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Showing posts with label Erick Hachenburg. Show all posts
Showing posts with label Erick Hachenburg. Show all posts
Since September 2007, online video columnist, producer, reporter and author, Daisy Whitney has provided insight and analysis of the business of online video through her weekly web television show, The New Media Minute. This past week marked the final episode of her four and half year run. In her last episode she featured an interview with Metacafe CEO, Erick Hachenburg, who shared tips to better optimize your videos for search and discovery. While Whitney is retiring the New Media Minute, she says that she will continue to be very active and is "just going old school reporting on media in articles and columns instead!"
And on that note, here is the farewell episode of The New Media Minute! Complete w George Costanza too daisywhitney.com/newmediaminute...
Many friends and fans have expressed how much they'll miss her weekly online video news updates, but as she said you can read her daily Mediapost column, VidBlog and articles other media outlets.
As a big supporter of her and her husband, Jeff Brooks, I wish both Daisy and Jeff all the best for continued success.
In part two of my conversation with Erick Hachenburg, CEO of Metacafe®, he talks specifically about the growing opportunity for online video advertising and how companies are using online video for advertising and branded entertainment. For Metcafe, the key to its business model is advertising and as a result, the company recently expanded it advertising sales team to meet the growing demand for its online video advertising offerings. Metcafe has premium content deals with Hulu, Warner and other Hollywood studios, and it has grown its movies-related advertising revenues over the past year by more than 70% year-over-year.
Hachenburg pointed out that in addition to being content partners, movie studios are also marketing partners. Metcafe works with movies studios very early on, sometimes 6 months before the movies release to build an audience, and on the opening weekend Metcafe can deeply integrate the brand into the site. Hachenburg noted that many of the consumer brands are interested in reaching consumers where they have their "passion points" through movies, television, video games, sports and music. This gives both advertisers and consumers more choices to both create and consume compelling branded advertising messages and entertainment.
Research findings from Metcafe's annual sponsored study on online video consumption conducted by Frank N. Magid Associates in May 2010, that found online video advertising is increasingly accepted by consumers. More than 55 percent of the 2,412 online video viewers surveyed found online video ads just as or more acceptable than TV ads, a 3% increase from 2009 and 18-34 year-olds are more likely than older viewers to find online video ads more acceptable than TV ads.
Hachenburg said:
"Clearly the way, that consumer brands have been marketing their products over the past years has been through video, through television primarily, the commercial break. What's happening with online video is, we're seeing for the first time a real movement of the brands from the television space to the online video space."
The first thing, he said, is to take the simple approach and take what you have that you know what works, which is the commercial break and bring that to the online video space.
"We are running pre-rolls and we are running different ways of trying to present that message. The impact, the sight, sounds and motion of commercials is just so powerful. It is almost the only way you can effectively brand advertise."
Beyond the pre- and post-rolls, Metacafe offers a suite of advertising programs to maximize viewer engagement with brands. From more robust programs where brands can take over the home page or site, mashup tools, branded entertainment channels and a variety of other options for product placement. One of the key advantages that Metcafe delivers to advertisers, Hachenburg said, is an audience that is passionate about the content and entertainment properties, and that offers greater value than a broad based site. Often times broad based sites have a much a greater audience, but according to Hachenburg, they are just passerbys just coming and going, and not spending that much time on the site.
Metcafe's audience is primarily the ‘entertainment drivers’ and social connected influencers that drive entertainment decisions for others. They don't snack on content, but dive deep into all the entertainment categories and are an especially valuable audience for advertisers. Metacafe believes that the real value lies not through scale but through depth and focus. While the company was once a YouTube competitor, it has been able to navigate the changing currents of online video industry and focus its business model on premium content, branded entertainment and the growing opportunity for online video advertising.
The online video portion of the Magid Media Futures TM 2010 study was sponsored by Metacafe. A complete summary of the online video portion is available for download at http://magid.com/metacafe.pdf.
