Gauging Viewership Trends in Live Online Video in Business Communications
Copyright © 2012 Wainhouse Research, LLC Page 1
WHITE PAPER
Gauging Viewership Trends in Live Online Video Business Communications
Steve Vonder Haar
March 2014
White Paper commissioned by:
Gauging Viewership Trends in Live Online Video in Business Communications
Copyright © 2012 Wainhouse Research, LLC Page 2
Contents
Executives Engage with Live Online Video ................................................................................................... 1
Methodology ................................................................................................................................................. 2
Live Online Video Usage Patterns ................................................................................................................. 2
Gauging Live Online Video Use in Business .................................................................................................. 7
Key Takeaways .............................................................................................................................................. 9
About the Author / About WR ................................................................................................................... 10
List of Figures
Figure 1: Frequency of Live Online Video Usage Via Desktop Computer for Business Applications - Overall
Respondents ................................................................................................................................................. 1
Figure 2: Extent of Usage of Specified Technologies for Business Communications – Overall Respondents
...................................................................................................................................................................... 3
Figure 3: Survey Respondents' Self-Reported Comparison of Usage of Live Online Video for Business -
2013 vs. 2010 - Overall Respondents ............................................................................................................ 4
Figure 4: Gains in Live Online Video Usage; 2013 vs. 2010 - Segmented by Current Live Online Video
Usage Patterns .............................................................................................................................................. 4
Figure 5: Frequency of Live Online Video Usage for Business Applications - Segmented by Functional
Discipline ....................................................................................................................................................... 5
Figure 6: Frequency of Live Online Video Usage for Business Applications - Segmented by Vertical Sector
...................................................................................................................................................................... 6
Figure 7: Segmentation of Live Online Video Viewership – 2013 vs. 2017 – By Type of Device ................. 7
Figure 8: Number of Hours of Business Live Online Video Viewership - Actual and Forecast - 2013 to 2017
- Segmented by Device Type ......................................................................................................................... 8
WR Paper: Sizing Viewership for Live Online Video in Business Communications
Copyright © 2014 Wainhouse Research. All rights reserved.
Gauging Viewership Trends in Live Online Video in Business Communications
Copyright © 2014 Wainhouse Research, LLC Page 1
This report is the second in a series of
white papers and webinars tracking
the usage, deployment and executive
perceptions of online video in the
corporate sector.
The concept for this series was
inspired by previous market research
published on behalf of Cisco Systems
that measures the growing use of
online video on the Internet.
Commissioned by Ustream and
produced by Wainhouse Research,
the Business Video Now Series seeks
to take the next step in gauging
momentum in the evolving online
video market.
The aim of Business Video Now is to
foster greater awareness and
understanding of online video trends
by providing data-driven insight,
focusing on the expanding role of the
technology in enterprise
communications. Results from a
survey of 1,007 executives conducted
in the fourth quarter of 2013 serve as
the foundation for information
presented in this series.
Future editions of the Business Video
Now Series will identify the video
applications that executives
frequently employ and discuss
lessons learned from
implementations of technologies
enabling online video.
ABOUT THE BUSINESS VIDEO NOW
SERIES
Executives Engage with Live Online Video
Live online video is emerging as viable venue for spreading a
business message. Whether used for employee training,
enhanced marketing, or any of a raft of other
communications applications, live online video provides
executives an engaging environment well-suited to reaching
large audiences on a real-time basis.
The impact of live online video in business can sometimes be
overlooked, though, because of the way that some
organizations use it. Frequently deployed for employee-to-
employee communications behind a corporate firewall, live
online video does not typically generate the same level of
industry hype accorded to well-known consumer video
services, such as Google’s YouTube.
These market perceptions, however, belie the significant role
that live online video plays in today’s business world. In 2013,
more than 1 billion viewer hours were spent watching live
online video featuring business messages, according to
estimates developed for this report by Wainhouse Research.
