In recent years, the mobile video consumption revolution has redefined how brands connect with consumers. As IAB UK’s Chief Marketing Officer James Chandler observes, “the rise in people consuming mobile and video content has accelerated digitals growth rate to its highest level in nearly a decade”. Video content has become so central to content marketing that tech business across the globe have been racking their brains over industry trends in an attempt to find potential opportunities.
At present, many businesses working in High Tech are producing videos on a monthly basis in an attempt to engage with their target audience. It’s no suprise that last year the UK’s Digital Ad spend reached a massive £10 billion. The reach of video marketing is such that IP video traffic will account for 82% of all IP traffic by 2021. Consumer video consumption far outstrips that of any other type of content.
According to the Internet Advertising Bureau UK and PwC Digital Adspend report, more businesses than ever before are investing in video, and it’s become even more important to have clear benchmarks to evaluate success and identify potential opportunities. In effect, video content has become a massive marketing frontier.
In 2018, Apple plans to spend $1 billion on online video content. In order to prepare for the future, it’s important to recognise the trending formats that will shape the future of video content.
Trending Formats to Observe and Implement
Virtual Reality and Augmented Reality
One area of video content on the precipice of a boom is that of Virtual Reality and Augemented Reality. In recent years new hardware like the Oculus Rift and Samsung Gear VR have taken us into a new world of immersive content. More and more users and plugging in and leaving the natural world behind. In fact, Cisco suggests that traffic associated with virtual and augmented reality applications will grow up to 20-fold by 2021.
Currently, VR and Augmented reality are in their infancy. However, as the demand for more immersive content increases, business owners will have much more opportunity for advertising and product placement in these virtual worlds. The shear depth of these worlds will help savvy markeers to engage with their audiences much more effectively.
Immersive videos, or 360-degree videos, are video recordings where a view in every direction is recorded at the same time. In recent years, social media platforms such as Facebook have become compatible with spherical content so that views can rotate the camera to change their perspective of the video content displayed. Immersive video offers unprecedented opportunities due to its interactive nature.
In a Google test, a 360-degree video ad generated 41% more earned actions (including views, shares and subscribers) than a standard ad. It’s worth noting that immersive videos are extremely bandwidth intensive, and consume much more data than other forms of video content. As a result, networks will have to increase their bandwidth capacity on an annual basis if they are to meet the increasing demands of this budding form of content.
One of the more unusal areas of video development comes in the form of video surveillance technology, which uploads a constant video stream up to the cloud to be viewed remotely. As more and more cameras are linked to online servers, internet traffic is increasing dramatically. In 2016, internet video surveillance traffic increased by 71%, from 516 petabyters per month in 2015 to 883 petabytes per month in 2016.
By 2021, video surveillance traffic is expected to increase sevenfold where it will comprise 3.4% of all internet video traffic. When it comes to social media marketing, tech brands have always been pioneers. HP was the first company to hit one million followers on LinkedIn and GE was one of the first brands to use Facebook Live for a major event. The last weekly chart of brands video views is dominated by consumer tech companies like Samsung and LG.
Diverse Video Marketing Opportunities for Tech Businesses
If the universal rise of video traffic reveals anything, it’s that in the future video marketing is going to become the most popular way of engaging potential customers. Tech juggernauts like Apple, LG and Samsung have spent massive amounts of money on making video content in an attempt to connect with their customers. In future, the volume of video content being consumed will hit unprecedented highs.
In 2021, it will take more than 5 million years to watch the amount of video that will cross global IP networks each month. This suggests that although video content will be an expansive way of marketing, it may also be oversaturated. As a result, tech companies would do well to situate themselves as innovators by making use of VR, immersive video and video surveillance to stand out amongst the crowd of competitors.
Right now, video across mobiles and PCs is growing by an outstream/social in-feeds rise to £465 million. This offers unprecedented opportunities in terms of reach. In future, its likely that mobile will be the key link between tech companies and younger generations. If this is the case, organisations that embrace on-demand video content are much more likely to have a greater generational reach than their counterparts who don’t.
Video-on-demand traffic looks set to double by 2021, the equivalent of 7.2 billion DVDs per month.
If there’s anything that can be learnt from the video presence data, it’s that video content is no longer a single medium, but a diverse umbrella. Virtual reality and immersive videos may bear resemblance to each other, but they are completely different mediums. As such, tech companies would do well to develop strategies that encompass a multitude of these formats in order to optimise their reach.