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| Nearly 60% of Consumers Surveyed Watch Online Video |
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| Written by The Kelsey Group | ||||
| Monday, 25 February 2008 | ||||
![]() The Numbers Are Growing
Increased consumer response to online video is driving the development of cost-effective options for local and small-business advertisers.
Princeton, NJ (May 24, 2007) -- In the latest wave of The Kelsey Group’s User View study, 59 percent of those surveyed claimed to watch online video, and more than half said they engage in some sort of response activity, such as visiting a Web site, going to a physical location or making a purchase. The study’s findings are highlighted in a new report by The Kelsey Group titled, “Online Video: A New Local Advertising Paradigm,” which credits the popularity of YouTube with bringing online video watching to mainstream audiences.
“YouTube has largely popularized the concept of watching short videos on a computer screen and has likewise familiarized consumers with the idea of watching short video ads,” said the report’s author, Michael Boland, Kelsey Group senior analyst. “A wide range of business models are coming to market in the hopes of tapping into the growing demand for video. We are in a ‘wild west’ phase of experimentation on all fronts—content generation, licensing, search and monetization.”
According to the report, production companies such as Spot Runner and TurnHere offer to produce and distribute video ads for small businesses at price points that are significantly lower than those of traditional advertising, bringing video advertising within the grasp of many small businesses for the first time. The report reasons that the value of video may be easier to comprehend for many small businesses compared with some forms of online performance-based
Marketing. Pay-Per-Click, for example, may be abstract and less attractive to certain small businesses that are more interested in leads, foot traffic or phone calls. As a result, video has the potential to be an easier integration to a cross-platform product bundle. The vanity factor that has driven significant revenues for Yellow Pages publishers is also clearly present in video.
Additional conclusions offered in The Kelsey Group’s online video report include:
About the User View Study
User View is The Kelsey Group’s proprietary user behavior tracking study, which focuses on the evolution of consumer usage of traditional and online information sources to find and locate local businesses. Research for the current wave of the study (Wave IV) was conducted through an online survey of 501 adult consumers. The Kelsey Group White Paper “Online Video: A New Local Advertising Paradigm” is available to TKG advisory services clients. Contact Steve Vasil at (905) 468-8786 or This e-mail address is being protected from spam bots, you need JavaScript enabled to view it for more information on Kelsey Group advisory services. About The Kelsey Group The Kelsey Group is the leading provider of research, data and strategic analysis on directories, small-business advertising and online local media. Founded in 1986, the company has built a reputation as the premier analyst firm covering the directory publishing community and the emerging local search marketplace, providing advisory services (The Kelsey Report® and Interactive Local Media), publishing (Global Yellow Pages™ and Local Media Journal™), consulting (more than 300 individual assignments) and conferences (67 events). For more information contact:
Eileen Pacheco
(781) 556-1026 This e-mail address is being protected from spam bots, you need JavaScript enabled to view it | Views: 975
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| Last Updated ( Monday, 25 February 2008 ) | ||||
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