Because I can access on-demand TV shows, funny clips and music videos, yes, I’m a big fan of internet TV. Being a Thai in Melbourne, I also like to keep myself updated with things that are ‘happening’ in my home country, such as, political events, soaps and celeb interviews, and youtube is a terrific channel for these contents. One thing I really like about YouTube is that I can fast forward some part of the program that I don’t want to see (soaps, despite all the drama, can be super slow). Another good thing is I don’t want to watch the advertising that interrupts favorite shows. But now the advertising is not only on traditional media but now there is also advertising on the internet like YouTube, ABC iView, ninemsn, Yahoo!7 and FairFax. Moreover, some online advertisements you can’t even skip over! Well, it seems like there’s no escaping advertising in the modern world !
And yes, online advertising is the next big thing. The article Online video ad market surging from The Age reveals that the online advertising business will grow at an astronomical rate of 42 % per year over the next seven years. Internet TV advertising is predicted to value $311 million by 2016, up from the current $54 million. Let’s look at another promising figure, the audience’s internet TV exposure. Now, Australians watch approximately 10.2 hours per month, while the Americans watch 17.3 hours per month followed by the British who watch 17 hours per month.
According, to comScore Releases August 2011 U.S. Online Video Rankings, 5.6 billion video ads were put on TV online in August. That means almost one ad per person for 80 % of the whole population in the world. The report also shows that Video advertising has reached 50 % of the entire U.S population, an average of 37.6 times per month and more than 2.5 billion minutes was spent watching VDO ads in August. This shows a high potential for advertisers who will want to jump into this market. The internet TV is a remarkable channel which can target audience by demography, theme and interests. It can match the contents of videos that align with product advertisements’ messages.. Internet channels become an effective advertising channel as it is easy and measurable. Internet advertising can enable quick direct responses, enhance brand awareness, create desire to purchase and also measure the number of respondents (Chaffey et al 2009).
The measurement of online advertising can be done by looking at ‘page impressions’ or ‘page views’ which will occur every times a person views an advertisement placed on the web page(Chaffey et al 2009). As a marketer, it’s important to understand the new trend of targeting consumers and using the right channel to promote the products. The ease of measuring results can also help marketers to effectively plan and spend their budgets.
On another note, internet advertising also has the potential to be a significant source of income for content providers. Take a look at the case of 13 year-old Rebecca Black, whose music video get 30 million views on youtube.
Although, the video was deemed the worst music video ever, it became viral and she easily made $20,000 from a share in advertising revenue. You can laugh at her all you want but she is laughing all the way to the bank!
Looks like you can hardly avoid advertising anymore. The more media channels there are available, the more advertising channels there will be. Well, although, this might annoy some people it’s also good for a future marketer like me! : )