Local: Online Video’s Next Frontier
July 30, 2015 | Contributed by: Joe Morsello
Nearly 75% of all internet traffic will be video by 2017, according to Cisco, and most of that will be viewed on mobile devices by 2018. Billions of dollars are shifting, as online video becomes one of the fastest growing forms of digital media and the local/SMB space is helping drive this shift.
Local businesses with annual marketing budgets greater than $10K are leading the way with a 131% increase in usage of online video year over year. Approximately 37% of these businesses will utilize online video in their marketing mix by the end of the year.
Among local businesses with annual marketing budgets of less than $10K, 12% will utilize online video in 2015. That’s up 71% from prior year results.
Overall, year over year, the number of local businesses utilizing online video as a part of their marketing mix is set to nearly double by the end of 2015. What is fueling this growth — and is it sustainable?
According to LSA’s latest report, “Local: Online Video’s Next Frontier,” there are three main drivers pushing online video deeper into local markets:
- The rise of the connected consumer
- Online video delivers superior marketing performance
- Technology improvements have lowered the costs for local businesses
However, many obstacles remain in the way of mass online video adoption as a marketing channel for local businesses. The report projects that the future of online video is bright, but these obstacles will need to be addressed before online video becomes a critical part of the SMB’s marketing mix.
The report takes a close look at the local video market. It offers both proprietary and third party data on market growth, the influence of video advertising on consumer behavior, an overview of the local video ecosystem and additional perspective from bieMedia, a leading provider of online video marketing content for the last 20 years.
Access the Report
Fast Forward Video Summit: Attendees of this upcoming event in Chicago, August 18-19, receive access to the report for free ($495 value). Click here to learn more about the event and register.
Upcoming Webinar: LSA is hosting a webinar titled, “How Will the Digital Video Boom Impact Local?” and panelists will discuss some of the findings from the report. The webinar takes place Tuesday, August 4 at 2pm ET. Click here to register for the webinar.
LSA Membership: LSA members and research subscribers receive discounted or free access to select reports. To see if you receive access to this report contact us.
Buy it Online: Purchase the report online for $495. Click here to access the download page.