Connected TV Category
Posted on Sep 11, 2013 by YuMe
According to a recent report from market research provider GfK, more than half of the total U.S. population watches streaming video online on a weekly basis. Consumers are increasingly turning to the Internet for long- and short-form content entertainment, and as more channels emerge to satisfy their demand for online video, brands are realizing the importance of incorporating Internet video advertising into their multichannel branding and marketing strategies.
GfK based its findings off a survey of 1,065 people between the ages 13 and 54 in June. Fifty-one percent reported watching television shows or movies using a streaming service at lease once per week. The research provider stated the number of people TV and movie watchers who view content online weekly increased from 37 percent in 2010 to 48 percent in 2012.
GfK attributed the growing role streaming content online plays in consumers' access to video to mobile technology and the emergence of connected TVs.
"The synergies between consumers and their connected devices are radically transforming video entertainment," said David Tice, senior vice president of media and entertainment at GfK.
Device and network improvements have made watching video on smartphones easier, and the impressive adoption rate of tablets has placed these devices in the hands of more video-hungry consumers. These developments have made mobile video advertising more important for brands and content publishers.
Meanwhile, smart TVs, set-top boxes and game consoles are enabling TV programming and movies streaming online to be viewed on the big screen in households across the country.
GfK noted that while streaming content is becoming more common across age groups, Generation Y consumers are most likely to watch movies online week, as 62 percent of respondents ages 13 to 33 reported doing so. Forty-six percent of Generation X participants – those 34 to 47 – and 30 of baby boomers 48 to 54 said the same.
Posted on Jul 1, 2013 by YuMe
Consumers have myriad device and service options when it comes to accessing video content. While a significant portion of the population still relies on live broadcast television programing, an increasing number of viewers are investing digital cable, set-top boxes, game consoles and other devices that make their TV sets Internet-capable or able to access video on-demand. Smart TVs are among the gadgets catching on among U.S. consumers, as a panel of retailers recently confirmed these home entertainment systems are seeing significant sales growth.
Smart TV users can access various Internet content services, making video advertising online a smart investment for brands aimed at engaging consumers across channels.
According to Mutlichannel News, Smart TV industry professionals recently gathered for the 2nd Screen Summit in New York, hosted by the Media & Entertainment Services Alliance and New Bay Media.
During the panel titled "Smart TVs: Use and Differentiation," retailers noted the advanced TVs are growing more sophisticated and popular, and they're selling at a healthy rate.
"We launched smart TVs early and have embraced the product," said Tom Campbell, corporate advisor and spokesperson for Video Audio Center. "We are showing smartphones and tablets, and we are looking for ways to provide solutions and display [all the] products because … these are much more than TVs."
Campbell claimed smart TV sales at his company increased 300 percent in 2013, Multichannel news reported.
Internet video viewing is a major pastime for smart TV owners, however Ben Arnold, industry analysis director for the NPD Group, reportedly said the majority of online video consumption takes place on computers, tablets and smartphones. With mobile technology playing an increasingly important role in how consumers access content, video ads on mobile are proving a vital component to any effective multichannel marketing campaign.
While smart TV sales may be surging for some retailers, a report by McKinsey & Company found these devices are only owned by 10 percent of U.S. households, suggesting brands must strive to engage with all device users.
Posted on Jun 4, 2013 by Kailani Joy
At Today’s Videonuze Ad Summit in NYC, leaders in the industry addressed several myths floating around CTV and video advertising. Panelists included Wendell Wenjen of LG, John Collins of MediaStorm, and YuMe’s very own Christie Hartbarger; the panel was moderated by Tom Morgan of Net2TV. Debunking the Myths of Video Advertising and Connected TV (CTV) discussed how CTVs are helping to drive online video delivery into the living room and why media buyers should pay attention to this growing trend now.
Common myths around CTV and video advertising:
Click here to check out the full presentation!
Posted on May 31, 2013 by YuMe
With a growing number of people streaming video on their television screens, more tech companies are jumping on the trend. While companies like Netflix, Hulu, Amazon and Wal-Mart are competing to provide the best content, device makers are striving to offer the best viewing tools. As the market expands, brands are finding online video advertising allows them to reach a wider consumer audience.
