down since about 9:00AM PDT this morning (9/13/06). "
"Revver, a marketplace for online ad-supported viral video, has emerged from beta, becoming what the company calls a "Viral Advertising Network." Revver wants to connect content creators with advertisers and viewers. Users upload video clips just like YouTube, or any other video-sharing site. But Revver matches video clips with appropriate advertising, allowing the content creator to earn revenue on what they post, and picking up some of the cost so users can watch for free.
"Revver is a next generation service for the online video market," said CEO Steven Starr in a statement. "We embrace the viral power of the Internet to help people benefit from the popularity of videos no matter where they are viewed online. By leveraging the Internet as one big platform for commerce, Revver has created a real marketplace for this new medium."
As part of the public release, Revver has updated its web interface and added more community-focused tools. Users can create their own web pages, view video analytics, send messages to other Revver users, create their own video collections, and add a Revver video feed to their own blog or website. The move out of beta has not been without hiccups. The Revver site has been down since about 9:00AM PDT this morning (9/13/06). "
Apple Sells Movie Downloads, Links PC With TV Screen
Apple chief Steve Jobs Tuesday unveiled a new section to the iTunes
store that allows users to purchase and download full-length movies.
The movies available at Tuesday's launch are provided by Pixar,
Miramax, Touchstone and Disney, all studios owned by Walt
Disney--where Jobs sits on the board and is the largest shareholder.
National Broadband Company
NBC Universal launched a venture with its affiliated TV stations on
Tuesday aimed at providing a legal and profitable way to distribute
video online. The venture will include video clips from third parties
such as CSTV, History Channel and others.
Advertisers will be able to buy ads by programming category but not by
specific video clip, a measure that NBC hopes will eliminate any
potential conflict with the ad sales efforts of its own affiliates and
other parties that contribute content to the system.
The network will focus on short clips that will retain high quality
standards. At the same time, NBC clearly wants to play into the
thriving video-sharing activities. Break.com is one of the first sites
which signed up.
Tuesday, September 12
No comments....
My clues are: the word "music" has disappeared and Jobs is sitting at Disney's board. Now the real challenge Apple will have is to offer a simple (single?) pricing model for users to buy videos...
Facebook Opens Enrollment To Everyone
Facebook.com will soon open its doors to all Web users. The move marks a continuing expansion for the site, which last year created networks for high school students and for employees of some businesses and government organizations.
Making Video Advertising Accountable to Consumers
Jeremy Lockhorn, group director at Avenue A | Razorfish writes:
"We've talked for years about the importance of accountability in this medium, and the metrics we've used to define that accountability have gone through a rapid evolution. It started with clicks and CTRs ; then we discovered we could track post-click behavior, conversions, and eventually lifetime value. Rich media brought a host of other possible measures: interaction rate, interaction time, individual action rates, and more. We layered in surveys to measure attitudinal response. At the end of the day, it all comes back to the marketers' bottom line and accountability in terms of ROI.
Now, we're waist-deep in yet another evolution of accountability. The term "Web 2.0" may be on its way to worn-out buzzword status, but the ideas and technologies behind it -- the power of social networking, community, and user-generated content -- are turning accountability on its head the same way they do everything else. Emerging advertising platforms will only live in a world of consumer control. And in that environment, accountability will include all those ROI-focused things and consumer control.
This change is most evident in how the industry is shifting its thinking (and, finally, the corresponding ad models) about online video ads. This is such a hot commodity because video, like so many emerging platforms for digital advertising, is full of both tremendous potential and paralyzing risk. There's a ton of experimenting going on now, and that's a good thing. It's only going to get more intense over the next year.
Video, at least in terms of advertising, tends to disguise itself as a bridge between on- and offline. Though it can serve that role, don't be fooled. Simply repurposing TV spots is ultimately not the best way to leverage the medium's power. And though most online video advertising today does just that, there are obviously other ways to approach it. Those publishers and marketers who do approach it differently are really starting to understand this new idea of consumer control and accountability to the audience. Let's take a look at a couple examples that may tell of things to come.
