A Message From Ooyalago.ooyala.com/rs/OOYALA/images/Ooyala-Global-Video... · GLOBAL VIDEO INDEX:...

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Transcript of A Message From Ooyalago.ooyala.com/rs/OOYALA/images/Ooyala-Global-Video... · GLOBAL VIDEO INDEX:...

2GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

A Message From Ooyala

2012 was another historic year in online television.

The world watched a man jump to the Earth from outer space, the London

Olympics broke online records, and the first video to hit a billion views

on YouTube taught us all how to dance “Gangnam Style.”

Live streaming for major sporting, political, and music events became the

norm, as people tuned in to Wimbledon, the Tour de France, and the U.S.

Presidential debates online. Throngs of connected viewers also watched

the monumental “12.12.12” Benefit for Hurricane Sandy Relief.

Tablet TV continued to surge as mobile, social and video converged on

a growing number of smart screens built for personal media consumption.

Data from this report reveals the share of tablet video viewing more than

doubled last year.

People streamed more movies and TV shows through game consoles than ever

before. Microsoft reported that Xbox users spend more time watching video

than playing games on the device. New findings in this Video Index show how

viewing patterns on gaming systems and Smart TVs change seasonally.

Online video revenue increased along with viewer engagement in the last

four quarters. Video ads were the fastest-growing category of online

advertising in 2012, with U.S. ad spend increasing 46 percent to

$2.9 billion*. While that’s still a far cry from traditional TV ad budgets,

marketers and brands continue to move aggressively into the online video

space. Expect even more of this growth in the coming year as audience

insights become more sophisticated and financial returns more apparent.

Ooyala was founded five years ago to help media companies, marketers,

brands and TV networks earn more money from online media and connect

with their viewers around the world. Driven by a vision of personalized media,

simplified discovery, advanced social sharing, and robust analytics, Ooyala

is committed to keeping our customers ahead of the technology curve.

There’s still a lot of work to do. The industry has yet to agree on standards

for online video ad measurement, making it difficult to demonstrate the

efficacy of paid streaming content. Network speeds and data-caps also create

institutional barriers between viewers and videos. In order for “online video”

to fully transition to “online television,” media and technology companies

must work together to find common ground in this new media landscape.

As always, thanks for watching!

Bismarck Lepe

Co-Founder and President of Products, Ooyala

*Source: eMarketer September 2012

Table of contentsABOUT OOYALA’S GLOBAL VIDEO INDEX .................................... 3

EXECUTIVE SUMMARY ............................................................. 4

BRANDED VIDEO CONSUMPTION SURGES BETWEEN BLACK FRIDAY AND CHRISTMAS DAY ..................... 6

Q4 ENGAGEMENT: CONNECTED TVS & GAMING CONSOLES ...... 7

TABLET VIDEO VIEWING SPIKES ON CHRISTMAS .................... 8

WANT TO ENGAGE VIEWERS ONLINE? GO LIVE! ...................... 9

RAPID INCREASE IN TABLET + MOBILE VIDEO IN 2012 ........ 10

THE PHONE WARS: iOS VS. ANDROID ................................. 11

LONG-FORM VIDEO .......................................................... 12

VIEWER BEHAVIOR & ENGAGEMENT BY DEVICE ................... 14

TURNING INFORMATION INTO INSIGhTS ................................. 11

APPENDIX ............................................................................. 12

About Ooyala’s Global Video Index

Ooyala measures the anonymized viewing habits of nearly 200 million unique viewers in 130 countries every month. We process billions of video analytics events each day. Our market-leading video analytics help media companies and consumer brands grow their audiences and earn more money from mobile, multi-screen broadcasting.

Ooyala works with TV networks, cable and satellite providers, movie studios and online media companies to put premium video content on tablets, smart phones, connected TVs and PCs all over the world. One in every four Americans watch video on an Ooyala player, and more than half of our traffic comes from outside of the U.S.

About Ooyala Video Publishers

Ooyala video publishers include hundreds of forward-thinking brands, broadcasters and operators like Bloomberg, ESPN, Telefonica, The North Face, Rolling Stone, Dell, Pac-12 Network, Sephora, Caracol TV, CJ Entertainment, and Yahoo! Japan.

This report reflects the anonymized online video metrics of these publishers. It does not document the online video consumption patterns of the Internet as a whole. But the size of the Ooyala video footprint, along with the variety of our customers, means this report offers a statistically representative view of the overall

state of online video.

