Tuesday, March 17, 2009

Video Insider: Monetizing Online Video

Monetizing Online Video

Internet users are viewing more online videos than ever before. In fact, recent studies show a 45% increase in video views over last year. With all this video content available for viewing, advertisers and content providers are looking for ways to monetize their content by injecting advertisements in their videos. So what is the expected advertising investment in this Internet phenomenon? And what options are available for companies that want to take control of monetizing their content? Let's take a look at some options.

According to recent studies, year-over-year, online video ad spending will continue to grow in 2009, but probably not as high as the 40% predicted. Any growth to the estimated $580 million ad spend this year will be a challenge for advertisers. Content providers want their sites to be viewed by more eyeballs than their competitors' sites, as do the companies that advertise on these sites.

Companies are seeking ways to easily integrate and monetize video content on their Web sites.  End-to-end brandable video solutions exist that cover everything from ingestion, transcoding, media and meta data storage, to player templates, advertising integration, video delivery, reporting and analytics. These systems often support embedded codes which enable viewers to syndicate video content on their own sites. This allows the entire video experience -- including the customized player and video overlay -- to travel with the video, helping the company build brand equity off-site.

Re-roll, instream and overlay ad playback are options that are readily available and easy to deploy. With in-stream video ads, video players can interact with the surrounding page and dynamically update the customer's Web site in concert with the video ad. Features such as built-in support for overlay advertising allow ads to be displayed in a subtle, non-intrusive way while the user is watching the video content. Overlay ads are optimized for both relevance and performance, ensuring the user sees ads that are appropriate and that the customer's revenues are maximized.

So if you're hedging your bets that your business will be the next YouTube, Metacafe, Blip.tv or even a Hulu, this is the perfect time to upload your videos and try monetizing that content.

Martin Hayward is director of marketing for Mirror Image Internet.

Video Insider for Tuesday, March 17, 2009:

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