New JW Player “Trends in Online Video Report” Highlights Slow Mobile Video Ad Growth and Ad Blocking Proliferation

Press Release 3 min read | Oct 8, 2015 | newbreed

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Data From Over One Billion Global Video Viewers Found Only 10 Percent of Video Ads to be Mobile Compatible, Lagging Behind Increasing Mobile Video Consumption

NEW YORK – Oct. 8, 2015 – JW Player, a leading digital and mobile video platform and player company, today released its “Trends in Online Video Report.” The report, based on data through the first half of 2015, focuses on the online viewing habits of the one billion unique viewers in the global JW Player video ecosystem, highlighting trends in mobile video, changes in video advertising standards and the rapid evolution of video technology to support increased video consumption. JW’s report is the only of its type, at this scale, to compile original data from within its ecosystem.

“At JW Player, we don’t just provide a platform for our customers to share and distribute content. We are a data driven organization that empowers content creators to strategically monetize what they produce,” says Dave Otten, CEO of JW Player. “Releasing our Trends report is just one way we hope to educate the industry on video consumption, delivery and monetization so that online video can successfully advance forward.”

Globally, audiences continue to consume video content on mobile devices, specifically smartphones, with only six percent of viewers utilizing a tablet. While viewers are clearly embracing mobile as a format for video content, leading advertisers are not properly leveraging the medium. Only 10 percent of ads are delivered in a mobile-compatible format, illustrating that advertisers are missing out on a large, highly engaged target audience. In light of today’s report and the previous “The State of HTML5 Video” report, JW Player continues to support and encourage greater adoption of the mobile-friendly HTML5 to reach viewers across the mediums they prefer. JW Player is committed to releasing new products and updates that make HTML5 integration easier for customers, for example their recently launched support of VPAID2 for interactive advertising in HTML5.

In addition to adapting to new mobile formats, advertisers face another challenge with increasing use of ad blocking technology around the world. This was specifically prevalent within Europe, with over one in four online video viewers utilizing ad blocking in Germany. Globally, the ad blocking rate sits between 10 and 30 percent of users. JW Player believes the rise of ad blockers is due to the fact that today’s users are increasingly disturbed by intrusive banner advertising and demand a greater level of control over their video experiences.

To view the full report, please visit www.jwplayer.com/trends/. Additional key findings include:

  • Only 10 percent of ads are currently delivered in mobile-compatible HTML5 formats, despite over 30 percent of viewers utilizing a mobile device to consume video
  • 75 percent of ad impressions are delivered using the IAB VAST standard, only 25 percent are delivered through Google IMA
  • 60 percent of ad impressions use VPAID
  • Google’s DART is the most popular advertising server, overtaking Facebook’s LiveRail
  • H.264 video and AAC audio are the clear industry standards
  • Akamai, Cloudfront, Edgecast and Fastly lead the market as Content Delivery Networks (CDNs), but only account for 20 percent of all video plays

“It is vital for content creators to stay up to date on the current industry trends and technology usage in order to best advance their online video strategy,” says Jeroen Wijering, Founder of JW Player. “While the market has solidified in many ways, the most strategic video standards have still not been adopted widely in the industry, especially by advertisers. We hope our ‘Trends in Online Video Report’ helps to support the need for greater HTML5 adoption in order to reach viewers on mobile devices and modern browsers and get the industry thinking about the best supporting technology for online video.”