Executive SummaryKey findings from Ooyala’s 2012 Year In Review Global Video Index include:

Branded Video Viewing SurgeS Between Black Friday and chriStmaS

Conversion rates for branded videos jumped 91% from the start of the quarter to their peak in mid-December.

There’s a huge opportunity for retailers, e-tailers and consumer brands to connect with online audiences between Black Friday and Christmas Day.

rapid increaSe in taBlet + moBile Video in 2012

Measured together, the share of all hours spent watching streaming video on tablets and mobile phones increased 100% in 2012.

want to engage ViewerS online? go liVe! On desktops, viewers watched live video

18 times longer than VOD content in Q4.

premium content ruleS About one third of the total time spent

watching tablet video last quarter was with premium, long-form content running more than 60 minutes.

The percentage of time spent watching long-form video (over 10 minutes) on tablets increased 37% from Q1 to Q4 in 2012.

the phone warS: ioS VS. android Although Android phones are outselling

iPhones globally, last year Apple users watched twice as much online video on their mobile phones.

home (and online) For the holidayS Short-form video* viewing spikes on

Black Friday and Christmas, presumably because people are unpacking and tinkering with new connected devices.

The amount of time people spent watching short-form video on Connected TVs & Gaming Consoles increased 500% in the two days following Christmas.

The share of time spent watching online video on tablets jumped 73% on Christmas Day, compared to the Q4 average.

* Video less than 10 minutes.

6GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

the Bottom line

Video drives online purchases

and gives consumers confidence

in their purchases. Viewers who

watch a product video online are

up to 85% more likely* to make

a purchase.

In order to maximize revenue,

brands should ensure they have

high quality, relevant video content

available across all screens to drive

impressions and sales.

Branded Video Consumption Surges Between Black Friday and Christmas DayWe wanted to better understand the impact of the gift-giving season on video viewing habits.

Do people watch more video on tablets and gaming consoles during the winter holidays?

Does desktop viewing dip when people leave the office for winter break? And how do people use

branded video to research gifts online?

After collecting anonymized data from 150 leading consumer brands, we found that the conversion

rate (the ratio of plays to displays) for branded videos began to rise sharply on Black Friday,

and peaked in mid-December. At its zenith, one out of every two viewers who were presented with

a branded video online clicked the play button.

Branded video conversion rate Q4 2012

Pla

y/D

ispl

ay C

onve

rsio

n R

ate

0%

20%

40%

60%

Oct Nov Dec

BLACK FRIDAY

Branded video conversion

rates peaked on December 16

at 54%—a 91% increase

from the start of the quarter.

*Source: Internet Retailer, April 2010

7GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

the Bottom line

Viewer behavior changes seasonally.

Publishers need sophisticated

analytics for viewer engagement

to identify audience trends and

deliver the content that is most

relevant to individual viewers.

Q4 Engagement: Connected TVs and Gaming ConsolesThe amount of time viewers spent watching short-form videos* on Connected TVs and Gaming

Consoles (CTV&GCs) increased in November and December, months when people purchase, gift,

and test-drive new TV tech.

The average share of short-form content watched on Connected TVs and Gaming Consoles was 8%

from July 1 to October 31, 2012. From December 25 to 27, the average share of time spent watching

short-form video jumped to 40%—a 500% increase.

*Videos less than 10 minutes.

less than 1 min6-10 min

Percent of time watched by video length: CTV & GC Q3, Q4 20121-3 mingreater than 10 min

3-6 min

Sha

re o

f ti

me

spen

t

0%

10%

20%

40%

30%

50%

Jul Aug Sep Oct Nov Dec

Dec 17 Dec 19 Dec 21 Dec 23 Dec 25 Dec 27 Dec 29 Dec 31

5%

10%

15%

20%

25%

40%

45%

30%

35%

50%

The percentage of time spent viewing videos

10 minutes or less on Connected TVs & Gaming

Consoles increased 500% after Christmas,

presumably because people were “test-driving”

new devices and playing shorter video clips.

8GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

Tablet Video Viewing Spikes on ChristmasTablet video usage also increased noticeably on Christmas Day. Tablet video viewers watched 5.33%

of all online video consumed on December 25, 2012—up from a fourth-quarter average tablet share of 3%.

