Tuesday, March 4, 2008

Web Video: Is There Money to Be Made?

Report form the Feb 2008 iBreakfast

Marcien Jenckes, Voxant
John Lumpkin, Heavy Media
Bryan Thatcher, Empressr

TV may be going the way of Web Video but according to Marcien Jenckes, a former AOL exec, “TV dollars are only giving us Web Video pennies.”

So how do you make a pile of pennies, these days?

It turns out that YouTube and IPTV in general has attracted thousands of competing sites but in order to stay alive, they have had to reinvent themselves.

Heavy.com which was originally just a destination site for young men has become a kind of media aggregator and sales that sells and syndicates young male-oriented content to its major ad partners.

Voxant redistributes high value video streams for free to new viewers who mind wind up as subscribers to the premium sites.

Empressr is a hybrid video and slideshow site that enables viewers to communicate in new ways.

For the most part, however, whatever money is being made is through advertising and there, pre-roll, those annoying ads that run prior to the video, are king.

At the end of the day, the challenge video is arbitraging the half-penny or so a stream into a profitable cpm. For many, the solution, at least in part, may come form Google's recent introduction of Adsense for Video.

Long Live the Pre-Roll (for Now)
ClickZ News, NY - Feb 27, 2008
Heavy Media's John Lumpkin and Voxant CEO Marcien Jenckes both made that assessment today at an iBreakfast program, "Web Video, Where's the Money? ...

For VideoEgg and Its Platform, Ads Trump Content Delivery
ClickZ News, NY - Feb 28, 2008
The company's shift was pointed out by Alan Brody, organizer of an iBreakfast panel discussion in New York City about the Web video business. ...
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