These viewership metrics, based in part on results collected
in the fourth quarter 2013 Wainhouse Research Enterprise
Web Communications Survey, reflect the widespread
adoption of live online video among selected segments of the
Figure 1: Frequency of Live Online Video Usage Via Desktop Computer for Business Applications - Overall Respondents
Gauging Viewership Trends in Live Online Video in Business Communications
Copyright © 2014 Wainhouse Research, LLC Page 2
enterprise market. As illustrated in Figure 1, nearly 60% of the executives surveyed say that they have
experienced live online video at the desktop. One out of five respondents report that they experience
live online video at the desktop on a daily basis. Another 18% of respondents report viewing live online
video on at least a weekly basis.
In this research report, Wainhouse Research highlights live online video adoption patterns in today’s
market, provides a detailed overview of its global viewership estimates for live online video usage in
business through 2017, and discusses the methodology used in developing these metrics for live online
video adoption.
Methodology
Data presented in this report comes from the Wainhouse Research Enterprise Web Communications
Survey – an online survey of 1,007 corporate executives conducted in the fourth quarter of 2013.
Respondents were recruited randomly from managed survey panels to answer questions gauging the
use, deployment and perceptions of streaming solutions and other web-based communications
technologies. Panel quotas were used only to ensure equal distribution of respondents from small
companies (less than 250 employees), mid-size companies (250 to 2,499 employees), and large
companies (2,500 or more employees.)
This report features comparisons of responses between defined segments of the overall survey group.
Unless otherwise noted, survey results presented for these sub-segment groups are composed of at
least 100 survey participants.
These survey results also serve as the foundation for Wainhouse Research estimates – presented in this
report – of total hours of live online video viewership of content used for business purposes. Wainhouse
Research used data from the United States Census Bureau to size specific business market segments and
then overlaid live online video usage results from corresponding market segments represented in the
executive survey. This analysis produced an estimate of the total number of live online video events
experienced by executives in North America. Wainhouse Research then reviewed vendor logs to gauge
the length of time individuals typically are engaged with live online video events, using averages to
calculate the total amount of time users spent watching business live online video in North America.
Corporate spending totals for enterprise streaming technologies outside of North America served as a
proxy for adoption of these technologies in other regions and were used to extrapolate viewership
results on a global basis.
Live Online Video Usage Patterns
Live online video – defined in this report as the integration of video into real-time online events reaching
at least 25 viewers simultaneously – is a sometimes-overlooked workhorse of business communications.
Presentations developed for one-to-many distribution can reach a targeted audience of thousands of
Gauging Viewership Trends in Live Online Video in Business Communications
Copyright © 2014 Wainhouse Research, LLC Page 3
viewers at once, setting the stage for out-sized business impact. Top-level executives, for instance, can
deliver their message to a sprawling network of employees in all-hands meetings held online. High-
quality trainers can leverage the technology to touch more workers on a real-time basis, spreading best-
practices throughout an organization more rapidly. Likewise, companies can showcase their best
presenters in pivotal marketing events, creating engaging venues capable of streamlining the
distribution of product information to key target markets.
Indeed, a little bit of live video goes a long way. Because a single event can reach a wide swath of users
at once, the percentage of executives who have experienced this technology is on par with usage
patterns witnessed for other established enterprise solutions, such as web conferencing. And survey
results suggest that live online video is much more pervasive element of business communications than
social media. Applications such as Facebook, Twitter and LinkedIn generate significant market
awareness because of their extensive adoption for personal use. That said, when viewed as a tool for
conveying business messages, usage of social media lags far behind the adoption of live online video.
As illustrated in Figure 2, 59% of all executives surveyed report experience in using live online video for
business at the desktop. That rate is nearly double the extent to which executives report usage of social
Figure 2: Extent of Usage of Specified Technologies for Business Communications – Overall Respondents
Gauging Viewership Trends in Live Online Video in Business Communications
Copyright © 2014 Wainhouse Research, LLC Page 4
Figure 3: Survey Respondents' Self-Reported Comparison of Usage of Live Online Video for Business - 2013 vs. 2010 - Overall Respondents
media applications for business communications. For instance, while 70% of all survey respondents say
they have created their own Facebook page, less than one-quarter of all survey participants report using
this aspect of social media for business communications.