Recently, set-top box manufacturer Roku announced it just sealed $60 million in funding from investors to jumpstart its video streaming software. Media company Hearst and one unpublicized entity are behind the investment, which is also aimed at creating stronger partnerships between Roku and content providers.
TechCrunch explained the company's software plans go beyond just offering an affordable set-top box. The company has its eyes on the smart TV market, which is still slight but growing. While an actual Roku television may not be in the cards, devices like Apple TV and XBox One demonstrate the demand for all-in-one entertainment platforms. Both systems provide users with more than just video streaming options.
In a recent statement, Roku claimed it streamed more than one billion hours of video and music in 2012 alone. In addition, the company said its working with 24 original equipment manufacturers, most of which are television makers.
"Roku has a significant portfolio of investment and strategic partners with very successful global businesses," said founder and CEO Anthony Wood. "Their recognition of our brand success and belief in the Roku platform is a tremendous endorsement of our potential to shape the future television experience."
The heated competition in the streaming world demonstrates just how much consumers are watching content online. During April alone, 181.9 million Americans watched 38.8 billion videos on the Internet. Such a trend suggests online video advertising is extremely beneficial for brands and publishers alike.
Posted on Apr 30, 2013 by YuMe
Last week, Bloomberg reported Amazon's labs are currently working on a television streaming box to be released later this year.
As consumers across demographic groups are accessing television-like content through free and subscription based streaming, many tech giants are nurturing the trend by investing in services like Netflix and Hulu Plus through devices like smart TVs and attachable consoles. Amazon, which in the past decade has sprouted from a virtual book marketplace to the biggest online retailer, the maker of a top-selling tablet and a streaming service provider with Amazon Instant Video, is reportedly poised to enter the set box-top market.
While the claim has yet to be confirmed by Amazon, the rumor is suggestive of the state of streaming and how people watch TV shows and movies, making video ads online a smart investment for consumer brands.
Amazon box set-top reportedly in the works
Jeff Bezos, the company's CEO, has been a driving force in Amazon's arrival on the hardware market. Amazon already has a variety of Kindles available for purchase and presumably more in the works. Recent rumors suggest Amazon is also creating a 4.7-inch screen smartphone to be released next year, according to DigiTimes.
Bloomberg explained an Amazon box would compete with existing Apple TV, Boxee and Roku devices, a new version of which was released last month.
Jason Krikirorian, a general partner at consulting firm DCM and the former co-founder of Sling Media, told the news source a set-top box would "certainly make sense."
"They have a ton of content, an existing billing relationship with millions of users," he said.
Details remain hazy
Posted on Mar 28, 2013 by YuMe
Last year may have been considered the year of mobile, but as many focus on the growing capabilities and popularity of smartphones, tablets and everything in between, one trend is strengthening consumers' addiction to internet technology. Streaming is past its stage of infancy, and Netflix, Hulu, Amazon, HBO and other big names in entertainment have turned the web into a major hub for video content viewing.
Gadget makers have embraced audiences' need to access television shows, films and live events like major league games and award shows on demand. While streaming may have once been reserved for laptop screens, TV makers are constantly renovating their devices and creating new smart TVs that can support a variety of streaming apps. As companies look to increase their digital marketing budgets this year, brands and advertisers should be aware of hot new products to understand how consumers access entertainment to understand who is viewing pre-roll and other video ads online.
Here are some of the new nifty streaming-capable consoles hot on the market.
The Roku 3
While the Roku 3 doesn't look very different from previous Rokus, it features a new user interface aimed at improving browser and navigation capabilities. When users turn on their television screen and Roku, nine channels appear on the screen and moving from channel to channel is much easier than it was previously, The New York Times reports. In addition, the universal search tool lets viewers find exactly what they want quicker. The new interface will also hit older Rokus in the form of a device update.
The Roku 3 also has a faster processor and a new remote with a headset jack so users can access audio solely through headphones, bringing the TV viewing experience closer to how people watch videos on laptops and tablets.
The remote also serves a game controller.
The improved user-friendliness and viewing options will make streaming content more desirable than ever before, which expands brands' opportunities for online video advertising.
