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Online Video Viewers Prefer News Clips, Shorter Ads

Most consumers - 62 percent - are viewing video online, and contrary to popular opinion those viewers are not just young adults viewing user-generated videos, according to a bi-annual video study from AOL’s Advertising.com, which sought to analyze online video viewing and response to video advertising, writes MarketingCharts.

Most (69 percent) of those viewing videos are age 35 or older, with a preference for viewing news clips online, the study found.

“The internet is still seen first and foremost as an information resource. With news clips remaining the most popular type of streamed content, video viewing habits reflect that status,” said Lynda Clarizio, president of Advertising.com.

“But it will be interesting to see how viewership evolves with the rise of social networks, more diverse video content, increased interactive gaming, and other such advances in online entertainment. I think we may see a shift in usage toward recreation; these latest figures certainly hint at that trend.”

As for video advertisements, consumers accept them as part of the video experience - 94 percent of respondents prefer ads to subscription fees. However, 63 percent of respondents say shorter ads would make the online video experience more pleasurable.

Shorter spots also deliver higher percent-viewed rates, according to data from the Advertising.com network.

Other key findings from the study:

• More news, user-generated content:
  • In the first half of 2007, 62 percent of consumers viewed news clips online, followed by movie trailers with 38 percent.
  • Music videos came in third at 36 percent, decreasing from 47 percent in the second half of 2006.

• Tastes differ by age:
  • The 18-34-year-old audience prefers entertainment content such as music videos and TV shows. They also create more online video content than those ages 35 and older.
  • In contrast, the 35 and older audience is more likely to view news.
  • Compared with the previous study, 18-34-year-olds are streaming more movies, TV shows and user-generated videos.
  • Those 35 and older are streaming more sports clips and user-generated videos than previously reported.
• Complementing TV, not replacing it:

• 51 percent of survey respondents would watch a television episode online if they missed it on TV.
• However, 80 percent of consumers say that online video usage does not cut into their TV time.