online video usage and user behaviour affecting online businesses

MASSOUTREACHNEW MARKETING IN NEW MEDIA

Online Video Marketing

Presentation for

FACTS

1. Online Video Use Rising Fast

2. People Who Watch Video Buy More €€€

3. Video has to be Found (SEO), and Watched



Retail video – a quick overview

July 2009

July 2010

% Chg vs. YA

Number of people who watch video on retail sites each month

41MM 58MM +40%

% of retail site visitors who also viewed video 28% 34% +18%

YOY growth in retail video viewers (40%) significantlyoutpaced growth

41© comScore, Inc. Proprietary and Confidential.

who also viewed video onsite

28% 34% +18%

Total # of viewed videos 174MM 311MM +79%

Viewing time per person 11mins 20mins +82%

% reach total US population 14% 20% +43%

outpaced growth in total video viewers (17%)

Source: comScore Video Metrix


Adding video to retail sites is extremely powerful

150

200

250

137

201

Retail site visitors who also view video are 64% more likely to purchase

Retail site visitors who also

Buying Power IndexSource: comScore Video Metrix 2.0, June 2010

42© comScore, Inc. Proprietary and Confidential.

TotalInternet

Total Internet w/ Video

Retail Site Visitors

Retail Site Visitors w/

Video Viewing

0

50

100 100115

137view video spend 2 minutes longer onsite per visit


Creating E Commerce Videos that Sell

27Copyright © 2009 Video Commerce Consortium �– www.video commerce.org �–All Rights Reserved.

Results Ultimately, the success or failure of any online merchandising and marketing effort can and should be measured on its results. Video adoption is growing rapidly among online retailers, and early adopters are already seeing success:

Ice.com experienced a 40% increase in conversion, 24% decrease in returns from video: http://bit.ly/Wqhou eBags.com showed a 50% - 138% increase in conversion rate using video: http://bit.ly/2QgVAN and http://bit.ly/UtkeT ShopNBC.com pronounced customers who watch video convert at 2X the rate of those who do not: http://bit.ly/LWZeD Circuit City measured a 12% increase in conversion rate on product pages with video: http://bit.ly/UeHvk OnlineGolf.co.uk saw an 88% average increase in conversion rate on product pages featuring video: http://bit.ly/4pMW89 ShoeLine.com measured a 44% increase on product pages with video v. those without video: http://bit.ly/VUPJ0 Pets United (e.g. dog.com, cat.com) saw a 50% increase in conversion rate attributed to video: http://bit.ly/rKMnY BBQGuys.com, 15% increase in conversion rate: http://bit.ly/3mQRik Skis.com, 19% increase in conversions w/video: http://bit.ly/66JEi EyeBuyDirect, 30% improvement in conversion rates: http://bit.ly/sAIBy

Data Courtesy of the Video Commerce Consortium


We have been trained to passively consume video content through years of exposure to TV and movies.

Shoppers convert at higher rates after watching product videos is because shoppers do not want to figure out why the purchase should be made - rather

Shoppers expect online retailers to know why the shopper should make the purchase, and then tell them with video.


Fogg Behaviour ModelData Courtesy of the Video Commerce Consortium

Creating E Commerce Videos that Sell

24Copyright © 2009 Video Commerce Consortium �– www.video commerce.org �–All Rights Reserved.

Q: How do we know if our content is working?

A: It is important to measure both the conversion rate of product pages where you are featuring video content and to look at what specifically within your video content is interesting (and uninteresting) to your viewers. Some web analytics packages (such as Omniture’s SiteCatalyst and Google Analytics) provide basic tools for measuring video engagement. Your video platform may also include such tools.

Measure both the conversion rate of pages where you are featuring video as well as the engagement metrics for your product videos to determine what content is most appealing to your shoppers.

Q: Should we use Flash, Silverlight, Windows Media, or some other format for our videos?

A: As of October 2009, Flash is supported on over 99% of Internet-connected computers in the United States and over 98% of Internet-connected computers worldwide. Silverlight is supported on roughly 35% of Internet-connected computers.


Example Drop-Out Analysis

Data Courtesy of the Video Commerce Consortium


MASSOUTREACH Can:

>> design the video to hold & convert

>> make the video

>> drive traffic to the video

>> measure performance of video


DANK U WEL

Presentation for

online video usage and user behaviour affecting online businesses

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