Mobile video has begun to accumulate scale, and has also turned out to be one of the few types of mobile content — along with games — that monetizes reliably and drives premium ad rates.
In a new report, BI Intelligence breaks down the mobile video ecosystem, analyzing the behavior and devices behind the growth in consumption, and examining the demographics and behavior of mobile video consumers. We specifically detail how mobile video monetization is booming, and look at the new video ecosystem that is taking shape, with mobile devices — rather than television — at the center. The report is full of charts and datathat can be downloaded and easily be put to use.
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Here are five data points from the report that underscore the explosion:
1. 41%: In April 2012, only 20% of U.S. smartphone owners said they watched a video on their phone at least once a month. Only nine months later, in January 2013, that number had shot up to 41%.
2. 3.7%: Tablets are doing the heavy lifting. Two video-related activities — playing videos and sharing them — are among the top ten favorite things to do for tablet users. Although there are far fewer tablets in circulation than smartphones, tablets account for 3.7% of all online video hours watched globally, compared to 4.5% for smartphones. Further growth in tablet sales will therefore likely result in outsize mobile video growth.
3. 63%: Tablet users watch video according to patterns similar to those of traditional TV audiences. For example, tablet video viewers tend to spend most of their time on longer videos. Tablet owners spent 63% of their time on video sessions over 10 minutes in length.
4. 10x: Mobile ad platform Nexage reported in December that video-enabled mobile ads drew a premium as high as 10 times the CPM— or cost per thousand impressions — of a standard mobile ad. Flurry has boasted of eCPMs of $10 or more for its mobile video ad units.
5. $520 million: The mobile video ad market is growing rapidly. Mobile video will account for $520 million in ad spending in the U.S. this year, or 13% of the digital video ad market.
In full, the special report:
- Breaks down the mobile video ecosystem.
- Analyzes the behavior and devices behind the growth in mobile video consumption.
- Examines the demographics and behavior of mobile video consumers.
- Details the mobile video monetization opportunity.
- Looks at potential barriers to mobile video's continued rise.
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