Keep in mind that one key theme these examples share is they put the user at the center. They respect that there's somewhat of a backlash against intrusive, irrelevant advertising, and they seek to make the ads accountable, first to the consumer and second to the marketer's bottom line. They seek a fair trade: value for the user in exchange for attention.
ABC's Online Video Test
ABC built a unique online experience from its TV broadcast programming and thought carefully about how to integrate advertising. The test was successful enough that the network is going to relaunch the application in the fall with a tweaked interface.
Much has already been written about the test, including some impressive marketing results from the included ads (87 percent ad recall). I'm sure there are many reasons for its success, but I think two factors played a big role: interactivity and the lack of clutter. We all preach interactivity in the digital space, but it was refreshing to see a publisher open the gates -- especially in an environment where the temptation is to stick with noninteractive and ad avails that simply mirror the TV model.
In terms of clutter, ABC practically eliminated it. The number of commercials per episode was scaled way back (one per pod, I think), and it was the same advertiser throughout the episode. You have the audience's undivided attention and don't have to worry about other things in the channel competing for it. Novelty was likely a factor as well, and we may see results trail off as consumers adjust (as we've seen with rich media formats). But I suspect we'll still see really great performance even after the experience becomes more commonplace.
To me, the environment ABC built is the kind of innovation we need more of to really make video work online. Again, the experiment succeeded because the network was accountable to the consumer first and the bottom line second.
YouTube's New Ad Models
YouTube went a step further with the recent introduction of new ad models. Custom channels allow marketers to develop a unique interactive experience without forcing users to leave the site. It's the same principal that drives the success of many rich media formats: Don't get intrusive, and don't force an immediate click-through. Instead, make your content, in this case, your advertising, relevant to users and available in the context of whatever they were doing. It's why expanding ads are becoming the new standard.
In the second model, YouTube is allowing video ads but requiring they be open to ratings and commentary by users, just like any other video on the site. This is so simple, but it's a brilliant experiment. It forces the advertiser to be accountable to the consumer. If your ad stinks, people will give it bad ratings and trash it in the commentary. Either it won't be watched or it'll be watched by people driven by morbid curiosity.
That may well be what consumer control of advertising looks like for the near future. Yeah, it's scary. But in reality, your brand has always been about what the people think of you, not what your advertising tells them to think. Smart marketers are already embracing this, taking those calculated risks with the knowledge that experimenting now will lead to expertise and leadership later.
I'm out of space here, and I didn't get to talk about in-page (or in-banner) video, where there's also some interesting experimenting. Look for that next time."
"We've talked for years about the importance of accountability in this medium, and the metrics we've used to define that accountability have gone through a rapid evolution. It started with clicks and CTRs ; then we discovered we could track post-click behavior, conversions, and eventually lifetime value. Rich media brought a host of other possible measures: interaction rate, interaction time, individual action rates, and more. We layered in surveys to measure attitudinal response. At the end of the day, it all comes back to the marketers' bottom line and accountability in terms of ROI.
Now, we're waist-deep in yet another evolution of accountability. The term "Web 2.0" may be on its way to worn-out buzzword status, but the ideas and technologies behind it -- the power of social networking, community, and user-generated content -- are turning accountability on its head the same way they do everything else. Emerging advertising platforms will only live in a world of consumer control. And in that environment, accountability will include all those ROI-focused things and consumer control.
This change is most evident in how the industry is shifting its thinking (and, finally, the corresponding ad models) about online video ads. This is such a hot commodity because video, like so many emerging platforms for digital advertising, is full of both tremendous potential and paralyzing risk. There's a ton of experimenting going on now, and that's a good thing. It's only going to get more intense over the next year.