Share of Total Hours Watched: Tablet Christmas 2012

Sha

re o

f to

tal h

ours

wat

ched

0%

1%

2%

4%

5%

3%

6%

MON TUE WED THU FRI SAT SUN SAT SUNMON TUE WED THU FRI MON17 18 19 20 21 26 27 28 29 30 312422 23

AVG=3%

The share of time spent

watching video on tablets

increased 73% on

Christmas, with respect

to the Q4 average.

9GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

Want to Engage Viewers Online? Go Live! Whether it’s a live sporting event, concert, fashion show, or breaking news, live video has an

immediacy and urgency that leads to longer viewing times across all devices.

As more TV content and live streams are put online, the more “online video” will become “online

television,” with real-time analytics informing personalized ads that target specific viewers, devices

and locations.

We’ve reported on this trend before, and it shows no signs of abating any time soon.

the Bottom line

Media companies and consumer

brands looking to engage their

audiences online should employ live

video as part of a comprehensive

digital video strategy. Bonus points

for delivering live video to tablets

and smart phones to maximize

exposure and ad impressions.

Time per play by device Q4 2012

Min

utes

0

10

5

20

15

30

35

30

25

45

Desktop Mobile Tablet CTV & GC

Live VOD

50

Tablet video viewers watched live video

5x longer than VOD content.

Live mobile video was viewed for almost

4x as long as VOD content.

Viewers watched live streaming video

on Gaming Consoles and Connected

TVs for an average of 45 minutes.

Desktop viewers averaged over

41 minutes of live video viewing.

10GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

Rapid Increase in Tablet + Mobile Video in 2012The way people watch TV is changing. There are more videos being watched on more tablets

and smart phones than ever before. The share* of tablet video viewing increased 110% in 2012,

while the share of mobile online video viewing grew by 87% last year.

Measured together, the share of all hours spent watching online video on tablets and mobile phones

grew 100% in 2012. Tablet and mobile video share grew from 4% in January to 8% in December.

As more tablets and smart phones enter the market, expect tablet and mobile video consumption

to continue to grow rapidly. New Cisco data reveals that video will make up 66% of the world’s

mobile data traffic* in four years.

*This is a median share of hours watched by device (as opposed to the mean measured in previous reports). Looking at the median reduces the volatility caused by publisher-dependant effects on the data, and also lessens the impact of outliers on the results. We still see the same overall trends, but the numbers reported here are slightly higher compared to the mean.

the Bottom line

It isn’t enough to just put your

content online anymore. You need

to know where it’s being watched —

in real time—to maximize

engagement and digital revenue.

Smart video publishers will deliver

streaming media to tablets and

phones that is personalized for each

viewer, screen, time, and location.

Share of all hours watched online: mobile and tablet 2012

Sha

re o

f ho

urs

wat

ched

0%

2%

4%

6%

10%

8%

OctSepAugJulJunMayAprMarFebJan Nov Dec

Share of all hours watched online: mobile, tablet 2012

Per

cent

of

tim

e w

atch

ed

0%

1%

3%

2%

5%

4%

Tablet Mobile

OctSepAugJulJunMayAprMarFebJan Nov Dec

*Source: The Cisco® Visual Networking Index (VNI) Global Mobile Data Traffic Forecast Update, 2012 - 2017

11GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

Phone Wars: iOS vs. Androidhatfield vs. McCoy. Tupac vs. Biggie. Alexander hamilton vs. Aaron Burr.

history is full of iconic feuds, and the battle between iOS and Android is shaping up to be a mobile

operating system grudge match for the ages.

We measured the share of time played on mobile phones for 2012 to see if Google or Apple was

winning the war for mobile video.

the Bottom line

Publishers must have detailed

mobile video analytics to ensure

that their streams are optimized for

delivery to all devices. Mobile video

ads should target specific phones for

maximum impact.

Android

Share of mobile video time played: Android vs. iOS 2012iOS

33% 67% 68%

(other)

19%

2012 MARKET SHARE

Although Android outsold the iPhone globally last year,

iPhone owners consumed roughly twice as much video

on their phones in 2012.

Source: IDC Worldwide Quarterly Mobile Phone Tracker

12GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

Long-Form VideoWhile the percentage of time spent watching short and mid-form videos increased across all device

categories last quarter, connected viewers still spent a significant percentage of their time viewing

long-form videos* online in Q4.

