eCommerceTV: Video drives the eCommerce market
18.06.2008. The extensive use of video will help eCommerce platforms unleash untapped potential, winning more customers and convincing people to buy more goods online. In the report "eCommerceTV", Berlin-based media consultancy Goldmedia analyses the possibilities of using video and has quantified the potential revenue growth for the German eCommerce market for the first time. Goldmedia forecasts that the use of video in Germany will boost revenue in the total eCommerce market 5% by 2012. The overall revenue growth triggered by eCommerceTV could add up to Euro 4.1 billion within the next five years.
Germany is one of the European front-runners in eCommerce activities and thus a good example of growth potential in this market. 41% of Germans between 16 and 74 years old made online purchases in 2007. This places Germany fourth in Europe behind the UK, Denmark and the Netherlands. The EU average is 23%.
The attractiveness of WebTV and online video has grown enormously
71% of all German, 75% of US and an astonishing 83% of British internet users watch video-streams online. Video features like web TV, trailers, rich media advertising, etc. have become a natural part of the internet and have developed into an increasingly important attention-getter. The infrastructural prerequisites and internet coverage are taken for granted by now and will only continue to improve.
The large catalogue companies and online shops have already reacted and are currently launching their own video formats. Examples are amongst others Amazon, Tchibo WebTV (Germany), Marks & Spencer (UK) or teleshopping channels such as QVC.