Video, at least in terms of advertising, tends to disguise itself as a bridge between on- and offline. Though it can serve that role, don't be fooled. Simply repurposing TV spots is ultimately not the best way to leverage the medium's power. And though most online video advertising today does just that, there are obviously other ways to approach it. Those publishers and marketers who do approach it differently are really starting to understand this new idea of consumer control and accountability to the audience. Let's take a look at a couple examples that may tell of things to come.
Keep in mind that one key theme these examples share is they put the user at the center. They respect that there's somewhat of a backlash against intrusive, irrelevant advertising, and they seek to make the ads accountable, first to the consumer and second to the marketer's bottom line. They seek a fair trade: value for the user in exchange for attention.
ABC's Online Video Test
ABC built a unique online experience from its TV broadcast programming and thought carefully about how to integrate advertising. The test was successful enough that the network is going to relaunch the application in the fall with a tweaked interface.
Much has already been written about the test, including some impressive marketing results from the included ads (87 percent ad recall). I'm sure there are many reasons for its success, but I think two factors played a big role: interactivity and the lack of clutter. We all preach interactivity in the digital space, but it was refreshing to see a publisher open the gates -- especially in an environment where the temptation is to stick with noninteractive and ad avails that simply mirror the TV model.
In terms of clutter, ABC practically eliminated it. The number of commercials per episode was scaled way back (one per pod, I think), and it was the same advertiser throughout the episode. You have the audience's undivided attention and don't have to worry about other things in the channel competing for it. Novelty was likely a factor as well, and we may see results trail off as consumers adjust (as we've seen with rich media formats). But I suspect we'll still see really great performance even after the experience becomes more commonplace.
To me, the environment ABC built is the kind of innovation we need more of to really make video work online. Again, the experiment succeeded because the network was accountable to the consumer first and the bottom line second.
YouTube's New Ad Models
YouTube went a step further with the recent introduction of new ad models. Custom channels allow marketers to develop a unique interactive experience without forcing users to leave the site. It's the same principal that drives the success of many rich media formats: Don't get intrusive, and don't force an immediate click-through. Instead, make your content, in this case, your advertising, relevant to users and available in the context of whatever they were doing. It's why expanding ads are becoming the new standard.
In the second model, YouTube is allowing video ads but requiring they be open to ratings and commentary by users, just like any other video on the site. This is so simple, but it's a brilliant experiment. It forces the advertiser to be accountable to the consumer. If your ad stinks, people will give it bad ratings and trash it in the commentary. Either it won't be watched or it'll be watched by people driven by morbid curiosity.
That may well be what consumer control of advertising looks like for the near future. Yeah, it's scary. But in reality, your brand has always been about what the people think of you, not what your advertising tells them to think. Smart marketers are already embracing this, taking those calculated risks with the knowledge that experimenting now will lead to expertise and leadership later.
I'm out of space here, and I didn't get to talk about in-page (or in-banner) video, where there's also some interesting experimenting. Look for that next time."
"Lonely Girl"
Finally, here's the truth about that highly viewed series of videos. MediaPost reports:
"This spring, videos of "LonelyGirl 15," a supposedly home-schooled 16-year-old, surfaced on YouTube. She detailed her so-called life in a series of high-quality clips. "LonelyGirl," aka "Bree," made videos in which she spoke about her made-for-TV religious father, a lazy eye and her friend "Daniel."But the popular videos--they racked up around 1.5 million views by the end of August--seemed fishy. The quality was just a little too good; the story arcs a little too Hollywood.
People began to wonder whether the videos were Web 2.0's first "Blair Witch" campaign--a promotional effort for a movie masquerading as user-produced content. But the very things that lent the 1999 "Blair Witch" campaign an air of authenticity--the grainy video and shaky camera work-- were suspiciously absent from the LonelyGirl 15 oeuvre.
By the end of August, the videos had been viewed around 1.5 million times, drawing worldwide media attention. The U.K. paper The Times ran a credulous article, "Worldwide fame for a lonely girl," which included an e-mail from Bree explaining that she found vlogging more fun than her usual routine, in which she found herself "stuck studying the Treaty of Versailles or Occam's razor." The article even included an expert weighing in with the opinion that people post video logs as a form of therapy.
