Global digital video value chain revenues reported a 36.6% increase to $9.4bn in 2012, growing at a compounding annual growth rate (CAGR) of 38.6%, according to the report by AccuStream Research.
Digital video value chain revenue grew 38% to $6.3bn during the year while digital video monetisation market place generated a revenue of $12.5bn in 2012.
The digital video value chain included CDN, video ad networks, serving platforms, auctions, exchanges, RTBs, integrated video platforms, media transformation, processing, optimisation and analytics, mobile ad networks, platforms and media clearing environments.
The digital video advertisers and virtual storefront merchandisers registered combined revenue of $12.55bn in 2012, bookending a nine-year CAGR of 56.6%.
In the US, the digital video value chain revenues grew 38.1% to $6.3bn during the year, which included their international operations.
According to the report, the market is expected to rise 35.2% in 2013 and register double-digit growth through 2015, as the video advertising is expected to maintain more than 60% share of total ecosystem’s total value.
The video advertising segment has led overall market’s expansion since 2005, the report revealed.
As per the Digital Video Monetization 2012 – 2015 report, the advertising, download and subscription revenues grew at a CAGR of 106.5% over the nine years, against the total paid segment revenues that increased at a CAGR of 50.1%.
The video advertising engine grew at a 62% CAGR and is expected to double in size and revenue by the end of 2015, compared to revenues in 2012.