Zenith Optimedia
From the desk of Strategic Resources
For any query, discussion or feedback, please contact Pavan Chandra, Head of Strategic Resources at pchandra@zenithoptimediaindia.com, +91-124-4195100. Office Address: 10th Floor, Vatika Tower, Block-B, Sector 54 Gurgaon -122002, Haryana, India.
Volume: VII October, 2007

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In these hyper charged times where news comes in as fast as it becomes outdated, we need a source that can keep track of what matters to us. At ZenithOptimedia we have created Wavelength to apprise all of us of the happenings in three areas i.e. 1. Trends in Digital, Retail, OOH, BRIC, Consumers and the International Advertising 2. Media & Advertising Research 3. Environment

Also included here are innovations and news that ZenithOptimedia is making across its network globally, under three sections 1. ZO Zone 2. Fast Forward 3. Touchpoints.

Simply click on any of the sections on our snazzy control panel and you will have the latest updates at your fingertips. Wavelength will reach you in the first week of every month so that you have information that leads to insights.

Drop in a mail at pchandra@zenithoptimediaindia.com with your suggestions and comments.


 

Emerging Trends: Digital

 

01. IAMAI Digital Marketing Seminar – (Sep 14-18)

 The seminar, ‘Digital Marketing: Wake up and smell the coffee’, organised by the Internet and Mobile Association of India (IAMAI) outlined the various trends and challenges which the digital media is facing. According to industry experts, digital advertising accounted for a mere 1.5% of the total media market in 2006 in India.  They also think that to make digital media more effective, it should be brought to the forefront by ensuring better broadband penetration, easy availability of PCs, and growth in the use of mobile Internet, along with good content and quality research.

 

Source: Agencyfaqs; Agencyfaqs; Exchange4media

 

 

02. Indian shoppers prefer offline purchase after online search – Sep 10

According to a study by Kapston, a full-service internet marketing and consulting company, in association with GadgetsGuru, India’s first online technology mall and OffersForShoppers, India’s first web-to-store, 40% Internet users who researched products online during 2006 bought those products through offline channel. Other findings of the study were that 85% of Indian Internet shoppers used general search engines for researching products, 66% of Indian internet advertisers only consider Google PPC (pay per click) for search marketing, and 12% of Indian Internet consumers utilize shopping-specific search engines.

 

Source: Indiaprwire.com  

 

 

Emerging Trends: Retail

 

03. Small retailers losing customers to private players – Sep 17

Small retailers are losing out on business due to the advent of private, organized retailers. Recent findings suggest that the combination of low prices, promotional offers (such as loyalty cards) and attractive facilities (such as air-conditioned environment) being offered by large, private retailers are reducing customers’ purchases from neighbourhood shops.

 

Source: Agencyfaqs

 

 

04. India Retail Forum – (Sep 05-08) 

Industry experts at the India Retail Forum (4-7 September, 2007) said that over the next decade, the retail industry will be worth approximately Rs 12 trillion. In addition, it is expected to create 3.5 million job opportunities. By 2020, a significant number of foreign retailers will enter India through the franchising and licensing models. There will be benefits such as direct and indirect unemployment, increased taxes for the government and decreased prices for the consumers. Retailers should listen to consumers and cater to their needs and adopt responsible retailing for better returns.

 

Source: Exchange4media; Exchange4media; Exchange4media  

 

 

05. Retailers to buy from APMC market – Sep 05   

The Agricultural Produce Marketing Committee (APMC) Act has been amended in many states to allow retailers to buy directly from farmers. However, retailers such as Shoppers’ Stop and Food Bazaar of Pantaloon Retail India Ltd prefer buying vegetables and fruits from “mandis”, than to buy directly from the farmer, as it involves investment for a proper backend supply system.

 

Source: Hindu Business Line

 

 

Emerging Trends: Others

 

06. Matrimonial sites gaining popularity among Indian surfers – Sep 24

According to a report, Indian surfer prefers to use the Internet for e-mailing; job searches, and instant messaging, however, activities such as matrimonial searches, dating, and social networking are increasingly becoming popular. According to India Online 2007, a survey conducted by JuxtConsult, almost 12 million online urban Indians are undertaking matrimonial searches, making it the 13th most popular online activity among Indian surfers.

