Chapter 10. Paid Video Advertising
In this chapter, you will learn:
Why most video start-ups have failed.
How to make money via online video if you're willing to invest time.
What video content will engage your audience instead of making them feel "pitched."
About another attempt at the Web-studio model that may work—or not.
Most marketers, especially those accustomed to buying television advertising, will marginalize their investments in online video to paid advertising. Without a doubt, the medium depends on advertising support since few have yet proven that subscription or pay-per-episode models can work. The paid play related to video has gone through several Darwinian evolutions
Penny Ads. Initially, online-video sites had difficulty convincing advertisers to place ads adjacent to consumer-generated video. Most of the early advertising revenue was generated by discounted cost-per-impression ads that were literally pennies per thousand impressions. This hardly offset the infrastructure costs, but minimal revenue and copyright problems did not stop Google from seeing long-term value in owning the largest video-sharing property.
Home-Page Featured Videos. YouTube was only able to attract advertisers for home-page placements (Quicken annually promoted its software via a promotional video on YouTube's home page). Soon, savvy viewers realized what YouTube calls a "video companion ad" or an "expandable autoplay video ad" (see Figure 10.1) was not entertainment, and they avoided it. I met ...
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