VideoNuze Posts

YouTube advertising revenue grew to $6.9 billion in Q4 ’20, up 46% from $4.7 billion in Q4 ’19. YouTube’s results were reported as part of parent company Alphabet’s Q4 ’20 and full year 2020 earnings released yesterday. YouTube’s ad revenue accounted for 15% of Google’s total ad revenue of $46.2 billion in Q4 ’20, up from 12.4% of Google’s total ad revenue of n Q4 ’19.

Critical to YouTube’s ad growth is the macro trend of reduced linear TV viewing, especially among younger audiences. This makes it harder than ever for brands to reach these viewers, a tailwind that is helping all ad-supported streaming services.

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Sell-side ad platform Magnite has unveiled an open beta of its “Unified Decisioning” solution which gives CTV and OTT publishers the ability to have direct sold and programmatic demand compete for available inventory. By doing so publishers can maximize yield while the decisioning still respects deal priority and business rules such as frequency capping and competitive separation.

Paige Bilins, Magnite’s VP of Video Product Management said “publishers are eager to tap into the efficiencies that programmatic provides without relinquishing the control they are used to when selling directly to buyers.” Magnite said that Unified Decisioning works with all major ad servers.

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The number of scripted original TV shows released on broadcast, cable and streaming dropped slightly from 532 in 2019 to 493 in 2020 according to FX Networks, which has been tracking the number for the past 10 years. FX chairman John Landgraf previously dubbed the spiraling number of scripted originals “Peak TV.” Back in 2009 there were 210 scripted originals, according to FX.

The reduction in 2020 is likely a temporary pause due to the effects of Covid shutting down productions and shifting network strategies. That’s because the streaming industry, where the majority of Peak TV originals has come from, is continuing to expand aggressively, in both subscription and ad-supported.

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Welcome to the 546th edition of the VideoNuze podcast, with my weekly partner Colin Dixon of nScreenMedia.

Comcast reported its Q4 and full year 2020 this week and as usual, the divergence between residential video and broadband subscribers was stark. Remarkably, Comcast now has nearly 10 million more residential broadband subscribers (28.3 million) than residential video subscribers (18.9 million). The pandemic furthered the divergence, with 1.9 million broadband subscribers added in 2020 (up 47% vs. 2019) while video subscribers declined by 1.3 million (nearly double the 671K lost in 2019).

Broadband has been Comcast’s core strategy for a while now, and we discuss how Peacock is one of the beneficiaries. Peacock now has 33 million sign-ups and is well ahead of plan. Peacock has also made some strong content moves with “The Office,” “Modern Family,” the WWE Network and some sports coming over from NBCSN which is being closed down.

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The Global Video Measurement Alliance (GVMA) has added four new members, BBC Studios, WildBrain Spark, Digitas and Weber Shandwick. GVMA is an industry coalition backed by Tubular Labs to standardize measurement for digital video viewership and engagement. GVMA uses Tubular Audience Ratings, which measures de-duplicated unique audiences and minutes watched on Facebook and YouTube.

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Streaming viewership on smart TVs spiked by 157% in Q4 ’20 vs. Q4 ’19, according to Conviva’s latest State of Streaming report. Smart TV’s growth far outpaced all other device types and was followed by tablets (up 47%), connected TV devices (up 38%), desktop (up 27%), smartphones (up 19%) and gaming consoles (up 16%). Overall time spent streaming rose by 44% in Q4 ’20 vs. Q4 ’19.

TVs were the big winner in Q4 ’20 with 75% of all time spent streaming accounted for by smart TVs, connected TV devices and gaming consoles combined, up from 71% in Q4 ’19. Smart TVs’ share increased from 9% to 17% in the quarter, while CTV devices dropped from 51% to 49% and gaming consoles dropped from 11% to 9%.

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Peacock has obtained exclusive streaming rights to WWE Network in the U.S. in a multi-year deal, the companies announced today. WWE Network will be added to Peacock Premium on March 18th.

The exact details of the migration plan for WWE Network subscribers weren’t shared. WWE Network has 1.1 million domestic subscribers who pay $9.99 per month. They would be saving half of that because Peacock Premium is $4.99 per month, with ads. Plus these subscribers would also get access to the full Peacock Premium library which is over 30K hours of content.

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Welcome to the 545th edition of the VideoNuze podcast, with my weekly partner Colin Dixon of nScreenMedia.

AVOD services are growing strongly, yet linear TV still accounts for 90% of video ad spending. This week Colin and I discuss a new report from Tubi that details how advertisers can now only reach a sizable share of younger audiences by shifting more spending to AVOD. With AVOD services poised to grow even further in ’21, advertisers will be pressed to reevaluate their spending decisions.

Meanwhile, it’s not just AVOD that’s growing, it’s SVOD too, as Netflix’s Q4 and full year earnings report underscored. Netflix added nearly 37 million subscribers, with international making the biggest contribution. We dig into the highlights of the report, including analysis of differences in Netflix’s results by region.

Listen in to learn more!

Click here to listen to the podcast (25 minutes, 48 seconds)

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The VideoNuze podcast is also available in Apple podcasts, subscribe today!