Video Killed the Video Star

Tenacity5 will release the second edition of its email newsletter, the Monthly Marketing Mashup this week. Here is the November edition, “Video Killed the Video Star.”

Everyone is talking about how important video is to online content and marketing. They’re also saying TV advertising is dying. But why do they say that? What does that mean?

This month we dig deep into the video market to give you a complete briefing on the Internet video trend.

TV Is Not Dying

walking-dead-season-1

Many say TV ratings — and consequently advertising — are dying. Don’t believe it for a minute. The Internet is not killing video or TV. Video simply is moving from one distribution mechanism to another, from broadcast and cable to Internet downloads. And ad spends are following the eyeballs.

People love video content. Period! Younger people are just finding new ways to watch it. For example, The Walking Dead is the regular weekly best seller on iTunes. Call it cord cutting or just online video, Internet distributed programs are the immediate future. The distribution of video has caused both CBS and HBO to develop their own programs.

How Big Is Digital Video?

VideoViewers

By the end of 2014, 190 million people in the United States will have watched digital video across their various media devices. More than 100 million of those people watched a movie, which is certainly longer than the standard 30-second to two-minute YouTube schtick. We know Netflix made digital streaming a household experience. The brand remains at the top of its category.

Is Online Ad Growth Really Video Ad Growth?

Forrester declared that online ad spending would surpass TV in the next two years. One has to ask: Is that really true?

We think Forrester is thinking in pipes. In one pipe you have cable and broadcast television advertisements, and jn the other — the Internet — you have online ads. So Internet video ads are simply replacing the old traditional broadcast and cable video ads. For example, the Monty the Penguin ad for John Lewis took Facebook by storm in October.

Even AOL Wins with Original Online Video Content

We admit it; we were skeptical when AOL continued its original video content development en masse with 16 new programs this spring. Fast-forward to the autumn, and you can see that advertising on Internet TV programs now accounts for 38% of AOL’s non-search revenue. Even James Franco has joined the AOL line-up with his Verizon-sponsored series “Making a Scene with James Franco.”

Corporate Video More than a House of Cards?

Most technology-driven media giants are following Internet players AOL and Netflix with their own original Internet TV programs. Players include Microsoft, Yahoo! and Amazon.

They’re being joined by some Silicon Valley start-ups, like SlugBooks, a textbook purchasing site. SlugBooks uses its “Dorms” series to drive in-bound web traffic from college students. NASA offers its own TV programming for aerospace nerds.

Most Companies Only Use Video for Their Sites and Social Media

While video programs may be the hot online trend, a survey produced by video production company Flimp shows that most corporate video is created for corporate websites (80.8%) and social networks (69.2%). Some companies are using video for programs, customer service help, sales, training, etc. However, no other use topped 40% amongst corporate buyers.

Dollar Shave Club launched itself with an incredible two-minute YouTube video. The company’s YouTube ads are now making their way onto the traditional screen.

Producing Video Requires Budget

Video production is still one of the most expensive forms of content out there. A two-to-three minute video will cost you anywhere between $2500-$10,000. Original content programs are significant investments that can easily run over $100,000. Why so much? There are many reasons, but we like this list of 25 factors that weigh in on the cost of a video production.

Oh if you want a good laugh check out Dissolve’s Generic Brand Video. It may be the best marketing making fun of marketing video ever.

CMOs Plan to Deliver

CMOs and marketing executives know that video is a priority. Video production is tied as the top line item targeted for spend increases in 2015 at 71%, according to the CMO Council’s annual survey. Better get ready for moving pictures in 2015.

Adobe built an explainer ad to define CMO.com to CMOs. Now we need videos to explain websites.

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What CMOs Want: Better Social Integration & Analytics

The CMO Survey Reveals the Social Media Integration Gap

A few recent studies opened the CMO kimono, offering a glimpse into the top concerns on lead marketers’ minds. Not surprisingly, two primary issues are integrating social in a meaningful way into the larger marketing suite of tools (less than 10% in two studies think they’ve done it), and finding better analytics for measurement.
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Going Beyond Transactions to Learn More

Sales, marketing, branding and ROI drive much of today’s conversation about how to use social, content marketing and interactive. Yet it’s a missed opportunity when companies and nonprofits don’t use their sites to learn more about their stakeholders.

Surveying customers, harnessing data, and determining topical interests can help organizations better understand their customers, serve them with better information, and in turn, increase many desired marketing key performance indicators. Lower cost technologies make learning easier today, whether that’s using interstitial survey technologies, CRM tracking tools, or analytics.

I talked recently with Everyday Health VP of Market Research Carolina Petrini about how they are using Crowd Science to learn more about their stakeholders. They wanted to go beyond knowing that their readers were predominantly women to:
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The More We Stay, the Less We Say

Forrester recently updated its Technographics profiles (made famous in the book Groundswell) for global social media consumption, surveying 95,000 consumers across 18 countries in North America, Europe, Asia and Latin America. One primary finding was the lack of commenting occurring in mature western markets, including the United States.


Adoption is pretty much complete in the U.S. (86%) and globally. Almost everyone who is online also is using or has used social media. Comscore recently corroborated this data, saying 83% of the world’s online population participates in social media.

But, most of us in the United States are not social and care not to converse. The Forrester report finds that 2/3 of the US adult social media population doesn’t comment. This is notable.

Commenting seems to have decreased over the past six years. Perhaps it’s because of the widespread proliferation of mobile media with smaller screens and touch input. It’s certainly harder to type in a blog comment or critique a product on a smartphone.

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