But other journalists were skeptical. Virginia Heffernan of The New York Times devoted several blog entries to sussing out whether Bree was genuine and, if not, who was likely behind the videos. By last week, three consumer-detectives who had corresponded with "Lonely Girl" figured out that Bree's e-mails were originating from Hollywood's Creative Artists Agency. The revelations forced the site's creators to finally admit the jig was up, though they have yet to reveal the entire story.
"Thank you so much for enjoying our show so far," they posted on an online forum devoted to LonelyGirl 15. "With your help we believe we are witnessing the birth of a new art form. Our intention from the outset has been to tell a story-- A story that could only be told using the medium of video blogs and the distribution power of the internet."
The authors of the post promise that more details will come out in time. For now, many questions remain--including some questions about whether CAA really is behind the stunt, or if they're being set up somehow.
Regardless, as with "The Blair Witch Project," LonelyGirl 15 undoubtedly will prove far less interesting to people now that it's clear she's at least partially a creation of Hollywood."
Dave.TV Lets Sites Publish Video, Share Ad Revenue
Video-sharing site Dave.TV is launching a new service that will let users set up personalized versions of the video portal on their own Web sites. By embedding the MyTVBox media player, people will be able to post videos, photos and MP3 files directly to their own sites or blogs and share in revenue from video ads that run on their MyTVBox.
Monday, September 11
Revver's latest interview
Max Kalehoff (VP marketing for Nielsen BuzzMetrics) reports in MediaPost's Online Spin :
"I met Oliver Luckett, Revver's co-founder, senior vice president of network development, on a panel I co-moderated at June's Supernova Conference. I asked him to share a few thoughts about Revver and the democratization of online video:
Max Kalehoff: What differentiates Revver from other online video platforms?
Luckett: We're not a portal, but instead we have embraced the distribution and monetization of content through very powerful tools. With that comes responsibility for screening, and ensuring no copyright infringement. Humans watch over the network, and request more information on ownership of content, or refuse it. We simply don't run ads against pirated content. Everyone knows that's wrong, but everyone's skirting around the game and it makes studios and creatives angry. It's important to build and nurture the relationship with the creator. We're building a legitimate business to allow people to maintain their individual creator identity, and still have a revenue and sponsorship model that is attached to it. As a media buyer on Revver, you're supporting real original artists, not YouTube. That's a huge emotional connection.
Kalehoff: Who are your stakeholders?
Luckett: First is the content creator, then the sponsors and affiliates. We're opening up our API [application programming interface] so big brands and affiliates can be Revver clones. We'll give you a video portal in a box to manage and host, just like an instant business. The positioning of the Revver brand is: if it's Revver-enabled, it's a trusted platform. We're democratizing the distribution and monetization of media. Revver is a trusted resource, similar to PayPal, and an ad-serving network combined in one. We're not unlike an Ebay-enabled store.
Kalehoff: Revver empowers semi-professional and serious amateur content creators, like the show with zefrank or Ask A Ninja. What about serious professionals?
Luckett: We're moving toward the professional spectrum, but online video itself is becoming a new art form in Hollywood. Consider Invisible Engine or It's All In Your Hands, where the audience chooses where the story will go next. It's professionally done, and emerging into a new form of serial programming, a new form of entertainment.
Kalehoff: Why do so many content creators still use other platforms that don't compensate or protect their work?
Luckett: I don't think they know about Revver, but they're learning quickly. Many of the biggest YouTube creators are moving to Revver. Many big creators also leave social-media portals like YouTube because the community is rough...comments become a place for spam and hatred. Even on the innocuous Firefox promotion, we had to take comments down because of spam and inappropriate feedback. But community is still important with Revver, particularly among content creators who educate one another about how to make money.