 

Source: Business-Standard

 

 

Emerging Trends: International

 

07. Broadcast TV networks to pitch for cross-media platforms – Sep 24

Broadcast TV networks are looking for effective media platforms for their new season prime-time series, including the Internet, mobile video devices, and online social networks. However, finding a way to reconcile and capture the economic value of their audience across diverse media platforms is considered to be a difficult and financially risky task.  According to comScore, the overriding goal is to offset shifting TV ad revenues with more than $7 billion in annual Internet video income expected from advertising and user access fees by 2010.

 

Source: Mediapost

 

 

08. Online ad spending to increase – Sep 12 & 22

According to TNS Media Intelligence, overall Internet display advertising registered a 17.7% year-over-year increase to $5.52 billion for H1'07. Ad spending targeting the Web video watchers, which is 72% web users – or 135 million people – every month, is set to hit $775 million in 2007 and $1.3 billion by 2008. eMarketer CEO, Geoff Ramsey, said that online ad spending will increase by 28.6% in 2007. 

 

Source: Mediapost; Mediapost

 

 

09. Ad spend on electronic and print media dipped in H1’07 – Sep 21

According to Nielsen’s latest company report, ad spending in H1'07 reduced 0.5% from that in the same period in 2006. The Internet was the most improved category with an upswing of 23.6% over the previous year’s figures. Outdoor media and national magazines also registered an increase. Advertising in the print media (local newspapers, national newspapers, business-to-business magazines) and on the television declined.

 

Source: Mediapost

 

 

10. Online video viewers prefer news clips – Sep 10

According to a study by Advertising.com, Inc., 62% of the respondents surveyed, view video online. The report further states that 69% of these viewers belong to ages 35 and older with a preference for viewing news clips online. According to Lynda Clarizio, president of Advertising.com, the Internet is still seen first and foremost as an information resource, with news clips remaining the most popular type of streamed content.

 

Source: Centre For Media Research

 

 

11. Non-spot radio increasingly driving the medium's ad revenue growth – Sep 07

According to the Radio Advertising Bureau's (RAB) reporting of Miller, Kaplan, Arase & Co. tracking data, non-spot revenue gained 16% and represented 7.2% of total radio ad dollars in Q1’ 07 and 12% in the H1’ 07 to reach $711 million, which represented 7.2% of total radio ad dollars in the first half. Non-spot has been growing at an average rate of 10% per month for the past two years and is expected to hit $1.5 billion by 2008 and $2 billion by 2009, if the growth continues at the same rate.

 

Source: Mediapost

 

 

12. Viral Campaigns behind expectations – Sep 05

According to a report "Viral Marketing: Bringing the Message to the Masses," by JupiterResearch, viral marketing campaigns are mostly ineffective. Only 15% of the campaigns, launched in 2006, achieved the goal set for the campaign. The research also found that targeting the influential to stimulate viral behaviour was the most popular technique among the marketers, whose usage they are planning to decrease by 55% in 2008, as different influential groups have varied responses to advertising campaigns.

 

Source: Mediapost

 

 

13. Web revenue to beat radio revenues in 2007 – Sep 01

According to an eMarketer report, "Radio Trends: On Air and Online", internet advertising revenue, at $21.7 billion, will surpass radio, at $20.4 billion, in 2007. The report further stated that by 2011 the web will pull in $44 billion, nearly double the radio's projected revenues of $22.6 billion.

 

Source: Exchange4media

 

 

14. Communication spending on a rise – Aug 29  

According to a Veronis Suhler Stevenson Communications Industry History and Forecast Study, total communications spending rose 6.8% in 2006 to $885.20 billion, driven by the accelerating shift to alternative media platforms and strong gains in the marketing services and institutional sectors. Marketing services, such as direct marketing and promotions, were the largest communications sector in 2006, climbing 7.7% to $254.01 billion. Double-digit increases in custom publishing, branded entertainment and public relations were the primary drivers of growth, as brand marketers employed media that reached target audiences more efficiently.

