UGC video advertising Revenue Soars 130.2%

9 July 2013 21 h 27 min Comments Off

ugc

(iResearch, Jul 08,2013)In China online video industry, there are several leading online video companies with an abundance of user generated contents (UGC), such as Youku Tudou Inc., Ku6.com and 56.com. UGC and long video content (movies, drama, variety, documentaries and animation) are two main types of video in online video industry. Number of UGC viewers increased dramatically. Although UGC video market was small, its advertising revenue reached 550 million Yuan in 2012, up 130.2% compared with 2011.

As an important content resource of online video industry, UGC video viewers increased dramatically.

UGC unique viewers of China online video websites hit 400.58 million people in April 2013, ahead of 384.04 million of long video content.

UGC unique visitors of China online video websites increased 60.8% in April 2013, compared with January 2011. Overall, UGC dominated online video websites for years and maintained a rapid growth at the same time.

1

Revenue of UGC video advertising in online video industry increased constantly.

UGC video advertising revenue of China online video industry reached 550 million Yuan in 2012, up 130.2% in contrast to the 240 million Yuan in 2011. Although UGC video advertising revenue only occupied 8.2% of online video advertising revenue, which achieved 6.72 billion Yuan in 2012, it has kept a rapid growth since 2011. It is expected that the revenue of UGC video advertising will attain 2.56 billion Yuan, with the market share of 11.1% in overall revenue of online video advertising in 2016.

2

Value of UGC video advertising in online video industry increased gradually.

The average cost per thousand (CPM) of UGC video advertising of China online video industry was 7.1 Yuan in 2012, up 14.9% in contrast to the 6.2 Yuan in 2011. By comparison with copyrighted video contents, the cost of UGC is relative lower. Advertising value and CPM will gradually rise along with the increasing investments in UGC from main online video companies. The future drivers of UGC video advertising revenue are not only the improvement of CPM, but also the quality of UGC, selling rate of advertising inventory and the growth of video advertisings quantity.

3

Related posts:

Comments are closed

Other News

  • China (mainland) film Brilliant future expected for Chinese cinema: interview

    Brilliant future expected for Chinese cinema: interview

    Jiang Wen (R), a well-known Chinese director, walks down the red carpet with his wife Zhou Yun at the opening ceremony of the 70th Venice Film Festival in Venice, Italy, Aug 29, 2013. [Photo / Xinhua] (Xinhua, 04 Sep, 2013)Chinese films have achieved over the past few years very positive results in terms of both quantity and quality, and will drive their technology-led development, 70th Venice Film Festival president Alberto Barbera told Xinhua in a recent exclusive interview. This venerable [...]

    Read more →
  • Breaking news China (mainland) film Cloudary extends script to movie industry

    Cloudary extends script to movie industry

    (chinadaily.com.cn, 26 Aug, 2013) Cloudary Corp – an online literature platform owned by interactive media giant Shanda Group – said on Friday that it reached a film script agreement with the Chinese movie firm Seven Stars Films. Seven Stars Films, a movie production and investment firm owned by Chinese media entrepreneu r Bruno Wu, will link Cloudary’s literature with the world’s movie industry. Wu, who is married to popular TV host Yang Lan, founded Seven Star Films in 2012. The [...]

    Read more →
  • Breaking news China (mainland) film China’s movie market booms with local content

    China’s movie market booms with local content

    ( Agencies, 23 Aug, 2013) In “American Dreams in China”, Cheng Dongqing is giving a lecture in an abandoned factory in Beijing . Snow falls through the damaged roof and a power cut sends students reaching for their flashlights. The movie , about how young Chinese in the 1990s tried every means to learn English so they could study overseas, is part of a boom in domestic productions that is outpacing foreign film s at the box office in China. [...]

    Read more →
  • Breaking news China (mainland) film Fast forward with film

    Fast forward with film

    (China Daily, 23 Aug, 2013) In the past year, Chinese films have galloped ahead like a dark horse, beating Hollywood imports. It is hardly surprising that most of these domestic hits are comedies. Comedy is mostly local. When Hollywood sent scouts to recover the secret formula, many of them reported that these Chinese movies were not particularly funny. Of course not. When you translate every line into English, you have lost much of the fun, leaving only a few sight [...]

    Read more →
  • Breaking news China (mainland) Digital Mobile game firms looking abroad

    Mobile game firms looking abroad

    (China Daily, 21 Aug, 2013) Intensifying domestic competition is driving Chinese mobile game developers into overseas markets, said Google Inc, owner of the world’s most used smartphone operating system. Japan and South Korea may become “sizeable” money-spinners for developers in China in the coming years, it added. “Tapping into South Korea and Japan makes sense for Chinese developers, because both countries have a large smartphone user base and high sales volume in the mobile gaming sector,” said Ben Zhang, China [...]

    Read more →
  • Breaking news China (mainland) tv PPTV denies buyout rumors

    PPTV denies buyout rumors

    (chinadaily.com.cn, 14 Aug, 2013) Online video provider PPTV has denied rumors it will be jointly acquired by e-commerce giant Alibaba Group Holding Ltd and Hunan Satellite TV. “We have noticed related media reports. PPTV is operating independently, well, and we have nothing to announce at present,” PPTV told China Daily on Wednesday. A report from IT industry portal 36kr.com said on Wednesday that the prospective deal is almost closed, with the transaction reaching $400 million. It cited venture capital sources [...]

    Read more →
  • Breaking news China (mainland) film Film industry needs long tail to grow

    Film industry needs long tail to grow

    (China Daily, 15 Aug, 2013) The domestic film market registered record half-yearly box office returns of 10.9 billion yuan ($1.77 billion) in the first six months of this year, up 35 percent year-on-year, and there have been excited voices saying that the Chinese film industry is about to boom in the international market. However, box office success is just part of the industry’s chain, and without the further development of licensed movie merchandising, the Chinese film industry is still in [...]

    Read more →
  • Breaking news China (mainland) Digital New WeChat game becoming painfully popular

    New WeChat game becoming painfully popular

    (chinadaily.com.cn, 15 Aug, 2013) A new mobile phone game on WeChat, a social network app in China, is proving so popular that it’s causing hand injuries for many Chinese users. The game, which was recently introduced to WeChat’s 400 million subscribers, allows users to compete online with their friends in aircraft battles. Within two hours after the release of the game on Aug 5, there were more than 180 million downloads. But Zou Cheng, an orthopedic doctor at Hangzhou First [...]

    Read more →