Kalehoff: Is Revver a friend or foe of online publishers?
Luckett: We're a huge friend of online publishers. We give them control, a call for action, a way to monetize content. Your audience is your best distributor if you're a big media brand. And if your audience can be your programmer, why not make money off of it? The value of the content is in the audience embracing it.
The big portals and search engines are a different story, however. Independent creators often get sucked into big companies like Google and Yahoo through exclusives, in an attempt to lock in their content. Google is not indexing the world's video, but trying to control it. That's not resonating with creators, who must ask themselves: am I part of a video community, or being pulled into a giant, faceless, soulless engine?
From a viewer perspective, discovery doesn't happen on search engines and mega portals with exclusives. Exclusives limit reach. Think of what happened to JibJab. Video discovery happens on affiliates, which serve as curators of content. We need MySpace, blogs and specialized niche portals. Your audience is your best promoter.
Kalehoff: A lot of media planners and buyers read this column. So, how do you sell advertising?
Luckett: We sell advertising on a cost-per-click basis, and we're now exploring CPM and sponsorship models. We view the video as an ad container. The player and the ads are dynamic and interchangeable--an automated, programmable file. We rely on keywords, authors, ratings and channels, powered by a human review process, to ensure the content is contextually relevant to advertising. In terms of audience ratings and metrics, 89 percent of views occur through syndication. We will use third-party solutions--like DART and ATLAS--and will open our API to other ad-serving systems. We'll allow people to create campaigns through other platforms."
"I met Oliver Luckett, Revver's co-founder, senior vice president of network development, on a panel I co-moderated at June's Supernova Conference. I asked him to share a few thoughts about Revver and the democratization of online video:
Max Kalehoff: What differentiates Revver from other online video platforms?
Luckett: We're not a portal, but instead we have embraced the distribution and monetization of content through very powerful tools. With that comes responsibility for screening, and ensuring no copyright infringement. Humans watch over the network, and request more information on ownership of content, or refuse it. We simply don't run ads against pirated content. Everyone knows that's wrong, but everyone's skirting around the game and it makes studios and creatives angry. It's important to build and nurture the relationship with the creator. We're building a legitimate business to allow people to maintain their individual creator identity, and still have a revenue and sponsorship model that is attached to it. As a media buyer on Revver, you're supporting real original artists, not YouTube. That's a huge emotional connection.
Kalehoff: Who are your stakeholders?
Luckett: First is the content creator, then the sponsors and affiliates. We're opening up our API [application programming interface] so big brands and affiliates can be Revver clones. We'll give you a video portal in a box to manage and host, just like an instant business. The positioning of the Revver brand is: if it's Revver-enabled, it's a trusted platform. We're democratizing the distribution and monetization of media. Revver is a trusted resource, similar to PayPal, and an ad-serving network combined in one. We're not unlike an Ebay-enabled store.
Kalehoff: Revver empowers semi-professional and serious amateur content creators, like the show with zefrank or Ask A Ninja. What about serious professionals?
Luckett: We're moving toward the professional spectrum, but online video itself is becoming a new art form in Hollywood. Consider Invisible Engine or It's All In Your Hands, where the audience chooses where the story will go next. It's professionally done, and emerging into a new form of serial programming, a new form of entertainment.
Kalehoff: Why do so many content creators still use other platforms that don't compensate or protect their work?
Luckett: I don't think they know about Revver, but they're learning quickly. Many of the biggest YouTube creators are moving to Revver. Many big creators also leave social-media portals like YouTube because the community is rough...comments become a place for spam and hatred. Even on the innocuous Firefox promotion, we had to take comments down because of spam and inappropriate feedback. But community is still important with Revver, particularly among content creators who educate one another about how to make money.
Kalehoff: Is Revver a friend or foe of online publishers?
Luckett: We're a huge friend of online publishers. We give them control, a call for action, a way to monetize content. Your audience is your best distributor if you're a big media brand. And if your audience can be your programmer, why not make money off of it? The value of the content is in the audience embracing it.
