Youku CEO Gu Yongsheng and Iqiyi CEO Gong Yu will share the same position in 2013 as the first year of mobile video commercialization.

In the first year of commercialization, a simple understanding of the first year of making money means that both companies will place advertisements when users watch videos with their mobile phones or tablets. iQIYI is bigger than Youku and has already put advertising on the mobile video, such as hit series.

According to the latest data from Analysys International, Youku Potato and Iqiyi ranked first and third in domestic video integrated revenue. The top three players have put forward the same slogan. Will video advertising on the mobile phone be hot? At the very least, the video websites themselves have begun to rally.

Is mobile video advertising a savior for mobile media ads?

The data shows that in the third quarter of 2012, the revenue of domestic video websites was 2.64 billion yuan, a year-on-year increase of 78%, and an increase of 35% from the previous quarter. This shows that the growth trend of video site PC advertising is normal but not rapid.

Gong Yu revealed that video advertising will rise by 30% after the Spring Festival, and the entire industry is expected to achieve a break-even balance throughout the year. In accordance with the iQIYI plan, the increase in revenue in the first-tier cities to increase the advertising unit price, to expand the market share of the second, third and fourth cities advertising. PC-side revenue becomes inventory, and mobile-side revenue is defined as incremental.

But how big is the mobile video advertising market? Is mobile video advertising the "left-hand guide"?

According to Gong Yu, "IQIYI currently has 100 million installed mobile clients, but Youku Tudou has only a lot more." Youku said that no mobile installations were announced in 2012. Earlier media reports, Youku internal data show that the client installed capacity of 50 million.

The actual installed capacity is different, but the proportion of mobile traffic does change. The data of Youku is that 20% of the traffic comes from the mobile terminal, and IGI Arts announced that it is 28%. According to the practice of having business with traffic, the introduction of advertisements on mobile terminals becomes inevitable.

The pattern of advertising revenue brought by mobile video has set a precedent in the United States. A survey by the US Data Research Institute ValueClick revealed that nearly 49% of advertisers intend to increase video advertising spending in 2012, and 65% will increase mobile advertising budget. eMarketer's data also predicts that mobile video advertising will account for 5.8% of all mobile advertising spend in 2012.

"62% of mobile users do not watch the PC video." The data disclosed by Gong Yu shows that the mobile video user and the PC video overlap smaller. "At present, 28% of the overall flow comes from the mobile terminal and it is expected to reach 35% next year. Therefore, mobile video advertising will be the savior of mobile media advertising."

Is there any obstacle to the mobile video advertising model?

There are currently only two ways to bring revenue through the video mobile terminal: forward charging mode and backward advertising mode.

The forward charge is paid membership, and the current video site membership payment can be used on the PC side and the mobile side. Even if the paid user is added, it cannot be counted separately on the mobile side. Coupled with domestic and foreign films in the video site has four weeks and four months of two long cycles, increasing the income of forward payment is very difficult.

The backward advertising model is the main model that is favored and will be adopted. This model is mainly displayed as a patch advertisement, but there are still several obstacles to this model:

One, a single advertising price is higher

Although mobile video advertising and PC video advertising both use pre-patch mode, the biggest difference is that mobile video, especially mobile video, can help advertisers accurately locate users.

The advertiser can analyze the user's personal behavior according to the location and model used by the user to watch the video, and recommend a more accurate advertisement to the user. In addition, the mobile video must be shorter than the video time of the PC, and the price of a single advertisement must be higher than that of the PC. It is a problem whether the advertiser can accept it at the initial stage.

Second, technical products have problems

Previous research by eMarketer showed that the purchase rate generated by client advertisers, such as mobile phones, is four times that of PC, but there are certain technical problems with client advertisements.

After PC-side advertisements appear, users can click and jump directly to learn more about advertising products. Of course, there are many times when you will delay the advertisement, but whether you see 1 second or 60 seconds, you have counted one. advertising.

However, clients such as mobile phones are different. You need to click on advertisements in the video. Then you will jump to the mobile browser page. If you want to return, you need to re-open the video client. Therefore, Gong Yu said that next year's investment focus, technical products are the first, and even home-made programs and copyright hot plays are on the sidelines.

Third, the user accepts the required time

Most video advertisements on PCs currently use short video stickers for a 15-second advertisement. Long video advertisements are posted on a time scale of two to four, with a maximum of 60 seconds. Mobile video advertising is expected to be no longer than 15 seconds, especially if the video is just starting to be too long, it is easy for users to resent.

Mobile users can't accept a video being suddenly posted by an advertisement on some day, and some users said it was unacceptable. If a video app puts advertisements for another one, but multiple apps are posted, you still have to choose one. So, the user's acceptance is an educational process, it takes time, and it needs a game.