82% of the total online video viewing time on Connected TVs & Gaming Consoles (CTV&GCs) was

spent watching long-form video content. Tablet video viewers spent 63% of their total viewing time

watching videos longer than ten minutes.

* Videos over 10 minutes long.

the Bottom line

Video publishers must customize

their online monetization strategies

for specific devices. For example,

deploy more mid-rolls for content

played on SmartTVs and Gaming

Consoles. Device-specific ad

strategies optimize revenue against

engagement.

less than 1 min6-10 min

Time watched by video length and device Q4 20121-3 mingreater than 10 min

3-6 minP

erce

nt o

f ti

me

wat

ched

0%

25%

75%

50%

100%

Desktop Mobile Tablet CTV & GC

Long-form video viewing accounted

for 57% of the total time spent

watching online video on personal

computers last quarter.

Long-Form Video

13GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

the Bottom line

More viewers tuning in to long-form

content means more opportunities

for mid-roll advertising, and also

points to the shift from “online

video” to “online television.”

Smart video publishers will optimize

the placement and frequency of

their ads to ensure high brand

engagement—and higher ad

revenues—across all devices.

When we look closer at long-form video viewing habits, we find viewers tuning in to long-form content

like movies and TV shows across all connected screens.

Nearly 25% of total desktop viewing time was spent watching content that ran 60+ minutes.

Long-form viewing by device Q4 2012

Per

cent

of

tim

e w

atch

ed

0%

25%

75%

50%

100%

Less than 10 mingreater than 60 min

10-30 min 30-60 min

CTV & GCTabletMobileDesktop

Time spent watching long-form video by device 2012

Per

cent

of

tim

e w

atch

ed

0%

25%

75%

50%

100%

Q1 Q2 Q3 Q4

CTV & GCTabletMobileDesktop

32% of the total time spent

watching tablet video last quarter

was with content running more

than one hour long.

The percentage of time spent

watching long-form video

on tablets increased 37%

from Q1 to Q4 in 2012.

14GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

Viewer Behavior and Engagement By DeviceWe’ve previously reported viewing metrics that show people watch video differently on different

devices. These trends continued in the fourth quarter of last year.

Larger screens and a “lean back” viewing mentality led to more engaged video viewers on tablets

and Connected TV & Gaming Consoles. Smaller screens and more distractions impacted viewing

times and engagement on mobile phones.

the Bottom line

Savvy video publishers will create

device-specific ad strategies based

on audience behavior.

For mobile videos, consider adding

more pre-roll ads and inserting

your mid-roll advertising earlier

in the video to maximize ad views

and revenue.Engagement by device Q4 2012

Per

cent

of

tim

e w

atch

ed

0%

20%

60%

40%

80%

25% 50% 75% 100%

CTV & GCTabletMobileDesktop

Mobile video viewers were the

least-engaged group in Q4, with

less than one third viewing videos

all the way to completion.

Viewer Behavior and Engagement By Device

15GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

the Bottom line

Video publishers looking to earn

additional revenue from online

video should add more mid-roll ads

to longer videos, especially when

they are played on larger connected

screens. Mid-roll video ads also have

higher completion rates, on average,

which means more viewers stay

engaged with paid content longer,

which leads to more revenue.

Online video analytics help media

companies, networks, brands and

broadcasters understand how

audiences watch TV online today.

These real-time insights inform

innovative and profitable online

video strategies that maximize

revenue and viewer engagement

across all connected screens.

The same engagement patterns emerge when we factor in device type and video length.

When people watch a video on a gaming console, connected TV, or tablet, they are

more likely to watch it to completion. Our data shows this is true for short-form, mid-form

and long-form videos.

Playthrough by device and video length Q4 2012

Com

plet

ion

rate

0%

20%

60%

40%

80%

CTV & GCTabletMobileDesktop

less than 1 min6-10 min

1-3 mingreater than 10 min

3-6 min

Turning Information Into Insights

When you optimize digital revenue strategies for each viewer, device and location, you deliver more relevant ads to the right screen at the right time.

The result is more money for online video publishers.

Ooyala uses Big Data and real-time video analytics to help you understand your audience like never before, and connect with them in meaningful ways.

Only Ooyala delivers a more personalized and profitable media experience that benefits viewers and content publishers alike.

That is the power of information. That is the power of Ooyala.

