Online Video: The New Frontier of Direct Response Marketing
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1 Online Video: The New Frontier of Direct Response Marketing A Three-Part Webinar Series Part 1: Maximize Your E-Commerce Website with Online Video (today) Yaniv Axen & Mitch Praver, SundaySky Part 2: Online Video Advertising: Online Marketing s Number-One Growth Area (Nov 18) Caleb Hill & Bryon Hjelm, Unicast Part 3: Online Video: Today and Tomorrow (Dec 9) John Akre & Lane Shackleton, YouTube Register online at retailing.org/webinars
2 Call for Speakers and Sessions Seeking speaker and session proposals for The Great Ideas Summit 2011 Deadline: October 29, 2010 For more information visit: ERAGreatIdeas.org
3 ERA Upcoming Events ERA Networking Reception: New York Nov 3, New York, NY ERA Networking Reception: Tampa Jan 25, 2011 Tampa, FL The Great Ideas Summit 2011 Feb 28 - Mar 2, 2011, Hilton New Orleans Riverside ERA Government Affairs Fly-In May 17-18, 2011, Washington, DC
4 Maximize Your E-Commerce Website with Online Video Q3 findings, strategies and best practices in SEO, mobile and social media Mitch Praver, President of SundaySky Yaniv Axen, CTO and Co-Founder of SundaySky
5 The Evolution of Video Commerce Video is considered luxury 2009 Checking the box on video 18% of top online retailers use video % of top online retailers use video Scale 2011 Dynamic video is the only way to scale Source: Forrester Research November 2009 and State of Video Commerce July 2010
6 Automatic Video Generation: Dynamic Content Evolution Dynamic online video solutions unleash online video generation the way dynamic server pages unleashed the explosion of Web pages WEB HTML Manual Editing HTML Editing Tools Dynamically Generated Pages (ASP / JSP) Open Interfaces WEB 2.0 VIDEO Video Editing Tools Dynamically Generated Video Self Generated Self Generated Video Video Generating dynamic video on the fly from data-driven content: texts, images, audio and video
7 Video Commerce Is Working A Quick Overview on Retail Video: (ComScore, July 2010) YOY growth in retail video viewers (40%) significantly outpaced growth in total video viewers (18%) Retail site visitors who also view video are 64% more likely to purchase Retail site visitors who also view video spend 2 minutes longer onsite per visit
8 Video Commerce Works Increases conversion rates and sales Increases time spent and repeat site visitation Decreases rate of product return Creates emotional attachment and brand loyalty Improves search engine ranking Top 10 Online Retailers by # of Videos Video Rank Retailer Amazon Overstock HSN QVC Target Buy.com Est. # of Videos 224, ,499 29,620 21,159 9,572 9,471 IR 2010 Rank , , , ,000 50,000 Estimated Number of Videos 7 HP 5, Walmart 3, Newegg 3, Systemax 3,397 37
9 The Challenge with Video But Traditional Video Is: Costly Resource intensive Quickly outdated Not interactive Not personalized Difficult to scale Dynamic Video Generation Is: Limitlessly scalable Automatically always up to date Customized and personalized Fully interactive to drive click through to product sale Syndicated across all marketing channels & mobile platforms to drive qualified traffic to your site Optimized for strong video SEO
10 The Video SEO Impact Online video solutions helps propel companies to the top of organic search results, ahead of Amazon and other competitors.