 

Source: Centre For Media Research

 

 

15. TV declines as primary media device – Aug 28

According to an IBM online consumer study, "the end of advertising as we know it," shows that among consumer respondents, 19% stated spending six hours or more per day on personal internet usage and 9% of respondents reported the same levels of TV viewing. 66% reported viewing between one to four hours of TV per day and 60% reported the same levels of personal internet usage. When it comes to mobile and internet entertainment, consumers are seeking consolidated, trustworthy content, recognition and community.

 

Source: Centre For Media Research

 

 

BRIC Zone - China

 

16. More than 600 million cell phone users in China – Sep 24

By June 2007, China had more than 600 million mobile phones users. This number included 80 million personal handy phone users. Official figures showed that the country's cell phone users increased by 40.56 million from the end of 2006, an average of 6.76 million a month.  Meanwhile, fixed-phone users had only grown by 4.86 million to 372 million. The trend is expected to continue as China’s vast rural market offers significant potential for growth.

 

Source: Xinhua Business Weekly



 

17. China’s retail sales up by 15% and expected to continue strong performance in H2’ 07 – Sep 07 & 19

According to The Chinese Commerce ministry's Department of Market Regulation in the first eight months, retail sales in China were up 15.7% year-on-year to 5.616 trillion Yuan and are expected to rise 15% year-on-year to 8.8 trillion Yuan in 2007. The growth will be supported by rising incomes of both urban and rural residents, increasing consumption and strong employment growth, with the booming stock market also being an influence.

 

Source: China Daily Information Company; China Daily

 

 

18. Women empowering purchase decisions – Aug 30

According to Ernst & Young’s "Rise of Female Consumerism in China," report, 78% of married women makes the decisions for grocery and clothing purchases for the family. Though in-case of big-ticket purchases, such as cars and houses, only 23% of married women make independent purchase decisions, where as the rest 77% make their decisions after a discussion with their husbands. The total purchasing power of young women living on their own or married in childless households is projected to reach $260 billion in 2015.   

 

Source: China Economic Review

 

 

BRIC Zone - Brazil

 

19. Brazil–the 6th biggest mobile phone market in 2006 – Sep 05

According to the International Telecommunications Union (UIT) Annual report, Brazil ranked as the sixth biggest mobile phone market in the world in 2006, surpassing China, the USA, Japan, Russia and India. At the end of 2006, Brazil had a total 100 million mobile phone users. 

 

Source: Latin America News Digest

 

 

20. Direct sales segment grows in H1’07 – Sep 03

Direct Sales Segment in Brazil grew by 12.5% to R$ 7.2 billion in H1’07. According to the Brazilian Association of Direct Sales Companies, the sector sold 731 million units in the period, 11.35% more than H1’06.

 

Source: Gazeta Mercantil News (Real Time)

 

 

BRIC Zone - Russia

 

21. Russia’s retail sales grows during Jan-Aug, 2007 – Sep 07 & 21

According to the Federal State Statistics Service (Rosstat), retail sales in Russia rose 14.7% to 6.571 trillion rubles in the first eight months of 2007, compared to the same period in 2006, including an increase of 16% to 929.3 billion rubles in August alone. A high rate of increase is expected to continue till 2010, with the average annual rate anticipated to reach 9%.

 

Source: Russia & CIS General Newswire; RosBusinessConsulting

 

 

Media & Advertising Research Watch

AdEx Findings

 

 

22. Automobile Industry   

Print advertising by the automobile industry declined by 19% during January to August 2007 compared to the same period in 2006. However, there was a 30% year-on-year increase in the automobile industry’s ad volumes on TV during the same period.

 

Source: Indiantelevision.com, Exchange4media 

 

 

23. Information Technology (IT) Industry

During H1’07, print advertising by the IT industry declined by 24% year-on-year.

 

Source: Exchange4media

 

 

24. Personal Care Industry

Print advertising by the personal care sector grew by 2% during H1'07 over H1'06, whereas TV advertising grew by 20%.