Appendix: Data Tables

17GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

Branded Video Conversion Rate

26.03% 100.00%29.00% 111.42%29.53% 113.45%32.46% 124.71%42.40% 162.88%26.92% 103.43%

Branded Video Content

- Q4 2012

10/01 - 10/1610/17 - 10/3111/01 - 11/1511/16 - 11/3012/1/ - 12/1612/17 - 12/31

Average Conversion Rate (Plays/

Displays)

Growth of Conversion

Rate

Branded Video Content

- Q4 2012

Oct 1, 2012Nov 22, 2012Dec 16, 2012Dec 17, 2012Dec 24, 2012

Conversion Rate

Gain With Respect to Oct 1, 2012

28.71% 0.00%31.40% 9.35%54.84% 90.98%33.97% 18.31%19.87% -30.80%

28.71%26.44%25.01%28.04%29.04%23.43%26.32%24.44%24.63%23.83%25.82%27.97%24.75%26.71%25.20%26.13%24.21%27.80%29.07%24.01%

Branded Video

Conversion Rate, Q4 2012

Plays/Displays

Oct 1, 2012Oct 2, 2012Oct 3, 2012Oct 4, 2012Oct 5, 2012Oct 6, 2012Oct 7, 2012Oct 8, 2012Oct 9, 2012Oct 10, 2012Oct 11, 2012Oct 12, 2012Oct 13, 2012Oct 14, 2012Oct 15, 2012Oct 16, 2012Oct 17, 2012Oct 18, 2012Oct 19, 2012Oct 20, 2012

Nov 7, 2012Nov 8, 2012Nov 9, 2012

25.25%26.79%27.77%28.73%31.24%34.01%28.56%30.66%32.95%29.10%34.91%27.55%31.35%23.60%24.25%30.59%30.50%

Oct 21, 2012Oct 22, 2012Oct 23, 2012Oct 24, 2012Oct 25, 2012Oct 26, 2012Oct 27, 2012Oct 28, 2012Oct 29, 2012Oct 30, 2012Oct 31, 2012Nov 1, 2012Nov 2, 2012Nov 3, 2012Nov 4, 2012Nov 5, 2012Nov 6, 2012

30.78%29.55%34.67%

Nov 10, 2012Nov 11, 2012Nov 12, 2012Nov 13, 2012Nov 14, 2012Nov 15, 2012Nov 16, 2012Nov 17, 2012Nov 18, 2012Nov 19, 2012Nov 20, 2012Nov 21, 2012Nov 22, 2012Nov 23, 2012Nov 24, 2012Nov 25, 2012Nov 26, 2012Nov 27, 2012Nov 28, 2012Nov 29, 2012

33.79%32.17%29.66%29.40%27.63%27.47%33.11%33.46%32.55%29.25%29.34%29.17%31.40%29.72%31.39%32.06%38.12%35.83%33.34%31.91%

Nov 30, 2012Dec 1, 2012Dec 2, 2012Dec 3, 2012Dec 4, 2012Dec 5, 2012Dec 6, 2012Dec 7, 2012Dec 8, 2012Dec 9, 2012Dec 10, 2012Dec 11, 2012

52.03%44.11%48.76%49.01%54.84%33.97%33.86%34.92%

36.26%43.82%30.33%36.81%32.51%37.50%42.97%38.59%40.98%49.10%38.24%38.76%

Dec 12, 2012Dec 13, 2012Dec 14, 2012Dec 15, 2012Dec 16, 2012Dec 17, 2012Dec 18, 2012Dec 19, 2012

20.41%22.03%22.62%29.90%19.87%26.60%24.23%24.93%27.28%27.74%31.45%24.04%

Dec 20, 2012Dec 21, 2012Dec 22, 2012Dec 23, 2012Dec 24, 2012Dec 25, 2012Dec 26, 2012Dec 27, 2012Dec 28, 2012Dec 29, 2012Dec 30, 2012Dec 31, 2012

Appendix: Data Tables

18GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

Connected TVs & Gaming Consoles: Percentage of Time Watched by Video Length

Sep 3, 2012

0.37%2.35%2.22%2.36%

92.70%

Sep 10, 2012 Sep 17, 2012 Sep 24, 2012 Oct 1, 2012

0.35% 0.33% 0.29% 0.23%2.46% 2.30% 1.87% 2.21%2.12% 2.03% 1.85% 2.68%2.81% 2.70% 2.66% 5.12%