The big portals and search engines are a different story, however. Independent creators often get sucked into big companies like Google and Yahoo through exclusives, in an attempt to lock in their content. Google is not indexing the world's video, but trying to control it. That's not resonating with creators, who must ask themselves: am I part of a video community, or being pulled into a giant, faceless, soulless engine?
From a viewer perspective, discovery doesn't happen on search engines and mega portals with exclusives. Exclusives limit reach. Think of what happened to JibJab. Video discovery happens on affiliates, which serve as curators of content. We need MySpace, blogs and specialized niche portals. Your audience is your best promoter.
Kalehoff: A lot of media planners and buyers read this column. So, how do you sell advertising?
Luckett: We sell advertising on a cost-per-click basis, and we're now exploring CPM and sponsorship models. We view the video as an ad container. The player and the ads are dynamic and interchangeable--an automated, programmable file. We rely on keywords, authors, ratings and channels, powered by a human review process, to ensure the content is contextually relevant to advertising. In terms of audience ratings and metrics, 89 percent of views occur through syndication. We will use third-party solutions--like DART and ATLAS--and will open our API to other ad-serving systems. We'll allow people to create campaigns through other platforms."
Friday, September 8
Amazon.com Launches Video Download Service
Adotas reports:
"Online retail giant Amazon.com has released its hotly anticipated Amazon Unbox digital download service, which offers TV shows, movies and video from 30 different studio and TV network partners from around the world, including the BBC, which alone is providing nearly 400 hours of content.
"Online retail giant Amazon.com has released its hotly anticipated Amazon Unbox digital download service, which offers TV shows, movies and video from 30 different studio and TV network partners from around the world, including the BBC, which alone is providing nearly 400 hours of content.
Other partners include CBS, FOX, Viacom, Sony, MGM, and Time Warner, though nothing from Walt Disney Co. or Disney-owned ABC however. This could likely be attributed to Disney's strong ties to Apple, who is expected to launch a digital movie download service of its own through iTunes. Shows are $1.99 an episode, and movies range from $7.99 to $14.99. Amazon claims the videos are DVD quality.
Unbox uses what Amazon calls RemoteLoad technology, which lets users purchase video on one computer, and download it to another, like a home PC or digital media center. "Amazon has built the ultimate solution for anyone who has ever had a friend or coworker tell them that they missed a great TV show last night," said Bill Carr, Amazon VP of digital media in a statement. "Now customers can visit Amazon.com while at work and download DVD-quality TV shows and movies to their PC at home or wherever it is most convenient for them to watch."
Young Americans Driving Online Video Surge
MediaPost reports:
"AMERICANS AGES 18-34 ARE ROUGHLY twice as likely to have downloaded television programs from the Web as the population at large, according to a new study by research firm Ipsos Insight.
Based on its survey of 1,143 Web users, Ipsos estimates that 10 percent of U.S. adults under 35 have downloaded a show, compared to 5 percent of the overall population. Downloading is even more prevalent among 18- to-24-year-olds; Ipsos reports that 14 percent of that group has downloaded a show. "
Wednesday, September 6
iTunes & Video
No doubt, the big buzz of the week is for Apple's Video iTunes.... Every newsletter, every report, every industry website reports it and speculates about it. If Apple created that viral marketing, then good job guys, the stock is skyrocketing. On the other hand, if they are not launching the service, we should all be ready to sell our shares!
Sunflower Broadband & MTV Networks Launch Dynamic VOD Ad Campaign
Adotas reports:
"(...)TV Networks and Cable television operator Sunflower Broadband have teamed up to launch a campaign that dynamically inserts national ads into on-demand cable television. Beginning this week, Sunflower will dynamically place ads into MTV's on-demand programming, kicking off with a campaign to promote Paramount Pictures' "Jackass Number Two."
