This column, previously known as “VidBlog,” is transitioning to “Video Insider” as Joe Mandese explained last week. It will concern itself with developments in the digital video sector—cord-cutting, programming, mobile video, measurement, consumer behavior, and more—which P.J. Bednarski, our previous columnist, covered with verve.
The digital video universe is so big that there will be plenty to cover and weigh in on. A few things we’re keeping in mind: Earlier this year, JP Morgan projected that U.S. digital video ad spending would grow 12% this year, and 9% in 2018. In fact, video seems to be the only subset of display ad spending that’s growing.
Further, eMarketer earlier this year projected that the number of digital video viewers in the U.S. will grow from from 221.8 million to 239.2 million between 2017 and 2021, and the penetration rate among internet users will increase from 81.2% to 83.5%.
Social platforms have pushed into digital video, of course. Facebook and Snapchat are touting live video and original programming.
Also, we can also expect a lot more digital video programming from broadcast, cable, and over-the-top TV networks.
But is there a saturation point on original video programming? Consumers have never had so much to choose from -- a good problem to have -- but how much is too much, and can all of this programming be monetized?
The Interactive Advertising Bureau (IAB) in April reported that in 2016 digital video advertising hit $9.1 billion, representing a 53% year-over-year rise from 2015. When it comes to mobile video, the IAB reported an increase of 145% year-over-year to $4.2 billion.
On the live streaming front, this past Sunday, iHeartRadio offered a live video stream of Ariana Grande’s “One Love Manchester,” a benefit concert in support of the victims and families affected by the attack at her Manchester concert. Facebook claimed some 38 million people tuned into its live stream of the concert; Grande's personal YouTube channel attracted 9.2 million viewers on its stream.
For this truly global event, Grande was joined by Justin Bieber, Coldplay, Katy Perry, Miley Cyrus, Pharrell Williams, Take That, Niall Horan, Little Mix, Robbie Williams, and Black Eyed Peas. The performances went off without a hitch at Manchester’s Old Trafford cricket ground.
The concert’s organizer donated net proceeds from the concert to The British Red Cross Society, a Registered Charity, for its We Love Manchester Emergency Fund supporting the victims of the Manchester Bombing.