92.25% 92.65% 93.33% 89.76%

Oct 8, 2012 Oct 15, 2012 Oct 22, 2012 Oct 29, 2012

0.34% 0.41%2.63% 2.26%2.81% 2.92%5.87% 6.58%

88.34% 87.84%

Nov 5, 2012

0.83%5.03%4.87%4.63%

84.63%

Nov 12, 2012 Nov 19, 2012

1.02% 1.45%7.28% 12.97%6.07% 4.56%4.60% 7.07%

81.03% 73.96%

Nov 26, 2012 Dec 3, 2012 Dec 10, 2012 Dec 17, 2012

1.71% 1.21% 1.54% 2.26%11.56% 6.67% 9.42%4.73% 3.32% 4.18%7.87% 4.05% 4.85%

74.12% 84.75% 80.01%

Dec 24, 2012

3.60%13.30% 19.54%5.26% 5.01%5.95% 6.59%

73.23% 65.26%

Dec 31, 2012

2.29%12.06%3.80%5.67%

76.17%

% Of All Hours Watched, CTV&GC Q3, Q4 2012

Jul 2, 2012 Jul 9, 2012 Jul 16, 2012 Jul 23, 2012 Jul 30, 2012

less than 11 to 33 to 66 to 10greater than 10

0.27% 0.22% 0.23% 0.34% 0.29%2.31% 1.91% 1.87% 2.31% 1.72%2.35% 1.93% 1.58% 1.46% 1.28%2.57% 2.64% 2.11% 2.25% 1.61%

92.49% 93.30% 94.22% 93.65% 95.10%

Aug 6, 2012

0.28%1.86%1.55%2.26%

94.05%

Aug 13, 2012 Aug 20, 2012 Aug 27, 2012

0.24% 0.21% 0.32%1.44% 2.31% 2.40%1.46% 1.93% 2.33%2.58% 2.32% 3.14%

94.28% 93.22% 91.80%

less than 11 to 33 to 66 to 10greater than 10

0.59%3.40%3.87%3.97%

88.18%

0.32%2.49%2.79%5.10%

89.30%

less than 11 to 33 to 66 to 10greater than 10

% Of All Hours Watched, CTV&GC Q3, Q4 2012

% Of All Hours Watched, CTV&GC Q3, Q4 2012

Appendix: Data Tables

19GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

Connected TVs & Gaming Consoles: Percent of Time Watched by Video Length, December 2012

CTV&GC % Of Time Watched by Length (Minutes)less than 11 to 33 to 66 to 10greater than 10

Dec 17, 2012 Dec 18, 2012 Dec 19, 2012 Dec 20, 2012 Dec 21, 2012 Dec 22, 2012 Dec 23, 2012 Dec 24, 2012

2.64% 1.44% 2.46% 4.36% 2.51% 1.59% 1.46% 4.91%14.36% 10.56% 14.85% 18.67% 15.24% 11.22% 10.53% 10.44%8.80% 4.90% 7.72% 4.84% 4.03% 3.23% 3.55% 3.93%5.98% 5.05% 6.78% 5.19% 6.80% 7.07% 5.40% 6.48%

68.22% 78.05% 68.19% 66.94% 71.42% 76.89% 79.05% 74.24%

Dec 25, 2012 Dec 26, 2012 Dec 27, 2012 Dec 28, 2012 Dec 29, 2012 Dec 30, 2012 Dec 31, 2012

3.42% 4.00%24.27% 23.44%5.60% 4.73%7.85% 6.50%

58.87% 61.33%

4.24% 3.30% 3.19% 3.05% 2.87%22.20% 22.64% 18.55% 16.60% 17.47%5.34% 5.95% 5.09% 4.76% 5.36%6.65% 8.03% 6.28% 4.64% 6.82%

61.57% 60.09% 66.89% 70.94% 67.48%

Average share of Short form content

July 1st- October 31st

Average share of Short form content Dec 25 - 27

7.97% 39.41%

Appendix: Data Tables

20GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

Tablet Video: Share of Total Hours Watched, Christmas 2012

Tablet Share of Total Hours

Watched

Tablet Video Share, Q4 Average

Dec 17, 2012Dec 18, 2012Dec 19, 2012Dec 20, 2012Dec 21, 2012Dec 22, 2012Dec 23, 2012Dec 24, 2012Dec 25, 2012Dec 26, 2012Dec 27, 2012Dec 28, 2012Dec 29, 2012Dec 30, 2012Dec 31, 2012

