Google's purchase of YouTube has finally resulted in a new platform for Google to extend its dominance in the online ad space.
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With 51 million users in June, according to Nielsen/NetRatings, YouTube now attracts an audience that is larger than the combined audiences of its three nearest competitors, MySpace, AOL and Yahoo. Its adoption of overlay ads for online video could turn the format into an industry standard, advertising executives said. The video ad market, which is expected to nearly double from last year to $775 million, has been projected to grow to $4.3 billion by 2011, according to eMarketer, a research firm.
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Ads are going to appear in the bottom fifth of videos that are authorized to receive ads. That means the copyright-infringing John Stewart or Colbert clips won't have ads on them nor will the user-submitted video the amateur video star dancing in her bikini submitted. Procter & Gamble wouldn't appreciate an ad for squeaky-clean Tide™ appearing underneath family-values-threatening flesh. In any case, Google's about to change the advertising game...again.
NYTimes.com: Google Aims to Make YouTube Profitable With Ads (free subscription required)
Written while groovin' to Champion Sound (Instrumental) from the album “Champion Sound (Deluxe Edition)” by Jaylib
Posted by Pedraum at August 22, 2007 09:52 AM | TrackBack |