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According to a recent study commissioned by the Online Publishers Association, 54% of tablet users prefer free, ad-supported apps as opposed to paid apps, a 40% increase from one year, as initially reported by AdAge.
Don’t have a mobile app or WAP-page? Might want to reconsider; according to eMarketer the rise of smartphones has paved the way for a huge growth of mobile video and mobile content use.
Online video ads
There was a time when the world of online video was dominated with video of cats, dogs, babies and things that used to be mainly seen on “America’s Funniest Home Videos”. But now, product and advertising videos are common place and consumers are seeking them out. The amount of time consumers spend watching online video advertising is astounding.
In November 2011, market research firm eMarketer raised its forecast of US mobile video viewers, reflecting the health of the smartphone market and a proliferation of video content through mobile browsers, apps, subscription plans and downloads. In 2015, the number of mobile video viewers will reach 78.1 million, up from 45.1 million in 2011. Mobile video viewers will make up 30.5% of mobile phone users in 2015, up from 19.0% in 2011.
A longitudinal study by Nielsen of US smartphone subscribers’ use of rich media found across-the-board increases in activities such as internet use, app downloads, game downloads, streaming music and video/mobile TV viewing.
Source: eMarketer
Whether they think of it as magnetic content or advertising, marketers are increasingly focused on
creating video assets, says market research firm eMarketer. This type of media reproduces the richness that consumers associate with TV, often at a lower cost. And online channels also engage viewers in an active, lean-forward mode. The same trends that are creating growth in technology use, media consumption and content are driving huge increases in online video advertising.
eMarketer estimates that US online video ad spending will grow by a compound annual rate of 38% in a five-year span ending in 2015, making it by far the fastest-rising category of online spending. By 2015, video ad spending will reach $7.11 billion, up from $2.16 billion in 2011. In the past year alone, growth was 52.1%.
Source: eMarketer
Viewing online video is a burgeoning habit among the US population, with 50.5% of the population engaging in this activity in 2011, says market research company eMarketer. Growth will continue at a modest pace through 2015, when penetration will increase to 60.1% of the general population. Online video viewers will grow to 76% of internet users in 2015, from 68.2% in 2011.
With content channels such as Hulu, Netflix, Apple, Amazon and broadcast websites beefing up the amount of TV programming they offer online, US adult internet users will increase their consumption accordingly. The percentage of new Netflix subscribers who signed up for the company’s Watch Instantly streaming service grew to nearly 75% in Q2 2011, compared with just over 33% in January 2011. Although Netflix shed 800,000 US subscribers in Q3 2011—a number that amounted to 3.25% of its domestic customer base and included streaming-only clients—the company expected streaming subscriptions to rebound in December 2011. In 2015, 62.8% of adult online video viewers will watch TV
shows online, compared with 49% in 2011.
Source: eMarketer