2.64% 3.07%2.82% 3.07%2.49% 3.07%2.27% 3.07%2.29% 3.07%3.59% 3.07%4.24% 3.07%3.82% 3.07%5.33% 3.07%3.89% 3.07%3.34% 3.07%3.41% 3.07%4.97% 3.07%4.82% 3.07%3.64% 3.07%

Desktop TabletNet Change in Share% change

-3.46% 2.25%

-3.65% 73.23%

Appendix: Data Tables

21GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

Live and VOD Time per Play by Device

VOD Time Per Play

Time Per Play (Seconds)

Time Per Play (Minutes)

DesktopMobileTabletCTV & GC

136 2.26134 2.23147 2.45286 4.76

DesktopTabletMobileCTV&GC

Live Time per Play/ VOD

Time per Play18.235.363.639.62

Live Vi deo Time

Per Play (Minutes)

Desktop Mobile Tablet CTV&GC

Q4 Minutes Per Play 41.22 8.12 13.1 45.8

Appendix: Data Tables

22GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

Mobile and Tablet Video Share of All Hours Watched Online, 2012

Mobile 110.09%Tablet 86.62%

Devic rowth of Median Share

of Time Watched from

January to December

2012

e g Median Share by Device (Top 150

Providers)

Tablet Mobile Tablet + Mobile

JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecember

1.99% 2.16% 4.15%2.49% 2.70% 5.19%2.26% 3.02% 5.28%2.72% 3.61% 6.33%2.85% 3.63% 6.48%3.35% 3.91% 7.27%3.88% 4.22% 8.10%3.39% 4.32% 7.72%3.70% 4.27% 7.96%3.50% 4.00% 7.50%3.14% 4.29% 7.43%3.71% 4.54% 8.25%

Appendix: Data Tables

23GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

Mobile Video: Android vs. iOS Share of Time Played Online, 2012

Mobile Video Android vs.

iOS

Median Android Share of

Mobile Video Time Played

Median iOS Share of

Mobile Video Time Played

Jan 2, 2012Jan 9, 2012Jan 16, 2012Jan 23, 2012Jan 30, 2012Feb 6, 2012Feb 13, 2012Feb 20, 2012Feb 27, 2012Mar 5, 2012Mar 12, 2012Mar 19, 2012Mar 26, 2012Apr 2, 2012Apr 9, 2012Apr 16, 2012Apr 23, 2012

32.88%32.87%33.17%29.29%31.71%34.93%31.36%33.95%33.97%35.62%32.49%32.83%31.53%30.78%35.93%35.77%33.23%

67.12%67.13%66.83%70.71%68.29%65.07%68.64%66.05%66.03%64.38%67.51%67.17%68.47%69.22%64.07%64.23%66.77%

Apr 30, 2012May 7, 2012May 14, 2012May 21, 2012May 28, 2012Jun 4, 2012Jun 11, 2012Jun 18, 2012Jun 25, 2012Jul 2, 2012Jul 9, 2012Jul 16, 2012Jul 23, 2012Jul 30, 2012Aug 6, 2012Aug 13, 2012Aug 20, 2012

36.56%34.91%34.60%31.98%36.13%31.92%33.89%32.54%33.08%31.76%34.15%31.42%34.00%34.24%36.58%33.98%34.80%

63.44%65.09%65.40%68.02%63.87%68.08%66.11%67.46%66.92%68.24%65.85%68.58%66.00%65.76%63.42%66.02%65.20%

Aug 27, 2012Sep 3, 2012Sep 10, 2012Sep 17, 2012Sep 24, 2012Oct 1, 2012Oct 8, 2012Oct 15, 2012Oct 22, 2012Oct 29, 2012Nov 5, 2012Nov 12, 2012Nov 19, 2012Nov 26, 2012Dec 3, 2012Dec 10, 2012Dec 17, 2012Dec 24, 2012Dec 31, 2012

31.68%31.06%31.73%33.97%33.45%37.07%35.60%35.29%34.32%32.71%34.22%29.39%30.61%31.41%29.40%33.96%34.97%35.70%33.87%

68.32%68.94%68.27%66.03%66.55%62.93%64.40%64.71%65.68%67.29%65.78%70.61%69.39%68.59%70.60%66.04%65.03%64.30%66.13%