 

Source: Exchange4media; Indiantelevision.com

 

 

25. Consumer Durable Industry

Print ad volumes by the consumer durables sector reduced by 2% during H1'07 over H1'06. Where as, there was an increase of 22% in TV advertising in the same period.

 

Source: Exchange4media; Indiantelevision.com 

 

 

26. Telecom Industry

The telecom industry had 6% growth in print ad volumes during H1'07 over H1'06.

 

Source: Exchange4media

 

 

27. JuxtConsult launches India’s first ad monitoring studies– Sep 14

JuxtConsult has unveiled Ad Box, India’s first monthly monitor on the most successful and effective ads. Ad Box measures the total ‘Ad Connect Quotient’ of ads by using a simple but comprehensive model that takes into account not only the appeal of an ad, but also its consumer relevance and its brand-building impact. It also revealed Ad Momentux, which is a quarterly monitor of consumer mass generated by an ad for a brand in the category.

 

Source: Exchange4media

 

 

Environment Watch: Regulation

 

28. Objections to BMC’s new policy on hoardings – Sep 22

The Brihanmumbai Municipal Corporation has received a total of 1,500 suggestions and objections for the hoarding policy that it plans to implement in the last week of September. More than 50% of the objections came from painters and workers who put up these hoardings, and who fear that the new policy might render them jobless.

 

Source: DNA - Daily News & Analysis

 

 

29. Live India TV channel banned for one month – Sep 20

Live India TV channel, whose fake sting operation implicated a Delhi Government school teacher in a prostitution racket, has been banned by the Information and Broadcasting Ministry for one month. The ban will come into effect from 26 September.

 

Source: Indian Express

 

 

30. New organization set up for TV audience measurement (TAM) – Sep 17

Advertisers and broadcasters have formally created an organization (name yet unannounced) to make industry-wide suggestions and policy recommendations regarding the measurement and quantification of Indian television audiences. The body will have equal representation from the Advertising Agencies Association of India (AAAI), the Indian Broadcasters Federation (IBF), and the Indian Society of Advertisers (ISA).

 

Source: Mint

 

 

31. Service-quality regulations for DTH Players – Sep 01

The Telecom Regulatory Authority of India (TRAI) has issued quality-of-service regulations for direct-to-home (DTH) players.  These regulations, applicable from December 2007, will allow consumers to opt for the DTH equipment by purchasing it outright or through instalments, or by hiring. Also, a DTH operator will have to devise a refund scheme if a consumer wants to return the equipment.  The TRAI regulation also mandates the provision of commercial inter-operability to DTH subscribers and technical inter-operability between operators.    

Source: DNA

 

Environment Watch: Advertising & Media

New Media

 

32. Mid-Day Multimedia to enter television broadcasting – Aug 29

Mid-Day, the Mumbai based tabloid by Mid-Day Multimedia, is considering entry into television broadcasting (though not a news channel) and to further strengthen its position in the web space. Its intention was revealed by Shishir Joshi, who has joined the group recently as editorial director. According to Joshi, "Mid-Day is willing to get into any new space which is exciting."

 

Source: Agencyfaqs

 

Television

 

33. TRP system to be more accountable and reliable – Sep 20

P.R. Dasmunsi, India’s Information and Broadcasting minister, will hold a meeting on October 7 with the television industry to review the Television Rating Point (TRP) system in India. The step is being taken to consider the setting up of a regulation to bring accountability and reliability in the system.

 

Source: DNA - Daily News & Analysis

 

 

34. Government may not enforce CAS in remaining areas of the four metros– Sep 18

The Information and Broadcasting Ministry’s plan to enforce CAS in the remaining areas of the four metros by next year may not be implemented as state information secretaries argue that consumers should be allowed to make a choice. The ministry has suggested other alternatives such as Headed In The Sky (HITS), IPTV, and Direct to Home (DTH), in addition to CAS, for local cable operators. The secretaries also wanted comprehensive legal backing to ensure consumer satisfaction on the implementation of CAS.

