Will Online Video Replace TV? New Canadian Research Shows Online Video Is A Promising Channel for Marketers and Content Producers

First-of-Its-Kind Research to Debut at MergeMedia Online Branded Entertainment Conference

Thursday, October 14, 2010

Toronto, ON – The first-ever study on Canadians’ viewing habits of online video conducted by Ipsos Reid and M Consulting finds 80 per cent of all Canadians indicate watching some video content online, with 41 per cent watching more online video content than they did last year. A growing audience means a bigger business opportunity for brand marketers and the Canadian film community to produce original online video content.

“A loyalty of sorts is being developed for online video,” says Bill Mohri, president of M Consulting who commissioned the study, which will be unveiled in full at the MergeMedia: Online Branded entertainment conference on October 22. “There is the potential that a critical mass of Canadians could be watching more online video than TV much sooner than experts predicted.”

While males between the ages of 18 to 24 comprise the biggest, most frequent audience, 41 per cent of all Canadians say they watch online video at least a few times per week. And the study found that people who view online video at least once per day are more receptive to branded entertainment, with 18 per cent indicating positive purchase intent for brands that have developed entertaining content online.

“It’s clear that brands have an impact with more frequent viewers of online video. It’s a more engaging, interactive medium,” says Bill Mohri. “Brand marketers and content producers need to pay attention to this growth area because it’s much less expensive than TV advertising and has real potential to reach consumers more effectively than TV.”

More research highlights include the following:

  • Almost 100 per cent of Canadians between the ages of 18 to 24 watch some video content online, with 76 per cent watching at least a few times per week.
  • Even though the incidence of viewership declines with age, fully 68 per cent of Canadians over the age of 55 indicate watching some video content online.
  • 49 per cent of respondents cited poor production quality as a main downside to watching videos online compared to TV.
  • Comedy is the most popular online video genre, with 65 per cent of respondents say they watch it most often.

The MergeMedia conference will showcase full results of this benchmark study and explore implications through an interactive presentation by Ray Kong, senior vice president at Ipsos Reid, which includes a group of actual respondents who participated in the study that will be on-hand to answer audience questions about individual online video viewing habits.

The full-day conference will also bring together leading marketers and content producers to provide insights on online branded entertainment. The roster is long and includes Canadian producer Fred Fuchs, actress Illeana Douglas who created and stars in IKEA’s hit series Easy to Assemble, Alison Leung, marketing director, hair care and deodorants at Unilever Canada and Joe LaMuraglia, social media manager at General Motors.

For more details about the MergeMedia conference on October 22 at the MaRS Discovery Centre in Toronto or to register online please visit www.mergemediaconference.com.

About the Ipsos-Reid/M Consulting Study
The Online Video Consumption Habits of Canadians study was on a online survey of 2,350 Canadian adults taken between September 8, 2010 and 16, 2010. Results are accurate to +/- 2% 19 times out of 20. In many industries, and particularly in new and developing ones, understanding the behaviour and attitudes of the early adopter group is the most instructive to creating strategy and approaches for the future. It is for this reason that we look to the heavy viewers and younger viewers in this study.

For more information on this news release, please contact:
Ray Kong
Senior Vice President
Ipsos Loyalty
(416) 324-2106

About Ipsos Reid

Ipsos Reid is Canada's market intelligence leader, the country's leading provider of public opinion research, and research partner for loyalty and forecasting and modelling insights. With operations in eight cities, Ipsos Reid employs more than 600 research professionals and support staff in Canada. The company has the biggest network of telephone call centres in the country, as well as the largest pre-recruited household and online panels. Ipsos Reid's marketing research and public affairs practices offer the premier suite of research vehicles in Canada, all of which provide clients with actionable and relevant information. Staffed with seasoned research consultants with extensive industry-specific backgrounds, Ipsos Reid offers syndicated information or custom solutions across key sectors of the Canadian economy, including consumer packaged goods, financial services, automotive, retail, and technology & telecommunications. Ipsos Reid is an Ipsos company, a leading global survey-based market research group.

To learn more, please visit www.ipsos.ca.

About Ipsos

Ipsos is a leading global survey-based market research company, owned and managed by research professionals. Ipsos helps interpret, simulate, and anticipate the needs and responses of consumers, customers, and citizens around the world.

Member companies assess market potential and interpret market trends. They develop and build brands. They help clients build long-term relationships with their customers. They test advertising and study audience responses to various media. They measure public opinion around the globe. Ipsos member companies offer expertise in advertising, customer loyalty, marketing, media, and public affairs research, as well as forecasting, modeling, and consulting. Ipsos has a full line of custom, syndicated, omnibus, panel, and online research products and services, guided by industry experts and bolstered by advanced analytics and methodologies. The company was founded in 1975 and has been publicly traded since 1999. In 2009, Ipsos generated global revenues of €943.7 million ($1.33 billion U.S.). .

Visit www.ipsos-na.com to learn more about Ipsos offerings and capabilities.

Ipsos, listed on the Eurolist of Euronext – Comp B, is part of SBF 120 and the Mid-100 Index, adheres to the Next Prime segment and is eligible to the Deferred Settlement System. Isin FR0000073298, Reuters ISOS.PA, Bloomberg IPS:FP

Will Online Video Replace TV? New Canadian Research Shows Online Video Is A Promising Channel for Marketers and Content Producers

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Elen Alexov
Director, Marketing Services,
North America