17 Jan

How Video Fits with Twitter’s Broader Strategy


Live videos reached 74% of global audience

Twitter (TWTR) is showing a strong appetite for video, with the company announcing ~30 new live video partnerships in 3Q17 (ten of them being international deals). The company said it streamed more than 830 live events in 3Q17, with 74% of those events reaching its global audience of 330 million users.

Twitter’s video push is consistent with the strategies of its social media peers such as Facebook (FB), Alphabet’s (GOOGL) Google, and Snap (SNAP), which are also investing heavily in video to capitalize on the growing digital video advertising market.

How Video Fits with Twitter’s Broader Strategy

According to eMarketer, brands spent ~$13.2 billion to pitch to Americans via digital videos in 2017, and digital video advertising spending in the United States (SPY) is forecast to increase to $22.2 billion by 2021, growing as illustrated in the chart above.

Extending audience for video partners

Ned Segal, Twitter’s chief financial officer, recently shed more light on the company’s video strategy and how the company has been unlocking opportunities in its video push. In its video strategy, Twitter is extending its audience and enabling broader reach for its video partners because someone watching a video on Twitter is someone the company may not have reached through traditional channels, Segal explained when he spoke at the recent UBS technology conference.

Segal explained that as a result of the benefit of extending its audience, Twitter is able to get more content partners interested in its video strategy, and this, in turn, is opening up more advertising opportunities than the company might otherwise get.

BuzzFeed, Bloomberg, and Viacom (VIAB) are some of Twitter’s video partners.

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