The Digiday Video Summit took place the same week the standards of data privacy totally changed, and as a result it was a meeting of video publishing executives wondering what their next strategies would be and sponsors from the world of “monetization,” “advertising,” and “mobile targeting” who knew even less about the future trying to help them. It was truly a conference of the blind leading the blind, because there were precious few of the people who pay the bills — brands and agencies–in attendance. Those people are focused on the larger question of how they can use their customer data.
As a result, we heard several publishers say they are not going to launch in Europe until after GDPR shakes itself out. Others without a big business on the continent have decided to withdraw completely. In Europe, the Digiday Video Summit will be even more fraught, because it takes place there on June 5.
Whenever there’s change, there’s opportunity. We think the future lies in several different directions, some of which are being discussed at the Summit, others not so much:
There’s still a market for original video content, if it is good. Netflix and Hulu are testimony to that. And although they subsist on subscriptions rather than on advertising, Hulu at least is going to try allowing subscribers who don’t pay the ad-free premium to download their programs along with ads.
It’s interesting that no one has yet tried what Leo laPorte and Twit.tv have been doing for a decade now, which is live TV content downloadable as podcasts, supported by advertising. Leo long ago decided that he was going to trade quality programming for scale, and like many podcasts he mostly does his own ad reads. Most podcasts are content to be audio only, and they go for a different audience than the video podcasts. We predict more niche video programming, which will find its own audience without much targeting, because the audience is already interested in the content. It seems so simple to run brand ads against specific video content, but we think the agencies and brands haven’t washed their hands of data dependence yet. It will happen. It will have to.
Branded content is a tricky one. If it’s really good, like Red Bull, it can foster deep engagement. But it’s important to have the right brand and a totally immersive experience. Many agencies have focused too much on data and metrics the past decade, at the expense of great creative.
Content Based on Videogames
Some of the speakers at the summit did talk about how video content could be generated from videogames and attract viewers who have been playing those games.
This is a new one, and so big that it already has its own acronym. It stands for Limited Commercial Interruptions, and it means fewer ads but higher ad prices. TruTV has been doing this since its rebrand in 2016, with great success. Its viewers spend more “tune time” and their revenues have gone up. Their audience is Millennials with incomes averaging $70,000 — a very desirable demographic.
Like every digital media conference we’ve ever attended, this one made ample use of the words “wild ride,” “rollercoaster,” and a one I had never heard before, “calamitous.” Nevertheless, the conference was pricey and the room was full. Things can’t be that bad.