Online video 'a developing opportunity'

Wednesday, 09 Jul 2008 11:06
The shift of television audiences towards online video presents both a "threat and an opportunity" to marketers, an expert suggests.

Arash Amel, the head of broadband media at research firm Screen Digest, predicts there will be a flow of TV advertising revenue towards the web in the near future.

This, he explains, will be in addition to the money moving from print to online marketing.

Currently, claims Mr Amel, the technology is not quite there to handle large audiences.
However, he forecasts that within four to five years there will be significant developments, which will allow the platforms to compete more effectively.

The expert notes cost can have a significant impact on marketers' use of any medium.

"Right now, because TV advertisers don't really understand the medium and a lot of commercial broadcasters are using the internet to prop up their TV ad sales, delivering online video is a loss-making exercise whether they sell ads or not," he adds.

During April, the BBC's iPlayer service was accessed 21 million times, with users streaming and downloading clips and whole shows.

ITV reported its website experienced a 362 per cent increase in video usage between January and May.ADNFCR-1351-ID-18675920-ADNFCR