This post is part one of a two part conversation I had with Erick Hachenburg, CEO of the online video entertainment site Metacafe®, to discuss the recent launch of Metacafe Movies, how his company has shifted its business model to focus on showcasing premium content from the entertainment industry and how it will change the face of online video entertainment. Metacafe Movies launched this past May, and as Hachenburg explained, it's a channel dedicated solely to showcase videos about and from the movie industry. It's more than just trailers, he said, and includes unique original programming, exclusive behind-the-scenes clips, interviews with the directors and actors, featurettes, restricted red band content and a first-of-its-kind 3D showcase to give viewers the inside scoop of their favorite entertainment genres.
The online video market continues to grow and Metacafe has seen a huge growth in its audience year-over-year. Movie trailers and clips are currently driving nearly 10 million video views per month on Metacafe, and the Metacafe Movies Facebook fan page launched with more than 23,000 fans. In June, Metcafe unveiled the findings of its annual sponsored study on online video consumption conducted by Frank N. Magid Associates, that found a dramatic increase in consumers turning to the Internet for entertainment, with the highest percentage among 18 to 34 year-olds. Metcafe sees this as a ripe opportunity to connect advertisers with the, "Entertainment Drivers," enthusiasts and influencers who drive entertainment decisions, define pop culture and determine breakout hits in the social media world.
"Our singular focus is on building the premier movie and entertainment online video site, delivering a great experience for our viewers and valuable marketing results to our advertisers. The launch of Metacafe Movies is an important milestone in this endeavour and one that we will continue to build on in the coming months."
This short marketwire video was included as part of the press release and offers a quick snapshot of Metacafe Movies, with sound bites from Hachenburg, Horn, Poggi and Mike Vorhaus, President of Magid Advisors, a leading research firm.
While Hachenburg acknowledged the stiff competition from YouTube, but he's optimistic that Metacafe's singular focus on professional and premium content about the entertainment industry will continue to attract that coveted 18 to 34 year-old audience.
Hachenburg noted:
"What we're doing is evolving into a focus on a particular channel, just content form the entertainment industry, and we think that's what's going to change the way consumers think about how do get online video. So instead of being something for everybody, it's the best, the deepest, the richest offering for a particular type of content for audiences that are fans of the movie industry."
Hachenburg also said that YouTube has been very clear about where there focus is, and that's being an online video platform, where people can upload whatever content they want and can connect it with friends and fans through many sharing channels. Metacafe sees YouTube as an important platform for the industry and has helped online video become more pervasive. But it's very different from Metacafe's business model as a media entertainment site working with brands to target young entertainment enthusiasts.
As for where we are currently within the online video world and what the future holds, Hachenburg suggested that:
"We're very much in the early stages of the online video industry. If we're doing $1 billion of advertising this year and there's $70 billion in television advertising already being spent every year, you can see how much potential for growth. The same is true with views. For a typical site the whole month worth of views may be only one television show in primetime, but that growth rate is accelerating. We're seeing, two years ago, 50% growth rate in viewership, last year 100% growth of viewership. So that means the exponential curve is well on its way and we're still heading upward. When you're in an industry that has more viewership and is accelerating, more advertising dollars and is accelerating, and more access to content, you can imagine we're in the very early stages of an exciting opportunity."
About Metacafe® – Entertainment That Connects
Metacafe® is the first entertainment destination solely dedicated to showcasing the best videos from the world of Movies, Video Games, Sports, Music and TV. We are the trusted source that keeps millions of viewers plugged into their entertainment passions every day, and we connect marquee brand advertisers with their target consumers via close association with the most popular entertainment content on the web. Metacafe attracts more than 10 million unique monthly U.S. viewers (1). The privately held company is headquartered in San Francisco, with offices in New York City, Los Angeles, London and Tel Aviv. For more information – and millions of entertaining videos – visit www.metacafe.com
(1) comScore Video Metrix, March 2010