11 SundaySky Research: Goals and Methodology SundaySky recently released its Q research report to provide greater insight into these trends. The report spotlighted: The number of videos (focus on top 50 online retailers as published by Internet Retailer s 2010 guide ) Impact on search engine optimization from those videos (focus on Google, Yahoo!, Bing) Strategies of syndication (focus on YouTube) Utilization of social networks (focus on Facebook) Current commerce strategies (focus on mobile) Results of these strategies (focus on views and user traction)
12 Key Findings of Q Report # 1. While more than 65% of retailers use videos: 25% of the top 200 only have 10+ videos indexed. 24% of retailers are not present on YouTube 42% have more than 1M video views 42% of the top retailer sites have no significant video presence
13 Key Findings of Q Report # 2. Mobile video for e-commerce is still in its infancy: Mobile versions of websites do not contain videos Regular versions often do not play well on mobile devices No significant HTML5 video deployments The vast majority of videos do not play on iphone OS
14 Key Findings of Q Report # 3. Retailers are scratching the surface with videos on social networks early results include: Half of the retailers uploaded 10 videos or more to their Facebook page Videos often get hundreds or thousands of fans likes and comments 12% have more than 1M fans (Victoria s Secret, Kohl s, Nike, Target, Wal-Mart, Best Buy) 52% have more than 100K fans When a top brand posts a video to its wall, there are hundreds or even thousands of comments and likes This translates to tens of thousands of impressions from fans friends, in addition to the fans themselves
15 Key Findings of Q Report Top 10 e-retailers ranked by the number of videos posted to their Facebook wall in July-August, and the total number of videos uploaded to Facebook. TOP 10 ONLINE RETAILERS BY NUMBER OF VIDEOS POSTED TO THEIR WALL (JULY-AUGUST 2010) TOP 10 ONLINE RETAILERS BY NUMBER TOP OF VIDEOS UPLOADED TO THEIR FACEBOOK PAGE Video Rank Retailer # of Videos IR 2010 Rank Video Rank Retailer # of Videos IR 2010 Rank 1 QVC QVC HSN HSN Victoria's Secret Victoria's Secret Overstock Overstock Target Target Barnes and Noble Barnes and Noble Sony Sony Buy.com Buy.com J.C Penney J.C Penney Office Depot / Kohl s 38 / Office Depot / Kohl s 38 / 43 49
16 Key Findings of Q Report # 4. Video syndication is practiced and the benefits are clear: YouTube has been the number two search engine since 2008 and is the fourth overall web property Uploading videos to YouTube enables online retailers to promote their brand as well as to increase traffic and sales 24% of retailers have no notable YouTube presence, whereas 38% have more than 100 videos on their channels. 42% have more than 1M views and 22% with fewer than 10K views.
17 The Video SEO Impact Top 10 Online Retailers by Number of Indexed Videos Ra nk Retailer Amazon Overstoc k HSN Indexed Videos 224,000 56,069 29,620 IR 2010 Rank Nike 1, Apple Systemax Redcats USA Symante c HP QVC 82 11
18 Automatic Video Generation: Measurable Results Conversion Lift Click-to-play SundaySky 10% - 50% 3% -6.5% SundaySky Customer Expectations 5% - 10% Customer Expectations 2% - 3% SundaySky Completion Rate 50% - 80% SundaySky Click Thru Rate 7% - 15% Customer Expectations 30% - 50% Customer Expectations 5%
19 Conclusion While video is gaining traction, there is a relatively small portion of top retailers who actually use video and exploit its potential to the maximum extent. This initial, limited adoption by retailers demonstrates the early stage of the market. It is now possible to harness the power of video over large portions of retailer catalogs, and get those videos indexed by search engines. This marketing channel is currently pioneered by a handful of retailers using: Mobile videos Videos on social networks Video syndication Dynamic video generation allows companies to enact successful video strategies and set the stage for full industry adoption.
20 Q&A For more information on this report: Mitch Praver: Yaniv Axen:
21 Online Video: The New Frontier of Direct Response Marketing A Three-Part Webinar Series Part 1: Maximize Your E-Commerce Website with Online Video (today) Yaniv Axen & Mitch Praver, SundaySky Part 2: Online Video Advertising: Online Marketing s Number-One Growth Area (Nov 18) Caleb Hill & Bryon Hjelm, Unicast Part 3: Online Video: Today and Tomorrow (Dec 9) John Akre & Lane Shackleton, YouTube Register online at retailing.org/webinars
22 Call for Speakers and Sessions Seeking speaker and session proposals for The Great Ideas Summit 2011 Deadline: October 29, 2010 For more information visit: ERAGreatIdeas.org
23 ERA Upcoming Events ERA Networking Reception: New York Nov 3, New York, NY ERA Networking Reception: Tampa Jan 25, 2011 Tampa, FL The Great Ideas Summit 2011 Feb 28 - Mar 2, 2011, Hilton New Orleans Riverside ERA Government Affairs Fly-In May 17-18, 2011, Washington, DC
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