Appendix: Data Tables

24GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

Time Watched By Video Length & Device, Q4 2012

% Of All Hours Watched by

Length (Minutes) Q4 2012

Desktop Mobile Tablet CTV&GC

less than 11 to 33 to 66 to 10greater than 10less than 10 minutes10 to 3030 to 60greater than 60

3.52% 4.03% 3.33% 1.25%16.48% 24.90% 15.53% 7.61%15.81% 17.86% 11.20% 3.91%7.24% 9.58% 6.96% 5.57%

56.95% 43.64% 62.98% 81.66%43.05% 56.36% 37.02% 18.34%

11.88% 14.70% 9.89% 16.87%20.76% 15.59% 21.45% 27.66%24.31% 13.34% 31.65% 37.12%

53.9%

Percent of Long Form Video Views by Device

Desktop Mobile Tablet CTV&GC

Q1 2012Q2 2012Q3 2012Q4 2012

41.1% 46% 88.5%62% 48% 67% 93%

59.9% 47.6% 71.2% 93.8%57.0% 43.6% 63.0% 81.7%

Appendix: Data Tables

25GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

Viewer Engagement by Device

Engagement by Device, Q4

2012

25% 50% 75% 100%

DesktopMobileTabletCTV & GC

58.85% 52.17% 47.45% 41.10%59.62% 51.55% 45.76% 32.88%71.05% 62.01% 53.19% 38.06%63.27% 57.29% 52.78% 44.61%

Playthrough by Device, Length -

Q4, 2012DesktopMobileTabletCTV & GC

< 1 min1 - 3 min3 - 6 min6 - 10 min> 10 min

63.98% 52.08% 31.66% 43.37% 26.80%51.08% 43.86% 32.78% 31.19% 22.34%71.62% 59.46% 46.98% 46.76% 39.24%76.93% 73.10% 62.36% 62.32% 35.30%

Appendix: Methodology

26GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

methodology

DATA SOURCES & SAMPLE SIZE

The data sample used in this report covers 2012, from January 1 through December 31. All data was taken from an anonymous cross-section of Ooyala’s global customer and partner database—an array of broadcasters, studios, cable operators, print publications, online media companies and consumer brands.

These firms broadcast video to over 130 different countries from more than 6,000 unique domains. Nearly 200 million unique viewers watch an Ooyala-powered video every month.

This data sample is not intended to represent the entire Internet, or all online video viewers.

DATA COLLECTION

Ooyala’s video analytics technology collects all anonymized video data in real time.

During playback, Ooyala’s video player gathers information continuously and relays it to an analytics module, which then stores the data in a distributed file system, Hadoop.

Viewer statistics are then compiled and stored in a Cassandra data cluster, where the information is made readily available for analysis.

ANALYSIS & METRICS

Ooyala’s video analytics module tracks a range of standard variables, such as:

Displays, plays and time watched

Viewer engagement and video completion rates

Sharing by social network

Geography (region, state, city, Designated Marketing Areas)

Device type (mobile, desktop, tablet, connected TV devices and game consoles)

Operating system (Windows, Android, iOS)

Browser (Safari, Chrome, Firefox, Internet Explorer)

Appendix: Glossary/Disclaimers & Assumptions

27GLOBAL VIDEO INDEX: 2012 YEAR IN REVIEW

gloSSary

CONVERSION RATE: The ratio of plays to displays. 10 displays with 1 play is a conversion rate of 10%.

COMPLETION RATE: The rate at which viewers watch a specified portion of a given video. Sometimes used interchangeably with “play-through rate.”

DISPLAY: Each (and any) time a video is loaded in a browser and displayed to the viewer

MOBILE DEVICES: All smart phones, including iOS, Android, Blackberry, and others.

VIDEO PLAY: Each time a video starts playing.

CONNECTED TV DEVICES & GAMING CONSOLES: Set-top boxes and OTT devices, including Wii, Playstation, Boxee, Roku, Xbox and Google TV.

TABLETS: All media tablets, including iOS and Android.

diSclaimerS & aSSumptionS

Data is not aggregated across all videos or providers for vertical data, and only publishers with a meaningful amount of videos watched are included. Publishers with incomplete data for 2012 have been excluded.

When selecting items for inclusion in the report, Ooyala’s data science team selected metrics that were clear and meaningful. Granular measures were broken down along many categories, which resulted in a large amount of data. Rather than reporting all of this data, the Ooyala team chose to highlight those measures that give a good impression for the data set as a whole.