However, the Roku 3 is not compatible with a standard audio and visual cable, which may slightly stump its adoption.
Boxee TV ads streaming from mobile devices
Users will be able to watch video on computers and some Androids and iOS devices, TechCrunch explains. According to a recent study by Motorola, more than half of global web content consumers have downloaded or stored a TV program or film on a least one device and 76 percent expressed interest in a service that automatically loads content to their phone or tablet.
As more people access television and film content on mobile devices, DNLA streaming is growing in popularity, which means video ads on mobile may have the potential to reach millions of consumers.
Boxee TV is also adding Vudu, Wal-Mart's video streaming service.
Crowdfunding initiative shows support for the Ouya
Ouya recently stated it expects to have a video streaming feature when the product goes live in June or shortly after, according to Gizmag.
Julie Uhrman, Ouya's founder, said the brand is reaching out to many potential streaming partners. TechRadar presumes these services include Netflix, Hulu Plus and Amazon Instant Video.
Because the device received so much support early on, its brand loyalty will likely drive solid sales, which means video ads online are a must for companies that need to reach digital audiences.
Posted on Feb 13, 2013 by YuMe
When entertainment technology makes a breakthrough, the innovation may seem special at first, but it’s usually not long before it vampirizes the entire industry. Once new products see overwhelming popularity, they don’t just become the standard in their category, they also wipe out whatever people relied on beforehand.
For example, while flat screen televisions were once considered luxury goods less than a decade ago, consumers today have a variety of flat screen options across ranges. It’s also close to impossible to find a new television that is not flat screen in stores and online.
As TVs that connect users to the web gain a stronger grasp on the home entertainment device market, it won’t be long before all televisions have these capabilities, states Arthur Goldstruck for Business Day Live. Goldstruck is the founder of World Wide Worx, a technology research firm.
The future of TV is internet
In late 2012, 45 percent of respondents to YuMe’s respondents said they plan to purchase a new television in the next 12 months. This rate is up from 33 percent the previous year, which suggests tablets, smartphones and other devices are in no way replacing the television set.
What is likely being replaced though is TV in its traditional sense. One-third of respondents who plan to buy a TV are expecting to purchase a smart TV, meaning nearly 20 percent of homes could have one of these devices in the next year.
Meanwhile, consumers are also showing interest in connecting devices to their TV to view internet content on the big screen.
What and how consumers watch
While many on-demand services provide users with the option of purchasing one video or a monthly subscription to content that is ad-free, the majority of consumers prefer watching free content that integrates commercials throughout the video. While traditional television commercials often get muted or cut off when viewers change the channel, online content viewers understand the tradeoff between free content and being shown ads. They’re more likely to watch ads in their entirety.
A growing advertising platform
Miles Lewis, the vice president of advertising and sales at Shazam, agreed, adding that multi-screen campaigns give brands the opportunity ”to enable consumers to engage more deeply with a 30-second spot.”
YuMe’s whitepaper supports these claims. More than three-quarters of consumers said they’ve used a laptop, mobile phone or tablet while watching television. More than half reported using two screens at least half as often or more frequently than when they are only watching TV.
Most often, multi-screeners are accessing email, using Facebook or shopping, which explains why brands that have a presence across platforms are getting consumer attention.
Posted on Jan 24, 2013 by YuMe
While videos on the web were mostly uncharted territory for advertisers just a few years ago, many brands have since discovered the incredible consumer reach this form of marketing can provide. The period when the average web user would be surprised to be shown an advertisement while he or she streams a video ended quickly. When consumers today open a browser to watch a video, they expect to see an ad.
As brands constantly strive to keep viewers interested and engaged, marketers should consider the following trends and predictions for video advertising online in the near future.
1. Smart TVs open up window of opportunity for video ads online
At the DLD13 conference in Munich this week, Samir Arora, the CEO of media company Glam, discussed Smart TV’s ability to offer intelligent targeting, according to Guardian News.
“On the smart internet, you should not see an ad for a car if you have just bought a car. Bring that forward and consumers will get used to it – it will make advertising something people want, targeted and packaged carefully,” he said.
