New research shows more good news for OTT content providers
Freewheel, the technology and consultancy specialist targeting content providers aiming to enhance
revenue generation through ad supported content, has published its Q4 2014 Video Monetisation
Report. The data has revealed yet another quarter of strong growth and evolution in the digital TV
market.
This final quarter’s growth is the latest chapter in a successful year in which video ad views grew 30
per cent from 2013 showing how the dynamic emergence of new technologies and platforms such as
OTT is driving the continued expansion of the TV ecosystem.
Viewers have not abandoned their favourite content but rather found new ways to access it. Not
only did Q4 2014 cap off a full year of 30 per cent and 27 per cent growth in ad and video views
respectively, publishers also succeeded in drawing audiences to their highest value premium
content.
Several new trends emerged this past year as viewers and publishers continued to modify how they
watch and monetise their shows, sports, clips and more.
In the pure TV space, live viewing grew 297 per cent year-over-year, driven by strong growth in
sports streaming and news simulcasts.
Importantly, however, in a continuing sign that the TV ecosystem is developing into new, profitable
channels for content providers, OTT streaming devices overtook tablets, accounting for 8 per cent of
all video ad views.
Commenting on the findings, PeerTV CEO Avi Vermus said, “The standout advantage OTT enjoys is its
flexibility in terms of delivery, using as it does the public internet infrastructure with its huge
capacity potential to deliver content. At PeerTV, we design and manufacture the hardware and
software systems which allow content providers to reach out to their markets over the public
internet with an OTT proposition. Our hardware and software offering is a key component in
allowing content providers to differentiate their offerings, as it is advanced and highly flexible.
A well-designed OTT hardware package can offer content providers innovative opportunities to
differentiate their service offering – our latest set top box for example now delivers HEVC H265 high
quality video and we have just signed a deal to add voice control to the unit which will open up a
wide range of possibilities for partners.”
Freewheels’s research shows that OTT devices are rapidly emerging as the preferred platform for
long-form and live viewing. Whilst viewers are accessing current season content throughout their
televisions, 64 per cent of viewing occurred over a week after that content’s original air date.
Authenticated viewing grew 591 per cent year-over-year, as 56 per cent of all video ad views on
long-form and live content now come from behind authentication walls.