 

Source: Hindustan Times

 

 

Print

 

35. Condé Nast to launch GQ, Glamour, Traveller in India– Sep 21

New-York based publishing house Condé Nast has launched its Vogue magazine in India; the other titles that it plans to introduce in India are – GQ, Glamour, Traveller, and Vanity Fair. Both GQ and Vanity Fair are men's magazines, and would compete with the likes of Maxim and FHM in India, whereas Glamour is a magazine on film celebrities in Hollywood. Condé Nast Traveller, the fourth title expected to hit Indian stands, is a travel magazine.

 

Source: Agencyfaqs

 

 

36. NRSC considering new agency for its future surveys – Sep 17

National Readership Studies Council (NSRC) is evaluating the incumbent ACNielsen ORG-MARG Ltd and IMRB International for conducting its future surveys; however, it is unclear when the research provider will be finalized. Since 2004, ACNielsen has been functioning as the research agency for the council’s National Readership Survey, which tracks the readership of newspapers and magazines in India. The decision to consider a change of agency comes in the wake of increasing criticism from publishers who state that there is no reported increase in the number of readers even after a growth in circulation.

 

Source: Mint

 

 

37. FHM magazines to hit stands by October end – Sep 07

Next Gen Publishing will launch the Indian version of the men’s magazine FHM (For Him Magazine) by the end of October 2007. The Indian edition of FHM will follow its core brand values of being ‘funny, sexy and useful’. Targeted at males in the 21-40 age group, the content will cover topics of male interest, including women, adventure, style, fitness, entertainment, cars, new technology, movies, music, dating, grooming, pubs, restaurants, cocktails, and arts and culture.

 

Source: Agencyfaqs


 

Radio

 

38. Government may allow news broadcasts on private radio stations– Sep 20

The Government of India has indicated that it is not opposed to news being aired on the radio. Private FM radio players will welcome this development. Currently, the government does not allow news and current affairs on private radio channels because there is no effective and established system to monitor FM stations.

 

Source: Exchange4media

 

 

39. Private radio stations reliance on outdoor advertising – Sep 13

Outdoor advertising is a major part of the marketing plans of private radio stations. They rely on outdoor advertising to not only increase their brand image, but also to effectively connect with the local public. Many players have used it successfully during their launches.

 

Source: Exchange4media

 

 

40. Cheaper ad spots in the radio – Sep 05

Despite a booming radio sector, ad spaces are much cheaper in radio than in other media. The reasons attributed to this trend are a low audience base, and low listener retention or audience engagement, especially during commercial breaks. To ensure increased audience engagement, radio broadcasters need to provide quality content.

 

Source: Mint

 

 

41. Radio industry to grow – Aug 27

Currently estimated to be worth 5 billion rupees in India, the radio industry is estimated to grow at 28% to reach Rs 17 billion by 2011, according to a report by the Federation of Indian Chambers of Commerce and Industry (FICCI).

 

Source: Times of India

 

Touch Points

 

Touchpoints is a unique tool for ZenithOptimedia clients that provide clear actionable metrics for all contact points used in marketing products and services.

 

For a detailed presentation on Touchpoints contact Mr. Pavan Chandra at pchandra@zenithoptimediaindia.com or call at +91-9899-3767-68

 

ZO Zone

 

Viewership Analysis of English News Channels for 4 weeks for the period of 19th August 2007 – 15th September 2007

 

Top 2 Programs Across English News Channels

 

    Source: TAM

Period: 19th August – 15th Sep
Market: 1 Mn +
TG: 25-44, Sec – AB, M, CS
 

Movements In English News Channel Share (2007 vs. 2006)

 

 

Source: TAM

Period: 19th August – 15th Sep 2006
19th August – 15th Sep 2007
Market: 1 Mn +
TG: 25-44, Sec – AB, M, CS
 

Top 5 Program Ratings Across Various Target Audiences

Source: TAM

Period: 19th August – 15th Sep
Market: 1 Mn +
In order of: TG :25-44, Sec – AB, M, CS
 

Advertising Spend Analysis for LCD Television category for the Year 2005 & 2006

LCD Television
 

LCD TV Category – Monthly Media Expenditure

 

Source: TAM
 

LCD TV Category – Brandwise spends

 

Source: TAM

LCD TV Category – Medium Breakup

 

 

 

Source: TAM

LCD TV Category – Genre Breakup

 

 

Source: TAM

Fast Forward

 

42. UK: ZenithOptimedia named Agency of the Year – Sep 20

A consecutive win for ZenithOptimedia, as MediaCom and Vizeum also leave the annual PPA Marketing consumer magazine advertising awards smiling.