Among the most popular social media applications among business users are those designed specifically
to achieve a specific work task. More than 30% of all respondents, for instance, say that they have
established a profile on the LinkedIn service specifically
for business use. Video use of Skype also is a leading
social application for business use. Overall, 29% of
respondents say that have used video via Skype for
business communications.
While survey results suggest that use of live online
video for business applications is broad-based, a
significant portion of the survey audience also say that
they are using live online video more frequently than
had previously been the case. Survey participants were
asked to compare their current level of live online
video usage to the extent to which they had used the technology in 2010. Overall, 43% of executives
report that their usage of live online video for business applications had increased when compared to
three years earlier. (See Figure 3.) One out of 10 respondents report than their usage of live online has
more than doubled compared to 2010 levels.
As might be expected, those who report the greatest frequency of live online video usage in 2013 also
are the most likely to have boosted their usage of the technology during the past three years. Among
those who use view live online video for business on a daily basis, 16% report having doubled their video
consumption rate since 2010. Among those who use the technology less than monthly, only 4% report a
doubling in live online video usage during this period. (Figure 4)
The results highlight the nature of online
video usage in the corporate sector. The
adoption of live video seemingly becomes
an “all or nothing” proposition. Those that
use the technology frequently are among
the group most likely to rapidly accelerate
its adoption. Those who use the
technology infrequently are less inclined to
rapidly expand their use of live online
video for business.
Figure 4: Gains in Live Online Video Usage; 2013 vs. 2010 - Segmented by Current Live Online Video Usage Patterns
Source:
Wainhouse
Research
Enterprise Web
Communications
Survey, Q42013;
n=1,007
Gauging Viewership Trends in Live Online Video in Business Communications
Copyright © 2014 Wainhouse Research, LLC Page 5
This trend – if it continues – holds significant long-term implications for the usage of live online video for
business applications. The survey results suggest that much of the growth in usage of live online video is
likely to come from those already using it extensively. The task of determining the engines of future
growth for live online video usage in business becomes an exercise in identifying the market segments
where the technology is already used on a widespread basis.
Usage of online video is strongest among groups likely to be early adopters of technology, with the most
pervasive use of online video coming from IT executives. As illustrated in Figure 5, more than four out of
five IT executives (89%) report that they have viewed live online video for business; 27% of IT
respondents report daily usage of the technology. Other functional disciplines reporting higher-than-
average usage of live online video include engineering and top executives. (The segmented groups
reported in Figure 5 tally results from groups of 42 to 139 respondents.)
The strong usage patterns from top executives correlate with similar results derived from executives
who have high household incomes. More than three quarters of executives with more than $100,000 in
annual household income report that they have used live online video for business. Thirty percent of
respondents from this high-earning group report daily usage of the technology. In contrast, only 44% of
workers with less than $60,000 in annual household income say that they have viewed live online video;
just 14% of this income group report daily usage of the technology.
Figure 5: Frequency of Live Online Video Usage for Business Applications - Segmented by Functional Discipline
Source: Wainhouse
Research Enterprise Web
Communications Survey,
Q42013; n=1,007
Gauging Viewership Trends in Live Online Video in Business Communications
Copyright © 2014 Wainhouse Research, LLC Page 6
When segmenting usage by levels of household income, the results correlate with usage patterns of
those in functional disciplines that rank among the least frequent viewers of live online video in
business. Among the functional groups identified in the survey, workers involved in manufacturing and
customer support are the least frequent viewers of live online video. These disciplines also have
relatively modest household incomes when compared with the IT, engineering and top executive
disciplines that rank at the top of the usage frequency list.
The frequency of usage for live online video in business can also vary significantly by vertical industry. In
general, executives from knowledge-based industries - where value is based on an organization’s ability
to monetize intellectual property - are more likely than others to view live online video on a frequent
basis. As illustrated in Figure 6, one quarter of respondents from the financial services sector report
using live online video on a daily basis with another 28% of respondents from the vertical citing at least
weekly viewing of live online video. Although total usage levels from the technology sector are lower
than that seen from the financial services vertical, technology does have a larger share of high-
frequency users of live online video – viewing the content on a weekly basis – than does any other
vertical segment represented in the survey. (The results reported in Figure 6 reflect cumulative
responses from vertical groups ranging in size from 37 to 109 respondents.)
