Online advertising video continues to grow in Asia heralding great opportunities for marketers willing to adjust to this breed of customer. Max Digital Media Newswire reported the Cable & Satellite Broadcasting Association of Asia (CASBAA) has released a documentary video examination of online video showing that online advertising video for China, Japan, and Korea is forecasted to grow from US$10.3 billion this year to US$15.1 billion in 2012. The CASBAA also released an additional in-depth Data Pack related to the video, available exclusively to its members. The pack contains information which highlights the impact of streaming video services across Asian markets.
Japan, China and Korea are expected to drive the next wave of online advertising video development in Asia with China drawing further attention as it emerges as the largest wired broadband market in the world with 190 million connections in 2012. CASBAA’s study revealed home access accounts for 74.1% of all connections in China while Internet cafes are the source for almost 40% of the youth market.
More audiences are migrating to the Web, according to the study. About 33% of Koreans are watching movies online in some form while Todou, a popular video sharing site in China claims that advertising revenue reached US$1.65 million in the first half of 2008. Japan and Korea also have video sharing sites which have large audiences.
The study projects China’s online population to surpass Korea’s more developed digital advertising market, but the sophistication and maturity of the Japanese market will support its continuous growth.
Video piracy continues to be an issue, however, as it continues to be rampant in China and Korea. Some 47% of viewers surveyed in Korea admitted to illegally downloading feature movies without paying, or paid less than 50 cents per title last year. Japan, on the other hand remains a relatively strong copyright protected regime and traditional sources of paid content in that country are still popular, according to CASBAA’s CEO Simon Twiston Davies.
Other obstacles include current uncertainties over rights, regulation and business models of online video services. Despite this, Twiston Davies remains optimistic about the prospects. New strategies are needed to fully exploit this fast growing market and those who are successful in doing so will have hit the mother lode.