 

ZenithOptimedia has snapped up the Media Agency of the Year gong at PPA Marketing's consumer magazine advertising awards.

 

For the second time in a row the judges felt that the agency "demonstrated impressive commitment to the magazine medium, both in their proprietorial research and their development of significant new business from many of their clients."

 

The award for Best use of Magazines was awarded to Volkswagen Touareg and MediaCom, acclaimed for demonstrating "a cleverly conceived combination of magazine advertising alongside relevant editorial in appropriate publications, combined with a strong presence at complementary events."

 

Diet Coke and Vizeum took the award for Collaboration of the Year as the judges believed that the collaboration resulted in "some truly innovative marketing and advertising which produced excellent results."

 

Finally, Idea of the Year was awarded to Procter & Gamble/BBC Pre-School Magazines. The panel praised the campaign for demonstrating 'great commitment, a fantastic understanding of how their readers interact with their magazines and a brilliant insight into the client's advertising objectives."

 

Phil Cutts, marketing director, PPA Marketing said: "Once again we received an overwhelming number of entries to this year's awards. The fact that the judges had such a hard job of deciding the winners pays testament to the innovation and extremely high calibre work within the magazine advertising today."


 

43. Video Marketing - Its Different Manifestations

Well, if you have a sharp mind [and even if you don't], you cannot but notice the rising fortunes of video marketing. Video marketing is the next big thing in the world of Internet marketing.

 

Video marketing entails the use of video for conveying your message to the audience. Most experts believe that videos are more effective when it boils down to establishing an engaging and interactive platform to communicate with the target audience.

 

If you too are interested in entering into the world of 'online video marketing', then it will augur well if you are aware about the various forms of video marketing. Video advertising is one of the basic forms of video marketing. In case of video advertising, the advertiser makes use of the video that is already being run across TV channels. Usually, the video is edited to shorten the duration. This also makes the video more appealing to the online audience. At times, the video might be stripped of its sound to fasten the downloading speed.

 

However, experts believe that running the same video for your Internet marketing campaign as well as on TV channels is not a good idea. According to Amit I. Budhrani of Alza Management Institute, "Most advertisers feel that the content for a video advert can be borrowed from their own TV commercials. However, this is not the case. One needs to clearly differentiate between a video advert and an advertisement made for the TV. Video made for a TV can never replace video that is required for the Internet. And it will not make a good impression about the company in the eyes of the people since they can quickly make out that the ad has been copied directly from the TV. If this happens then one is likely to lose out on viewers since people will not care to view the ad of the company ever again. Hence the company will loose viewers instead of gaining them. And this will be a very big loss of opportunity."

 

Budhrani also adds that, "People are not going to spend their bandwidth on ads that can be seen on TV. In other words, if you have to capture the attention of the online audience, then you have to present them with fresh content that is creative as well as engaging."

 

Ron Coomber of ITV agrees with the opinion put forward by Amit I. Budhrani of Alza Management Institute. According to Coomber, "The conventional 30 second television commercial will not be as effective when presented on the Internet." According to Lanctot of Avenue A/Razorfish, "It's easy to repurpose TV Ads, but it's not a good idea. Everyone seems to agree, but they keep doing it."

 

However, winds of change are slowly sweeping in. According to Treffiletti of Carat, "We have some clients who have allowed us to actually shoot video for [the Internet]. In addition, when they're shooting a commercial and they have the A roll and the B roll, the B roll has a lot more life now. We can actually use that extra footage."

 

The other form of video marketing that has been attracting the attention of business houses and corporate sector happens to be in-text video advertising. In this particular form of video marketing, a video gets uploaded and subsequently played whenever a user scrolls over an underlined text.

