Digital video viewing hours 2016 audiences choose:disruptors rule

Netflix and YouTube account for a combined 53.8% share of viewing hours across all platforms

DIGITAL VIDEO VIEWING HOURS 2016
AUDIENCES CHOOSE: DISRUPTORS RULE

TABLE of CONTENTS

EXECUTIVE SUMMARY 3
DIGITAL VIDEO VIEWING HOUR DISTRUPTERS: MARKETSHARE TILTS HEAVILY TOWARD THE INTERNET GIANTS 2016 3
Netflix and YouTube account for a combined 53.8% share of viewing hours across all platforms 3
Internet-centric publishers locked in 89.6% viewing share in 2016 3
Four of the top 10 digital video publishers are social media platforms delivering video across all devices, including Facebook, Instagram, Snapchat and Twitter 3
DIGITAL VIDEO DISRUPTER SERVICES AND COMPLEMENTARY TECH DEVICES DRIVE THE MARKET IN HOURS VIEWED 4
Online TV/Movie services capture 59% of total hours 4
Made-for-the-medium content successes ease concerns over library depth and major studio licensing deals/costs 4
Internet media upstarts command a large swath of the marketplace and possess very strong balance sheets; they are in it to win it 4
Social media cracks into the digital video viewing hour market with a desirable and exploitable 19.4% share 4
Analysis shows access through OTT boxes such as Apple TV, Roku, Chromecast devices/casting apps and Fire TV connected audiences to 51 billion hours of content in 2016 4
A Deeper Analytics Dive: Excluding OTT boxes and duplicate hours: A 14.6% comparable piece of linear viewing in 2016 5
Non-linear video viewing analysis shows TV/Movie and social media dominance in multiple database utilization scenarios 5
AD-SUPPORTED HOURS TOTAL 54% OF 2016 DIGITAL VIDEO VIEWING ONLINE 8
SUBSCRIPTION HOURS TOTAL 46%, AND POISED TO GROW AS MORE FLEXIBLE RATE PACKAGES AND PROVIDERS BRING SERVICES TO MARKET 8
Netflix and YouTube are the twin pillars of digital video viewing hours, one subscription and the other ad supported 8
Facebook and Instagram are evolving toward more video centric programming; expect both ad-supported and pay-as-you go services rollout over the next several years 8
SECTION ONE 10
DIGITAL VIDEO VIEWING HOURS 2016: LONG-FORM CONTENT DOMINANT 10
LINEAR TV AND DIGITAL VIDEO VIEWING: COMPARATIVE AUDIENCE CONSUMPTION STATISTICS 2016 13
Internet era upstart media firms are the big players and current leaders in digital video share 15
Digital viewing hour share 2016: TV, Movies and Social Media set the pace 15
Online TV, movies and social media capture a combined 81.7% hourly viewing share 15
Broadcast/cable brand extensions own a 4.3% share 15
DIGITAL VIDEO VIEWS, HOURS, AVERAGE MONTHLY USERS BY PLATFORM 2016: COMPLETE DATABASE 17
SECTION TWO 25
INTERNET TV: A MARKETPLACE CREATED AND DOMINATED BY MEDIA BRANDS NETFLIX, YOUTUBE AND HULU 25
ACTIVATING EYEBALLS: AUDIENCES SAY THE INTERNET DOES IT BETTER 26
Video services and platforms native to the internet channel (including socials) dominate viewing hours 26
EXCLUDING OTT DEVICES, INTERNET TV HOURS CAPTURE A 59.3% VIEWING SHARE IN 2016 27
Total non-duplicated digital video viewing hours at 85.6 billion in ’16 (excluding OTT access) 27
Toward a new video advertising model that unifies ad opportunities inside more sophisticated player environments 28
YOUTUBE IS A POWERFUL VIDEO PROGRAMMER THAT DELIVERS A GREAT VIEWING EXPERIENCE ACROSS PLATFORMS 29
YOUTUBE EXPLOITS AN INTERNET VERSION OF TRADITIONAL 24/7 TV ADVERTISING: PRE-ROLL FORMATS EVOLVE 29
DIGITAL VIDEO HOURLY DATABASE BY PUBLISHER AND CONTENT CATEGORY: 2016 31
SECTION THREE 36
AD-SUPPORTED HOURS TOTAL 54% OF 2016 DIGITAL VIDEO VIEWING ONLINE 36
SUBSCRIPTION HOURS TOTAL 46%, AND POISED TO GROW AS MORE FLEXIBLE RATE PACKAGES AND PROVIDERS BRING SERVICES TO MARKET 36
DIGITAL VIDEO VIEWING HOURS: COMPLETE AD-SUPPORTED AND SUBSCRIPTION COMPARATIVE ANALYTICS DATABASE 2016 37
SECTION FOUR 45
DIGITAL VIDEO VIEWING HOUR MARKETSHARE TILTS HEAVILY TOWARD THE INTERNET GIANTS 2016 45
Netflix and YouTube account for a combined 53.8% share of viewing hours across all platforms 45
Internet-centric publishers locked in 89.6% viewing share in 2016 45
Four of the top 10 digital video publishers are social media platforms delivering video across all devices, including Facebook, Instagram, Snapchat and Twitter 45
DIGITAL VIDEO VIEWING HOUR RANKING 2016: PUBLISHER, VIEWS, HOURS AND PLATFORM FOCUS 46


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