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Online video is enjoying explosive growth. eMarketer projects the US online video audience will reach 158.1 million users this year and US online video ad spending will jump 52.1% to $2.2 billion. As more video content becomes available online and more devices facilitate access to that content, users are broadening their viewing habits to incorporate multiple platforms—diversifying the video advertising landscape.
Although the vast majority of US consumers (89%) still use PCs and laptops to view online video, research from Frank N. Magid Associates showed a sizable percentage of consumers watching online video on additional devices, such as mobile phones and TV sets, connected to the internet.
Data from Leichtman Research Group (LRG) showed that as of February 2011, 30% of US households had at least one internet-enabled device connected to their TV, a percentage that has grown slowly but steadily over the past few years.
More specifically, LGR found that while only 10% of US households had an internet-connected TV, almost a quarter (23%) had an internet-enabled game console they used to watch online video.
The Frank N. Magid Associates study found a slightly higher share of US internet users with internet-connected TVs, a percentage expected to increase further as newer TV models are sold with built-in internet connectivity.
But for now, the majority of users appear to be accessing the internet through other connected devices—specifically gaming consoles. In fact, 19% of viewers who have accessed the internet through their TV have used a PlayStation 3, and 13% an Xbox 360.
With video game consoles capable of streaming services like Netflix and Hulu to a TV, many of these devices—once considered just a source of video game entertainment—can now be leveraged for multiple media consumption purposes.
Perhaps this is why more respondents cited video game consoles as their primary entertainment medium than popular devices like mobile phones or smartphones, putting them ahead of all devices but PCs and TVs.
As online video continues to gain in popularity and consumers continue to broaden their consumption habits across platforms, brands that have already capitalized on some digital video advertising opportunities should consider non-computer-based platforms like smartphones, tablets and video game consoles for additional brand messaging integration.
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