 

Experts state that in-text video advertising is a highly efficient method that can be precisely targeted towards a particular segment of the online audience. This is because a person will be induced to take his mouse over an underlined word only if he can relate with that word. For instance, a young mother might roll her mouse over words like 'bottle feeder', 'baby diapers', 'infant care' etc. This is because as a mother of an infant, she can relate with these words.

 

In-text video advertising is a user-initiated form of advertising. This means that the video will be played only when the user opts to roll his mouse over a phrase or a word.

 

Advertisers also have the option of going in for 'product placement in video'. This form of video marketing is similar to 'in-film' advertising wherein the product is placed in the video. For instance, one can notice Omega watches in James Bond movies. 'Product placement in video' works on the same line except for the fact that the same is done in the virtual world and through an online medium.

 

The products are integrated in the online video. At times, the viewers are also allowed to interact with the product in question. This increased interactivity enhances the engagement quotient of the advertisement.

 

'Advertiser funded video' is one more manifestation of video marketing. In this form of video marketing, the advertiser creates the content of the video but the same is run on third-party websites. The video seeks to entertain, inform or educate the viewers as well as to convey the information of the advertiser to the target audience.

 

One can also directly deliver the video to consumers via email. This form of video marketing is known as 'direct video'. However, this is a relatively new form of marketing and is yet to be exploited in a big way. The rise of Web 2.0 has allowed advertisers to deliver videos in HTML [Hyper Text Mark-Up Language] and thus avoid languishing in the receiver's bulk or spam folder.

 

Most experts believe that this form of video marketing has good potential especially considering the fact that an increasing number of netizens are now opting for hi-speed broadband connections instead of the traditional dial-up connections. This is good news for those opting for 'direct video' as research has proven that those having broadband connections are more receptive towards video.

 

The growing popularity of such sites as YouTube has opened up one more avenue for advertisers, business houses and the corporate sector. One can place videos in social network sites. According to a report that appeared in Reuters, "YouTube, the leader in Internet video search, said on Sunday viewers are now watching more than 100 million videos per day on its site, marking the surge in demand for its "snack-sized" video fare."

 

Experts state that this particular form of advertising has great scope provided the videos feature original content [that is the ideas for the video are not directly uplifted from the ads that are run on television] and are high on creativity.

 

And, if you do not want your video to get featured in a social networking site, then you can always have them displayed on mobiles. Experts state that since the number of mobile users is showing a tremendous increase, one can go in for mobile video marketing. According to Jim Cook of MobiADNews.com, "there are currently around 2.5 billion mobile handsets in the world, roughly the same number as TVs and PC's combined."

 

Those conversant with Internet marketing dynamics state that mobile users are showing a tremendous appetite for videos. As MobiADNews.com puts it, "A number of recent studies have shown that consumers are actually very willing to receive ads on their phones as long as certain conditions are in place."

 

Most experts state that people are willing to see videos on their mobiles as long as these videos are relevant to their needs and desires. Similarly, viewers also expect something in return from the advertiser after watching his/her advert. Experts also believe that mobile video viewers want an assurance that they can opt-in or opt-out of the video.

 

According to the Interactive Advertising Bureau, UK, "there are already many types of mobile video ads available including banner ads, text ads, search ads, short code response numbers in print and TV and ads inserted between levels of a game. Essentially, the choice available to advertisers is as large as that of internet advertising and it is recommended that - in the same way as internet – marketers select only the forms beneficial to their brand and campaign."

 

Thus, there are various forms of video marketing. Advertisers, wishing to use this form of Internet marketing, should carefully weigh the pros and cons of each form of video marketing. They should also weigh their intentions and objective campaigns of their online marketing campaign against each form of video marketing and select the one that will help them to gain maximum mileage.

 

As Interactive Advertising Bureau, UK puts it; "online video takes this to the next level by delivering the content we love to other portable video players. This leads to accessing video content in entirely new places; living rooms and cinemas are no longer the only place to view video."

 

This tracker has been compiled from external sources and does not necessarily reflect the views of the company.
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