VIDEO IN COMMERCE
MIKE ROGGE: Senior Engagement Manager (Digital Media)
PAUL TOMSIC: Senior Solutions Engineer (Commerce)
Who We Are
Paul Tomsic
Mike Rogge
Sr. Engagement Manager Media
Sr. Solutions EngineerCommerce
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Embrace video, and do it in a hurry,
lest you be left behind.
Embrace Video And Do It In A Hurry –
lest you be left behind
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Consumer Expectations
36%
of consumers expect to
be able to watch videos
on manufacturer
websites
(source: Forrester)
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52%
expect to be able to
download content such
as manuals and how-to
guides for complex
products
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Video volume and concentration on the RISE
32%
of all online retailers
using video have
1,000 or more videos
on their site
32%
>1000 VIDEOS
14%
11-100 VIDEOS
36%
< 10 VIDEOS
18%
100-1000 VIDEOS
(source: ReelSEO)
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Video in Commerce is on the RISE
10 of the IR’s Top 50 are the sites with the most indexed videos, including the #1 retail site.
#
1
95,000 est videos
#28 IR 2010 rank
#
6
9,000 est videos
#42 IR 2010 rank
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#
2
72,635 est videos
#1 IR 2010 rank
#
7
7,870 est videos
#21 IR 2010 rank
#
3
30,000 est videos
#25 IR 2010 rank
#
8
4,070 est videos
#48 IR 2010 rank
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#
4
18,000 est videos
#11 IR 2010 rank
#
9
3,625 est videos
#22 IR 2010 rank
#
5
11,198 est videos
#32 IR 2010 rank
#
10
3,617 est videos
#35 IR 2010 rank
©2011 Akamai
Consumers are driving demand for video
13% Increase
21% Increase
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420 Million
view of retail
videos in Q1
2011; 13%
higher than
Q4 2010
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Sunday Sky’s: The State of Video in
eCommerce Report
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Use Video to Engage At All Points in the
Purchase Funnel
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Casual Browsers
Awareness
Engagement
Action
Path to Conversion
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Video Increases Engagement
57%
Growth of
Videos Watched
of online video viewers
say they enjoy watching
a video next to an
article, suggesting the
power of video in a
content marketing effort.
(source: Content Marketing Institute)
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Video encourages shoppers to linger
consumers want to know more about
their products and companies they
engage with. Retailers found that to
keep viewers interested, videos need
to be a mix of entertainment,
education, and engagement
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Engage Consumers
(source: Gucci)
Simple
navigation
Easy click to
purchase
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Live Events Are Your Friend
Embedded
“magazine” right in
the NYT iPad app
(source: New York Times & Ralph Lauren)
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Interested Shoppers
Awareness
Engagement
Action
Path to Conversion
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Aide in Conversion
30%
Marks and Spencer’s
agency, Adjust Your Set,
tracked an average
sales uplift of 30%
across categories where
product video supports
the sale….
90%
With some categories
seeing conversion
uplift of more than
90% where video was
used.
(source: Forrester)
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Familiar, ease-of-use
The products
mentioned in the
videos are called out in a
separate box, with
prices and links to
product pages and
eCommerce sites.
(source: Marks & Spencer)
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Inform Consumers
Buying
without being
invasive
Clean straight
forward video
complete with
instructions
Easy
navigation
(source: Mark&Spencer)
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Existing Buyers
Awareness
Engagement
Action
Path to Conversion
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Helpful Videos Illustrate Tasks
“Littlewoods and Zappos.com use
videos to creatively illustrate the
return process more clearly for
their customers. Though not
inexpensive, this high-touch
feature could provide a personal
feel to a key interaction for these
customers.”
(source: Zappos & Forrester, “WebSite Functionality Benchmark 2011”)
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Be Respectful
User-initiated video
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User-initiated video
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One-size does not fit all
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Key Take-Away
• Work Out Objectives In Advance
• Build Brand Awareness
• Start Small To Prove Value
• Contain Traffic To Your Site
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Your Video Delivery strategy
QUALITY
EFFORT
•Consumers are
not receptive to
poor quality.
•Get as many
eyeballs as
possible without
complexity.
•Long startup
times and
rebuffering events
lose eyeballs.
•By limiting
complexity you
reduce costs.
•Higher bit rates
gain eyeballs.
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Devices? Players/applications? Formats? Codecs? Containers?
Protocols? Oh my!
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Progressive download vs Streaming
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Use Multi-Bit-Rate http chunked content to
solve bandwidth challenges
Pick bitrate based on actual moment by moment bandwidth
and rendering conditions
1.2mbps
1mbps
600kbps
300kbps
Internet
Varied bottlenecks –
Broadband & Mobile Networks
Optimized Experience
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The Problem with streaming – complex & redundant workflows
2400k
1200k
600k
300k
Encoder RTMP
MBR - Flash
2400k
1200k
600k
300k
MBR
Smooth HD
Encoder MSFT
MBR – Apple
HLS
2400k
1200k
metadata
600k
300k
Encoder HLS
•Separate content preparation for each streaming format ( For Live & On
Demand!)
•Disparate security mechanisms
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Simplifying workflow
MBR - Flash
2400k
1200k
600k
300k
MBR
Smooth HD
Encoder
MBR – Apple
HLS
•Common set of On Demand Assets (multiple bit rates) serve multiple output
formats
•Common input Live Stream (multiple bit rates) serve multiple output formats
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Ideal Delivery flow -- future
XX
3.5Mbk
900k
600k
Transcoding
50k
o
r
MP4
FLV
F4V
s
600kbp
s
X
•Simplify Adaptive Streaming
•One broadcast input to multiple devices
•Opportunity to take mezzanine files and reach all
customers
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3.5Mbp
s
900kbp
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Progressive
MP4
Output in Multiple
Formats
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Measure, analyze, refine, and succeed
• Collect and analyze
real-time quality
and traffic
information
• Collect and analyze
information on
asset consumption
• Get data for all
streaming targets
• Make sure to
gather data on both
Live & VOD
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Security
Content
• Restrict video views to identified
geographic locations
targeting/Geo-Fence
Token
Player Verification
Encryption/DRM
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• Origin issues token/enforce entitlement
• Verifying that the player is being used
• Video is encrypted and requires key for
play
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Conclusion
•Target multiple devices to capture the
largest audience
•Use http streaming to deliver the best
quality
•Measure, analyze and refine strategy
Paul –
ptomsic AT akamai.com
Mike –
mrogge AT akamai.com
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©2011 Akamai
Putting Your Feedback to Work
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