"(...)TV Networks and Cable television operator Sunflower Broadband have teamed up to launch a campaign that dynamically inserts national ads into on-demand cable television. Beginning this week, Sunflower will dynamically place ads into MTV's on-demand programming, kicking off with a campaign to promote Paramount Pictures' "Jackass Number Two."
Sunflower's VOD system uses SeaChange International and Atlas On Demand technologies to splice fresh ads into on-demand content. Mediaedge:cia, which created and manages the "Jackass" campaign, uses an Atlas Media Console to plan, manage, and track the campaign. Because the SeaChange AdPulse VOD advertising platform handles ads independently of the shows in which they run, each ad can be trafficked separately. The ad copy for "Jackass" will be changed out at various times before and after the premiere to ensure that the ads are fresh and compelling."
Bud.tv
National brewer Anheuser-Busch will be launching an online video network called Bud.TV in February 2007, just in time to capitalize on the buzz from Superbowl XLI. Bud.TV will feature live and on-demand content. Viewers will be able to watch branded and original comedy, sports, news, celebrity interviews, short films and consumer-generated video. Bud.TV will also feature music downloads.
Online Viewers Prefer Shorter Content
MediaPost reports:
"Most people don't use the Internet to watch longer-form video content, according to a new poll of 3,000 Internet users by the Associated Press and AOL Video. Although over half of respondents had watched video online, only 1 in 5 had downloaded a full-length movie or TV show, the poll revealed. The most popular online video content is news clips, with 72 percent of respondents saying they had watched one. The poll also showed that ad support is the most popular model for online video: only 7 percent of viewers have paid to watch video content online, while almost three quarters said they prefer watching videos for free -- even if that meant some kind of advertising. Finally, the AOL poll found the speed of Internet connection makes a big difference in overall usage: 46 percent of Internet users who have high-speed access watch online video at least once a week, but that number falls to 22 percent among dial-up users."
New Search Engine Launches With Video Ads
I found on Search Engine watch that Chacha, a search engine that features human guides assisting users in their searches, launched this week. Unlike most other search engines, ChaCha serves video ads in addition to pay-per-click text links alongside its organic results.
"The service allows users to enter their keywords as with a regular search engine, and then transmits those keywords to a paid guide, who uses Web resources to find results and posts those results on the screen. A keyword-targeted video ad unit plays while the guide is assisting the search."
Click here: chacha.com
"The service allows users to enter their keywords as with a regular search engine, and then transmits those keywords to a paid guide, who uses Web resources to find results and posts those results on the screen. A keyword-targeted video ad unit plays while the guide is assisting the search."
Click here: chacha.com
MSN Adds Behavioral Targeting To Search
MSN reports they began integrating behavioral targeting features into their paid search program, adCenter. With the new service, advertisers can arrange to have their pay-per-click ads shown to users who MSN has identified as likely purchasers based on their Web-surfing history.
MSN will scrutinize people's searching history and sites visited to determine their likely interests, and then create 18 audience segments. The segments include mobile users, Internet power users, gamers, movie watchers, new/expecting moms, parents, and several categories encompassing travel searchers, and auto buyers and researchers.
MSN will scrutinize people's searching history and sites visited to determine their likely interests, and then create 18 audience segments. The segments include mobile users, Internet power users, gamers, movie watchers, new/expecting moms, parents, and several categories encompassing travel searchers, and auto buyers and researchers.
AP, AOL: Online Video Overblown
AOL and AP say, after canvassing in the internet, that online video usage data may be severely overblown. They report that only one-fifth of internet users have watched a full TV episode or movie online. That contrasts with the majority, who do download video - but it smaller clips, mostly as garnishings to other web content.
The sluggish acceptance of video via the net may be more an issue of supply than demand. Only recently have TV networks and movie studios started to cooperate with online content providers to allow their works online.
One of the major obstacles to that in the past has been broadly written contracts with video talent, making it unclear what sorts of royalties or other payment liabilities would beset studios if they let their content free onto the web. In the past few years, these contracts have been amended to allow more freedom in distribution.
