SAE Magazine 12-2

The figures are clear and show that there is considerable potential here. The positive side effect of this for the online vid- eo sector is that the adverts motivate companies to place their videos on YouTube in order to be ranked at the top next to the search results, on the side. In this way, the trend is moving clearly away from UGC (User Generated Content) towards pur- poseful, professionally produced videos. This is good for companies who had previously held back from releasing their videos on UGC dominated platforms as they didn’t want to be placed next to shaky videos of cats. Of course this particularly applies to pre- or post-roll ads and In-Stream vid- eo ads, which were launched on YouTube in 2008 and 2009. Newer search engines like Carbon Vir- gin automatically show a list of videos relating to the search term as a band on the left-hand side of the results page. A study of production videos in online business di- rectories, private advertisements and the classified ads market by production company infotainweb in March 2011 gives a good insight into the German market. It shows that a potential advertising budg- et of an estimated 300 million euros is waiting to be tapped into. In Germany there are around 3.5 million SMEs (small- and medium-sized enterprises), of which, according to a survey by GfK market research in October 2010, 20 percent were planning to pro- duce a video. This equates to a potential demand for 700,000 videos. Even if only half of these com- panies carry out their plans, and an average price of 1000 euros per video is assumed, this means a revenue of 350 million euros. German online digital marketing association On- line-Vermarkterkreis im Bundesverband Digitale Wirtschaft e.V.’s half-yearly report confirms this positive trend. According to this, spending for on- line video advertising in 2010 totalled 85.7 million euros, an increase of 160% on the previous year. The total forecast for 2011 was 184.2 million eu- ros, representing growth of 115% (as of July 2011). The figures are clear and show that there is consid- erable potential here. The conditions for publishing videos online have been fulfilled and are expected to continue improving. In the above-mentioned study by infotainweb, 57 platforms were examined to see if video integration was possible, taking into account online sector directories, official city por- tals, websites for regional newspapers and lead- ing trade press. 32 of them of, 56%, already offer video integration. If the results are sorted by type of platform, they are even more positive – 78% of the sector directories and 50% of the trade press sites already offer videos. ➤ Imagevideos on different types of platforms © infotainweb, March 2011 / Basic: 57 Websites / Enquiry: October 2010 Online classified directories Daily newspapers Professional publications City platforms 78 Production & Know How // Film // Pictures learn to run online Index

SAE Magazine 12-2

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