New forms of user-generated video content will push the overall online video marketplace to sharply higher revenues.
Scottsdale, Ariz.-based ABI Research says total revenue from short-form video
is expected to hit $13 billion in five years -- a six-year 18.5% growth rate.
Much new growth will come from more “professional” user-generated content.
Sam Rosen, practice
director of ABI Research, stated: “Multichannel networks that work with content contributors and advertising agencies targeting services like YouTube are finding suitors and partners among some
of the largest industry players in video.”
ABI estimates come from including over-the-top (OTT) content — Netflix, Hulu, and VUDU, which often generates more revenue per play. ABCI
says the online video market is expected to reach over $56 billion by 2019, with a six-year compounded annual growth rate of 23.1%.
Looking specifically at YouTube — perhaps the biggest
user generated platforms in the world — U.S./U.K. research company, Statista says, 2014 revenue was $1.13 billion in 2014. This is expected to climb to $1.51 billion this year and $1.75 billion
in 2016.