DG’s VP of EMEA Deann Harvey has more than a decade of sales and marketing experience across building, developing and leading strategic solutions. Deann will help you spot the trends, find cohesion, and prepare for explosive growth in next-generation converged video.
Deann started in a small performance marketing agency, and today convergence in performance marketing is becoming more important. What is convergence?
“Come together from different direction so as eventually to meet”
This year is the year of mobile… again! It’s been the year of mobile for a while. For Deann, the year of mobile was in 1983 when the first portable mobile was invented. This phone weighed 2.5lbs and had 30mins call time Today, we have 7.1 billion people and 5.1 have mobile devices. There are less toothbrushes in the world, showing us we’re more connected than hygenic. We spend 2.7hours a day socialising (twice as much time as we spend eating). Feelings and interpersonal relationship are now status updates – and this mirrors into the way we consume products.
Think of when you go on holiday. Deann simply asks on social networks about recommendations, and will trust them over any marketing outside of friends’ feedback. Even on holiday we spend our time on mobiles. One statistic shows 94% people would rather go without sex than their mobile! Although 64% of browser use is on desktop, but mobile is growing so fast that it will overtake desktop browsing very soon. As marketers we need to break the silo between these different devices and planning functions.
The average 65 year old will have consumed 14 years worth of video. The new generation will be consuming content in a different way and will consume many mroe hours. A great vertical to focus on is TV. Sky have an app where you can continue watching a show you pause on TV and continue watching on their mobile. Now we’re looking at TV’s that have 16x HD quality as we see in our living rooms today, and 21% of consumers bought a new TV in the past year (of which, 1 in 4 was a Smart TV). When it comes to Smart TV’s, apps like Skype show the convergence of web and TV so now HTML5 ads are being displayed in some Smart TV’s, escpecially due to Samsung’s HTML5 SDK. 48% stream content on their TV, and 87% noticed ads served during that streamed content.
Live TV is on a slow decline, but there’ll always be demand for it. DVR is significantly increasing and now game console consumption is overtaking DVD. Why is this all possible? Content on the cloud, and now video is everywhere, and video is the best form of content – and we all know content is king. 30m watch online videos on a monthly basis which is evidence of the shift.
Convergence of mobile is changing so dramatically that we can mainly see this image:
In 2014, there will be an increase of 91% of Internet traffic that will consume video – this is how important it is. Even on tablets, they’re used to stream video more in the home than outside the home.
Video is the key now because of all of this convergence. Video makes us laugh, cry and show all other emotions in the quickest time, whilst generating the most attention by consumers than any other media. Making video interactive is also great for conversion, as 9.8% interact with video. For advertisers, the global ad economy has grown over 150% in five year to just short of £400bn. 85% higher brand recall happens within the TV show itself, where product placement is winning.
Fuse your thinking right now, because you need to couple TV and online and you need to do it now. Once someone sees a product on the TV, their user journey begins imminently and because 84% are dual screening (using a device whilst watching television) and 19% of these people are researching based on an ad. 13% are already searching for coupons of that product so ensure you cannibalise this keyword too.
ACR is a new ancronym to learn – 2 way communication between devices. 280m TV apps were downloaded in 2012 such as Zeebox and Netflix. This is great for data and there will be accurate data to translate into better ROI, rather than TV’s assumed consumption.
To find our more from DG, visit their convergence microsite.