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August 22, 2007

Google to Launch New Video Ad Format for YouTube

Google has decided on a video ad format for YouTube videos. At first, this ad format will display on videos for members of YouTube's professional content network, according to NewTeeVee. The CPM is $20 and the revenue split with video producers has not been made public.

I think this in-line video ad format that I describe below works for both dance videos and sponsors who want their video commercials featured within these dance videos.

A transparent graphic ad will appear 15 seconds into a video and take up the bottom 20% of the screen. If you click on the ad, a pop-up window appears over the main video screen with a sponsor video. If you don't click on the transparent ad after about 10 seconds, the overlay converts into a small button on the bottom right of the ad that you can click any time to watch the commercial.

To see the video ads at this point, you have to watch videos on YouTube. Here's an example: How to: Create an evening look in minutes

And here are screen shots that show you what the ads look like:

The transparent banner ad appears 15 seconds into video:

Google Videos ads for YouTube

If you click banner ad, you can watch sponsorship message:

Google Videos ads for YouTube

If you don't click ad, a little carrot button at bottom right of screen can be clicked any time to watch ad:

Google Videos ads for YouTube

This Google approach to monetizing videos makes sense to me. Pre-roll ads and post roll ads (ads that run before and after videos) simply do not work and annoy viewers. The overlay ad approach is the best balance for both viewers and sponsors.

Posted by Doug Fox on August 22, 2007 9:16 AM

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2 Comments


Michelle said:

let's just say that Google offers the video owner $10 for each thousand views of the video. That's $100 for ten thousand views, $1000 for hundred thousand views and so on.

Soon the numbers don't look impressive. After this hits the normal Tubeā„¢ even more people will post videos of dog's riding bikes looking for that multi-million count to make some money and with that the site becomes even more saturated than it already is.

Add in to that the problems of click fraud (which in turn will bring thousands of petty and organized criminals to the site) because that's what they do.

Even if a dance company can build a sizable audience for their content they will make very little money for it. Google on the other hand will rake in the cash from advertisers because they get a piece from everybody's pie.

Google advertising is a business model built on meaningless page-view numbers. Entire websites are built not to serve meaningful content but endless opportunity's to install "ad units" so the big player makes a killing, a hundred geeks make a few hundred grand and everybody else gets screwed (pardon my French).

Dance needs to play to it's strength and sell products (either online or DVD's) because the quality is sky high and people genuinely want the material. It's a harder sell but one that is more worthwhile.

Added: August 22, 2007 6:35 PM | Permalink

Doug Fox said:

Michelle,

Thanks for comment. I probably was not clear when I wrote:

I think this in-line video ad format that I describe below works for both dance videos and sponsors who want their video commercials featured within these dance videos.

I was referring specifically to in-line video ads as a format that will probably work better than other ad formats such as pre-roll or post roll. I was not referring to the Google revenue model.

Added: August 22, 2007 11:02 PM | Permalink

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