At the other end of the spectrum, survey respondents working in the hospitality and retail segments use
live online video at the lowest frequency. In both of these segments, a cumulative total of 30% of
respondents report at least weekly usage of live online video for business. The government and
education verticals report even lower rates of weekly usage but have a higher proportion of
respondents who have experienced the technology at some point.
Source: Wainhouse
Research Enterprise Web
Communications Survey,
Q42013; n=1,007
Figure 6: Frequency of Live Online Video Usage for Business Applications - Segmented by Vertical Sector
Gauging Viewership Trends in Live Online Video in Business Communications
Copyright © 2014 Wainhouse Research, LLC Page 7
Gauging Live Online Video Use in Business
The video consumption patterns described thus far in this report demonstrate the significant role that
live online video is playing in business communications. By leveraging this data and analyzing it in
conjunction with other information collected from the United States Census Bureau, streaming
technology vendors and end users, Wainhouse Research has developed a market sizing model
measuring the cumulative number of hours of live online video content viewed globally. In 2013, WR
estimates business users viewed 1.12 billion hours of live video in online webcast events drawing 25 or
more attendees.
Nearly three-quarters (73%) of viewing time for live online video in business took place in North America
with the balance of viewing (27%) taking place in the rest of the world. Most of the viewership activity
outside of North America took place in Europe
with a smaller share of the rest-of-world
viewership coming from the Far East.
Despite the growing popularity of smartphones
and tablet devices, most viewership of live online
video used in business took place via desktop
computers and laptops. As illustrated in Figure 7,
77% of the all the live online video hours
associated with business applications were
viewed via traditional computers. Another 15%
of viewership took place via tablet devices with
the remaining viewing time generated from
smartphones.
Several factors contribute to this central role for traditional computers in the consumption of live online
video for business. Most importantly, many businesses in 2013 had yet to deploy effective solutions
optimizing the distribution of live video content to mobile devices. Fewer than one in five of
organizations surveyed by Wainhouse Research report that they have access to technologies that make
live online video distribution possible to mobile devices.
Corporate demand for mobile distribution of live online video is growing. In 2014 alone, one quarter of
organizations represented in the Wainhouse Research survey report plans to implement technologies
that enable distribution of online video to tablet devices. As the technologies that enable mobile online
video distribution grow more commonplace, tablets and smartphones will play a significant role in
fostering expanded viewership of live online video by business users. By 2017, less than half of live
online business video viewership will come from the desktop. Tablets and smartphones will account for
a combined 51% of live online video viewership by business users by 2017, compared to just 23% of
viewership activity in 2013.
Figure 7: Segmentation of Live Online Video Viewership – 2013 vs. 2017 – By Type of Device
Source: Wainhouse Research
Gauging Viewership Trends in Live Online Video in Business Communications
Copyright © 2014 Wainhouse Research, LLC Page 8
This embrace of video via mobile devices, coupled with ongoing investment in business streaming
technology solutions and services overall, will drive significant growth in the extent of live online video
viewership for business applications.
In 2014, the cumulative total of hours of live online business video viewership is projected to grow 23%
over 2013 levels, reaching 1.38 billion hours for the year. (See Figure 8.) Growth rates in viewership
hours for live online video used in business will actually accelerate during the forecast period that
extends through 2017. By the final year of the forecast, year-over-year growth in viewership hours will
top 30%.
Compared to 2013 levels, the market will see a doubling by 2016 in the number of hours that business
users are engaged with live online video, reaching 2.23 billion hours of viewership in the year. Total
hours of viewership will reach nearly 3 billion hours (2.92 billion) annually in 2017.
