SAN FRANCISCO -- October 31, 2019 -- Mike Vorhaus’ Vorhaus Advisors and Tubular Labs, the world leader in digital video measurement and branded video intelligence, today released a “Missing Revenue in Video” report quantifying the unrealized revenue in social video. Video creators and publishers are missing out on at least $13 billion worth of attention value through global social video each year. This number is set to swell beyond $20 billion in the next three years. Download the report here: https://tubularlabs.com/research-guides/13b-missing-revenue-digital-video/
“Our key finding is that social video on Facebook, Instagram and YouTube is worth $21 billion, but only $8 billion is currently being realized,” said Mike Vorhaus. “When you break down the mechanics of the global social video business, the $13 billion-dollar gap is largely due to insufficient metrics for media and advertisers to transact on in social video.”
While technology and changing demographics have seen viewer audiences flock to social video, advertising dollars haven’t been fully committed to date. This has left media without revenue proportionate to their audiences and brand advertisers unable to reach target markets.
Trillions of video views are generated across the world’s largest social platforms, but to-date, there has been no unifying standard to value those audiences at parity with traditional media channels. The lack of true audience reach and depth metrics has curtailed the economics of social video, making it difficult for publishers and advertisers to transact confidently across platforms.
To quantify the revenue gap, Vorhaus Advisors reviewed Tubular Labs’ Video Revenue Gap Analysis Model, independently discussing the work with a number of industry experts to validate assumptions and estimations. Additionally, Vorhaus classifies this as a “conservative” model, meaning that the gap between potential and actualized revenue is expected to be much larger than $13 billion today.
“We’re committed to realizing the full potential of global social video, and we’re grateful to Mike Vorhaus for spending the time quantifying the $13 billion being left on the table annually by publishers and creators,” said Tubular Labs CEO Rob Gabel. “Without Tubular Labs’ new TV metrics for social, that number would swell to $20 billion in untapped revenues over the next three years if we continue without time-based metrics.”
Tubular Labs, which earlier in 2019 founded the Global Video Measurement Alliance (GVMA), recently launched its new audience beta program and unveiled new time-based metrics stemming from its work with GVMA members which includes Viacom, Discovery, Ellen Digital Network, Corus Entertainment, VICE, BuzzFeed, Group Nine, Media Chain, and Brut.
Through the new audience beta program, GVMA members have access to standardized time-based views across platforms, true global de-duplicated reach, total watch time, average watch time per unique viewer, audience demographics and location, and special reporting features. The new measures reveal a comprehensive picture of global audience reach and engagement for social video, bringing long-needed parity to the industry’s accepted linear standards.
The audience measurement beta program waitlist is now open. Contact Tubular Labs (www.tubularlabs.com/audience) to receive more information on these industry-altering metrics.
About Tubular Labs
Tubular Labs is the leading global video measurement and analytics platform that powers over 250 broadcasters, publishers, and brands to understand what the world is watching. Tubular’s software measures 6B videos, 400M video consumers, 14M creators, 195K brands and 1M sponsored videos across platforms, generating insights for its customers to scale and monetize their audiences faster. 9 of the top 10 global media companies trust Tubular to power their digital video decisions. For more information, visit www.tubularlabs.com.