The sluggish acceptance of video via the net may be more an issue of supply than demand. Only recently have TV networks and movie studios started to cooperate with online content providers to allow their works online.
One of the major obstacles to that in the past has been broadly written contracts with video talent, making it unclear what sorts of royalties or other payment liabilities would beset studios if they let their content free onto the web. In the past few years, these contracts have been amended to allow more freedom in distribution.
Darwin Visits Online Video Business Models
Tom Hespos writes in the OnlineSpin column:
"(...)YouTube deserves to be commended for waving off the beeping dump truck. It would be easy to adopt the pre-roll model, float an IPO, cash out and then move on to the next opportunity a few hundred million dollars richer. But it looks like YouTube wants a sustainable video play here, so they've debuted a model that is more respectful of the user experience. Branded channels will play a big role in this model, and this move is highly significant to the advertising community.
Of significance is the notion that responsibility for ad campaign performance is laid right at the feet of the advertiser. This adds a Darwinian element to YouTube campaigns that is healthy for the industry. The message is clear: Load up a co-branded channel with content that can't stand on its own and you'll waste your money. YouTube may just be the first brand medium where advertisers absolutely must create compelling content. No more firing off quick "buy now" ads and relying solely on the publisher to force-feed the message to the audience. YouTube users are fully in control, and if they don't like what they see, they won't even consider watching it.
I really like this model for a few reasons, not the least of which is that it realigns responsibility for success. YouTube simply creates the platform and gives advertisers access to it. It doesn't take on the responsibility of making sure that people who view the message click over to the advertiser's Web site, or making sure the advertiser gets a certain number of leads. It's really up to the advertiser to make something compelling.
The other big reason why I like the model is that it's going to force advertisers who do business with YouTube to rethink passive advertising. In order to really engage YouTube users, advertisers are going to have to learn online social networking skills, and develop those skills as much as they've developed the ability to produce a funny TV spot. Failure to grasp the social media aspect of YouTube means that a campaign will fail to realize its full potential. If advertisers pay more attention to the development of those skills, it means they'll apply them elsewhere, where they're needed--the blogosphere, on sites like MySpace and on community sites in general.(...)"
"(...)YouTube deserves to be commended for waving off the beeping dump truck. It would be easy to adopt the pre-roll model, float an IPO, cash out and then move on to the next opportunity a few hundred million dollars richer. But it looks like YouTube wants a sustainable video play here, so they've debuted a model that is more respectful of the user experience. Branded channels will play a big role in this model, and this move is highly significant to the advertising community.
Of significance is the notion that responsibility for ad campaign performance is laid right at the feet of the advertiser. This adds a Darwinian element to YouTube campaigns that is healthy for the industry. The message is clear: Load up a co-branded channel with content that can't stand on its own and you'll waste your money. YouTube may just be the first brand medium where advertisers absolutely must create compelling content. No more firing off quick "buy now" ads and relying solely on the publisher to force-feed the message to the audience. YouTube users are fully in control, and if they don't like what they see, they won't even consider watching it.
I really like this model for a few reasons, not the least of which is that it realigns responsibility for success. YouTube simply creates the platform and gives advertisers access to it. It doesn't take on the responsibility of making sure that people who view the message click over to the advertiser's Web site, or making sure the advertiser gets a certain number of leads. It's really up to the advertiser to make something compelling.
The other big reason why I like the model is that it's going to force advertisers who do business with YouTube to rethink passive advertising. In order to really engage YouTube users, advertisers are going to have to learn online social networking skills, and develop those skills as much as they've developed the ability to produce a funny TV spot. Failure to grasp the social media aspect of YouTube means that a campaign will fail to realize its full potential. If advertisers pay more attention to the development of those skills, it means they'll apply them elsewhere, where they're needed--the blogosphere, on sites like MySpace and on community sites in general.(...)"
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