Despite the extensive use of live online video in business communications, viewership of this content
remains only a sliver of an end user’s overall video diet. According to research by A.C. Nielsen, United
Source:
Wainhouse Research
Figure 8: Number of Hours of Business Live Online Video Viewership - Actual and Forecast - 2013 to 2017 - Segmented by Device Type
Gauging Viewership Trends in Live Online Video in Business Communications
Copyright © 2014 Wainhouse Research, LLC Page 9
States residents watch television an average of 34 hours weekly – a viewership rate that translates into
more than 550 billion hours of video consumption annually in the United States alone.
As technology evolves and end users become more familiar with potential applications for live online
video in business communications, ample opportunity exists for more extensive viewership of live online
video events. Wainhouse Research intends to update estimates for live online video viewership for
business applications on an annual basis.
Key Takeaways
Adoption of live online video for business communications is significant and growing. During 2013,
viewers watched 1.12 billion hours of live online business video content in events reaching 25 or more
attendees. Market participants should keep the following survey results in mind while gauging the
impact of live online business video today and projecting growth opportunities for this market segment
in years to come:
Reach of Live Online Video for Business is Extensive: Nearly six in 10 Wainhouse Research
survey respondents report that they have viewed live online video for business use with 20% of
all respondents saying they do watch this type of content on a daily basis.
Survey Results Reflect Growth in Viewership Over Time: More than 40% of survey respondents
say they are watching more live online video for business than was the case three years ago.
And some of these viewership gains are substantial, with one in 10 respondents self-reporting
viewership more than double the levels experienced in 2010.
Exposure Accelerates Adoption: Current usage of live online video in business begets
accelerated adoption down the line. The most rapid expansion in viewership comes from
individuals already familiar with the technology. With 38% of respondents now reporting at least
weekly usage of live online video for business, a large segment of the corporate audience is
poised for more extensive use of the technology.
Not All Executives Tune In Equally: Executives from selected functional disciplines and vertical
sectors demonstrate a greater-than-average propensity for watching live online video for
business on a frequent basis. To identify candidates for extensive viewing, look for executives
with high household incomes and/or early adopter tendencies who work in industries where the
real-time exchange of information generates significant business value.
Don’t Discount the Desktop: While mobile devices remain a key driver of change in a variety of
technology markets, remember that the desktop computer still plays a vital role in the
distribution of live online video for business use. Desktops typically have the form factor,
computing horsepower and network access to handle extended viewing sessions for live online
video content. While mobile capabilities will continue to drive marketplace growth and industry
buzz, desktop devices will continue to play a workhorse role in the distribution and consumption
of live online video content used in business.
Gauging Viewership Trends in Live Online Video in Business Communications
Copyright © 2014 Wainhouse Research, LLC Page 10
Market Remains in the Starting Blocks: Compared to other forms of video, such as television,
live online video for business remains a small part of an individual’s overall video diet. As
executives grow more familiar with the technology, it is reasonable to expect live online video to
grab additional executive mind share. Wainhouse Research estimates that annual viewership of
live online video for business, totaling 1.12 billion hours in 2013, will double in volume by 2016
and reach nearly 3 billion hours of viewer engagement in 2017.
About the Author / About WR
Steve Vonder Haar is a Senior Analyst with Wainhouse Research, focusing on enterprise streaming &
webcasting. Steve has covered the technology industry for more than 20 years. He previously served as
Research Director of Interactive Media Strategies and as Director of Media and Entertainment Strategies
for the Yankee Group. He is a graduate of the University of Missouri Columbia with degrees in Journalism
and Economics, and holds a Master’s degree in Business Administration from the University of Texas-
Arlington. He can be reached at [email protected]
About Wainhouse Research: Wainhouse Research is an independent analyst firm that focuses on
critical issues in the unified communications and collaboration market. The company provides 6 different
vendor subscriptions covering unified communications, group videoconferencing, personal & web-based
collaboration, audio conferencing, streaming & webcasting, and distance education & e-Learning
solutions, as well as a single all-inclusive subscription for enterprise users. The company acts as a
trusted advisor providing strategic advice and direction for both the UC&C industry and its enterprise
users. For further details contact [email protected] or see http://www.wainhouse.com.