User-generated content (UGC) or more broadly speaking, short-form video (from services like YouTube and Dailymotion), has become far more than cats playing the piano. Companies are using viral ads to extend brands and reach a wider breadth of customers than traditional media channels. Professionally generated short-form content also allows consumers to view video (e.g. news) in bit-sized manageable chunks, ideal for today’s hectic lifestyle. The revenue potential for short-form video is expected to approach US$13 billion by 2019, carrying a 6 year CAGR of 18.5%.
Practice Director Sam Rosen notes, “As the overall online video market evolves we anticipate the value for short-form video will rise in kind. Multi-channel networks (MCNs) that work with content contributors and advertising agencies targeting services like YouTube are finding suitors and partners among some of the largest industry players in video. While much of this is linked to preparations for the future, these are aggressive steps forward that could help define the what, how, when, and where we watch content.”
In the greater context of the online video market, which includes OTT content (mid- and long-form content) and short-form video, the latter’s share of the market is expected to decline, but this is attributable to stronger revenue growth opportunity from OTT services like Netflix, Hulu, and VUDU, which often generates more revenue per play. Overall the online video market is expected to reach over US$56 billion by 2019, with a 6 year CAGR of 23.1%.
Senior Analyst Michael Inouye adds, “Subscription services such as Netflix continue to headline the market, but EST in North America is starting to gain momentum. While initiatives like UltraViolet continue to make progress many still view the market from a service-centric point of view, leaving opportunities for companies to try differentiation strategies to win consumers. The landscape for video is shifting, but so far it continues to move at a steady pace, rather than in seismic shifts.”
These findings are part of ABI Research’s OTT and Multiscreen Services Market Research.
ABI Research provides in-depth analysis and quantitative forecasting of trends in global connectivity and other emerging technologies. From offices in North America, Europe and Asia, ABI Research’s worldwide team of experts advises thousands of decision makers through 70+ research and advisory services. Est. 1990. For more information visit www.abiresearch.com, or call +1.516.624.2500.
About ABI Research
ABI Research is a global technology intelligence firm delivering actionable research and strategic guidance to technology leaders, innovators, and decision makers around the world. Our research focuses on the transformative technologies that are dramatically reshaping industries, economies, and workforces today.
ABI Research提供开创性的研究和战略指导，帮助客户了解日新月异的技术。 自1990年以来，我们已与全球数百个领先的技术品牌，尖端公司，具有远见的政府机构以及创新的贸易团体建立了合作关系。 我们帮助客户创造真实的业务成果。
For more information about ABI Research’s services, contact us at +1.516.624.2500 in the Americas, +44.203.326.0140 in Europe, +65.6592.0290 in Asia-Pacific or visit www.abiresearch.com.
Asia: +65 6950.5670