Four Trends OmniVideo Predicts

The extra hour of video that people will watch a day in 2013 creates a 25% growth opportunity for every player in the industry, creating a potential $37.5 billion growth opportunity in advertising revenue, content and subscription fees, and bandwidth charges.

That’s a pretty big assertion. It’s also entirely possible. To see how quickly we’re moving toward this future, I will be keeping my eyes on four specific predictions or metrics that OmniVideo implies:

· The percent of video viewed that is on-demand. The best evidence that OV has already started is the preponderance of on-demand viewing; this will account for an estimated 20% of all viewing in 2008 and rise to nearly half of all video — 45% — in five years. I’m not including recorded media like DVDs, as this involves the step of first acquiring content before it can be viewed. I do include content played back on a DVR, as well as true video on demand (VOD) delivered by cable, satellite, and telcoTV providers. The biggest force here is online video which is all on-demand by definition.

·  The percent of video delivered via IP. All content will be delivered via Internet Protocol eventually, but for the near future, the closed networks of cable and satellite providers will dominate, keeping this number to 35% in 2013. In the US, much IP-delivered content is also viewed on-demand, with the exception of IPTV-delivered linear content on platforms like AT&T’s U-verse (so make sure you recognize that these four predictions are not mutually exclusive).

·  How much video is consumed on a mobile or portable device. Between laptops, iPods, and mobile phones, no more than 8% of video will be viewed on a portable device in 2008. This number isn’t going to rise quickly, either, reaching just 15% in 2013. It’s not the minutes that matter here as much as the percent of people who snack on portable video, which should reach nearly half of all viewers by then. A big number of people, even if they don’t spend a majority of video minutes on it.

·  The percent of video consumed that is personal. The final indicator is the portion of video consumed that is personal, meaning the viewer or the viewer’s friends or family created it. This number starts small — just 2% this year — and rises to only 10% in five years. It can’t rise faster than the others because it depends on the others for a boost. Only when people have an OV environment in which it is easy to deliver and view video will they finally feel like it’s convenient to generate, maintain, and share video of their own making.

Source: Forrester Research, 17 June 2008 report, “How Video Will Take Over The World,” by James McQuivey, Ph.D.

 

 

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One Response to Four Trends OmniVideo Predicts

  1. […] predictions of OmniVideo — with more ways to watch video, people will end up watching more. I have gone on record saying that the average adult will watch five hours of video a day in 2012, a 25% over the four […]

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