SYDNEY, Nov. 4, 2012 /PRNewswire/ -- The rapid proliferation of mobile devices and insatiable demand by younger consumers has driven further demand for online video among Australians and led to a record year of growth in the online video advertising market, according to the latest Frost & Sullivan report into the market.
An overwhelming majority (94%) of 15 to 17 year olds now watch TV shows and/or movies at least once a month on a desktop / laptop. Smartphones and tablets are playing a key role in the delivery of online video with two-thirds of smartphone users watching short video clips on average at least once a month. The rise of mobile devices is also leading to much higher levels of multi-tasking across different devices and platforms with social media being a key facilitator of this experience.
These are among the findings in Frost & Sullivan's latest report of The Online Video Market in Australia, written in association with TVN. The report draws from Frost & Sullivan's inaugural Australian Online Video Usage Trends Survey conducted in May 2012, examining the online video consumption behavior of 1,000 Australians between the ages of 15 and 65.
Phil Harpur, Senior Research Manager, Australia & New Zealand ICT Practice, Frost & Sullivan, said, "The online video advertising market grew by 58% in the 12 months to June 2012 to reach $86 million, faster than any previous year. A growing number of 'light' TV watchers are now watching online video across a range of devices while 40% of tablet owners are accessing their tablet as they watch traditional TV, always or most of the time".The rise of mobile devices presents challenges and opportunities Pete Ostick, TVN Managing Director, said the rise of viewing video content on mobile devices presented both challenges and opportunities for advertisers. "Brands need to find new ways to reach their audiences as more of us turn to our mobile devices during TV ad breaks or choose to watch more long form content online," he said. Indeed, TV programs and full length movies have become mainstream activities with both now viewed by nearly half of all tablet users at least once a month. Short video clips remain the most popular with 39% of tablet owners viewing these on most days.