38 Comments

Summary:

YouTube, which has never had trouble growing an audience but hasn’t yet figured out the trick for monetizing them thar eyeballs, is adding a trick from the old playbook: post-roll advertisements. As we understand it (and this has been confirmed with the company), if you don’t […]

YouTube, which has never had trouble growing an audience but hasn’t yet figured out the trick for monetizing them thar eyeballs, is adding a trick from the old playbook: post-roll advertisements. As we understand it (and this has been confirmed with the company), if you don’t click on an overlay ad when it shows up in a clip you’re watching, the video ad it would have played rolls automatically at the end of your video. Previously a post-roll video wouldn’t play without being initiated by the user. This type of ad started rolling out over the last few weeks.

The post-rolls, like all ads on YouTube, only play on a portion of the 4 percent or so of the site’s videos uploaded by official partners with revenue-sharing agreements. The included screenshots show two instances of ads for Sanctuary, the web series picked up by Sci-Fi.

The Wall Street Journal reported in July that YouTube was considering including pre- and post-roll ads as one potential way to boost ad revenue. The fact that this type of ad plays automatically makes it much more likely that viewers will watch it.

Pre-rolls, however, are the far more intrusive of the two, because by definition a user has to finish watching such an ad before proceeding to the video he or she has already chosen to watch. But even post-roll ads are a significant reversal for Google-owned YouTube. When the site initially announced its in-video overlay ads last year, it justified the somewhat unconventional ad formats by saying 75 percent of its users who saw tests of pre- and post-roll ads were unhappy with them.

Just this summer Google CEO Eric Schmidt touted the effectiveness of embedded ads versus pre- and post-rolls. And earlier in the year he promised forthcoming ad products that would be “much more participative, much more creative, much more — much more interesting in and of themselves” than in-line ads. Since then, new products have included ad formats like a full-screen HD movie trailer and publisher tools like “Hot Spots,” which shows which parts of a video viewers are most interested in. That is to say, very few socks were blown off.

So for now, at least, the next big thing is hardly new.

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  1. What are they thinking? (or not thinking). The problem with post rolls is not that they don’t automatically play, it’s that the user is done watching the video! They don’t sit through the “commercials” at the end.

    I would have expected Google to do something more innovative, similar to what Videoegg.com did. what happened?

    -Robb
    http://www.retrevo.com

  2. YouTube Cries: “For the Love of Pete, Please Click on an Ad!” Thursday, October 2, 2008

    [...] latest attempt to get us to click on video ads comes by way new post-roll ads. As NewTeeVee [...]

  3. YouTube Dips its Toe into Post-Roll Video Advertising – Mashable Thursday, October 2, 2008

    [...] at the top right of the page, only extended out to the left.) Now it appears that the website is posting video advertisements at the end of clips published by select official content [...]

  4. The Toybox mobile edition Thursday, October 2, 2008

    [...] eyeballs than ways to monetize them, is adding post-roll advertisements to its clips. As NewTeeVee suggests, if you don’t click on an overlay ad when it shows up in a clip you’re watching, the video ad [...]

  5. Andre Charland Thursday, October 2, 2008

    Ya I wouldn’t think post roll ads could keep a viewers attention. YouTube visitors aren’t exactly a captive audience…mind you if you make the ads really engaging, which you’d have to, that might work.

    I think the embedded approach like at http://overlay.tv would be more effective.

  6. YouTube Dips its Toe into Post-Roll Video Advertising | kNow Media Thursday, October 2, 2008

    [...] at the top right of the page, only extended out to the left.) Now it appears that the website is posting video advertisements at the end of clips published by select official content [...]

  7. Youtube lacks flash technology on their player. Flash allows for so many better features. We pre-roll ads on our LIVE and produced videos and can also imbed sponsorship logos and clickable links in the actual live videos. We have some awesome content and opt-in thriving demographic if anyone is interested in advertising on a video based website: http://www.baroptic.com

    If so, contact me: Josh@BarOptic.com

  8. Google’s Latest Attempt to Monetize YouTube: Post-Roll Ads – BuzzYA! Thursday, October 2, 2008

    [...] sites. Now, Google is trying out post-roll ads on the popular online video service. Currently, as NewTeeVee notes, these post-roll ads only appear if you do not click on the overlay ads while a video is playing. [...]

  9. YouTube And Their Post Video Ads. Will It Work? Thursday, October 2, 2008

    [...] NewTeeVee reports, this move is not very innovative by Google, but at least it is not as bad as how MSN videos monetize.  [...]

  10. DemoMarks » Blog Archive » YouTube Sticking Ads After Clips’ Conclusions Thursday, October 2, 2008

    [...] as scheduled.  Except it seems that YouTube may soon get a little more forceful; according to Liz Gannes, the site will show post-roll video ads to users who don’t click on the overlays.  [...]

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