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Saturday, May 27, 2006

Google introduces Video Ads

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This week, after long anticipation, Google launched their video ads for both advertisers and publishers. In the Adwords menu, advertisers can choose to use video ads now to increase the exposure of the product.

For an Adsense user, how the process works is quite simple. You must firstly opt to have both text and image ads. Then all video, image and text ads will compete for placement on your site, with the ads that can potentially make the most money for you, appearing in your 300 x 250 Medium rectangle, 336 x 280 Large rectangle or 250 x 250 square. Unfortunately, these are the only ad sizes supported by the videos.

Then when a user comes to your site, a static image of the video will appear. If the user would like to view the ad, they will have to click on it so that the video will start to play. Publishers can watch their own videos, but only if they click on the play button and not on the URL of the advertiser. The videos will not use up your bandwidth or slow your site down, as they are all being hosted by Google

In terms of earnings, I would have to say that initially, all of us publisher's should notice an increase in revenue, due to the novelty of the video ads, and everyone wanting to see what they're like. According to Google, "Publishers will be paid for site-targeted video ads on a CPM basis. For contextually targeted video ads, publishers will be paid for clicks to the advertiser's landing page."

For more information, visit the Adsense Blog.

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