2. Social media will also become a better video advertising space
This announcement comes years after Facebook began allowing users to post video links and share homemade clips. iMedia Connection predicted the tepid success of display ads on Facebook will push the social network to continue to innovate and eventually embrace video advertising.
3. Long-form ad content will grow more popular
Posted on Jan 10, 2013 by YuMe
Samsung recently re-released its Smart Hub connected TV platform with an improved user interface and a variety of new features, which tech critics believe will drastically change the playing field for connected TV advertising, according to Video News and Advertising.
"The new Samsung Smart Hub will change the way you discover content," said Samsung's Tim Baxter, the president of the consumer electronics division, at a recent product launch, reported TechnoBuffalo.
While users once had to activate their TV's connected functionality, the redesigned interface is now the first thing users see when they turn on their Smart Hub TV. Smart Hub's connected TV interface supports five home screen panels for apps, browsing the web and other features.
The first panels shows users what is currently playing on regular television. Smart Hub features channel choices customized based on the user's preferences. The second panels features on-demand movie and television show offerings users can stream directly to their screens.
The third panel features users' personal photos, video and other content stored on devices that are virtually connected to the TV. The fourth window allows users to view videos trending in their social networks. The last panel houses Samsung's apps.
Introducing T-Commerce and S-Recommendation"We're introducing an entirely new way to interact with your TV," Baxter said, "We're calling it T-Commerce."
Samsung is meshing content services and consumer goods marketing. Users will be able to buy products featured in the programs they're watching. This represents a huge opportunity in the advertising realm, as it calls for a new form of ads once only imagined in Sci-Fi fiction.
Meanwhile, the S-Recommendation feature gives viewers time-specific personalized content recommendations. Video Ad News predicted Samsung will soon include sponsored recommendations, through which broadcasters can advertise content to demographics that watch similar shows. This may even be a chance for other brands to boost sponsored shows and videos that contain their ads.
Some figures to keep in mind
In a survey of more than 700 connected TV owners, YuMe found viewers prefer ad-supported content over subscription or pay-per-view videos. Streamed movies and shows hold a lot of promise for internet video advertising, as 90 percent of respondents reported noticing ads when watching connected TV, the majority interact with the ads and one-fifth of those subsequently purchase the product advertised.
Posted on Jan 2, 2013 by YuMe
Although internet-enabled televisions are well liked with adoptees and video advertisers, the technology has yet to become as popular as other recent innovations like the tablet in recent months. However, one connected TV offering currently in the works has the potential to dramatically boost the technology's appeal.
At some point over the next few months, microchip manufacturer Intel plans to develop and release a web-based paid television offering plus an associated over-the-top (OTT) device to provide internet access to a TV set, The Wall Street Journal reported. The kit is expected to be launched this year.
According to the news source, the offering would have Intel functioning as a "virtual cable operator," with channels and applications provided via an all-in-one package. However, PCWorld reported that one of the main differences between Intel's plan and programs already on the market is that this proposed system would allow consumers to pay for individual channels or even single shows instead of paying more for undesired content.
"Intel, whose chips serve as calculating engines in most computers, has long hoped to move its technology into TV sets or set-top boxes," wrote the WSJ's Don Clark and Christopher Stewart. "Along the way, it has teamed up with other technology companies seeking to exploit the Internet to offer consumers more content options."
Why Intel could radically disrupt the connected TV scene
Another potential benefit of Intel's proposed connected TV service, according to Forbes, is that it would be available to just about anyone. Current offerings typically require consumers to use one particular internet service provider. For example, Xbox has limited options for customers using Comcast or Verizon FiOS.
With this package, GigaOM reported that Intel wants to create a comprehensive and consumer-friendly service that will do what Google, Microsoft and Apple have yet been unable to do: Revolutionize the connected TV marketplace and make its offering ubiquitous in American living rooms.
"Apple and Google have been attempting for years to entice customers to ditch cable television for set top boxes that deliver TV shows, movies and more via the internet," Forbes's Kelly Clay wrote. "For the past year or so, Intel has also quietly been working on a top-secret set-top box that could not only be better than what Apple, Google, and even Microsoft offer today, but also kill the cable industry as we know it."