Feeds

Future looks bright for video ads

Runt of the advertising litter to grow up fast

Intelligent flash storage arrays

The outlook for the future is even more positive with online video advertising in the US alone expected to be worth $4.3bn by 2011.

Despite these significant expectations for the US market, the format is still in the embryonic stages in Ireland, with the main broadcaster RTE only providing video streaming since June of this year.

"It is very early days for advertising around streaming video content, but we expect that it will become a popular format by Christmas and will be widely used in 2008," said Aisling McCabe, sales and business development manager for RTE.ie.

Video ads are delivered in two formats: Rolling over traditional banner ads can make them play video content, or ads are simply presented at the start or end of video content accessed by users online.

The latter format has been adopted by RTE, with 15-second ads appearing at the start of every second video stream, meaning users won't necessarily have to put up with ads on every video they access. Ford was the first to use the service with an ad for its Mondeo car.

Stephen McCormack, chief executive of Wildwave, a firm that provides and distributes online video channels, explains that the online video format offers advertisers a different way to engage with their target market.

"Video advertising is very attractive as you can get more attention and more interaction from the viewer than with banners or Google ads," he said.

The launch of sites such as YouTube has seen TV viewers flock online in search of new content. However, while the short burst of content available on video sharing sites such as YouTube is free, professionally-produced programmes online tend to come on a pay-per-view basis, a major disadvantage compared to traditional television.

McCormack said advertising offers a means to even the odds. "There is less of a willingness among internet users to pay for content online and carrying advertising presents a way to deliver this content for free," he said.

The past year or so has seen several video streaming providers, some legal and some not so legal, pop up and become popular among users. The provider creating the most buzz at present is the legal, and therefore advertiser-friendly, Joost. The service, pronounced "juiced", has over one million subscribers already, no small feat considering it has not officially been launched yet.

Viacom, which owns MTV and Paramount Pictures, and Wallace and Gromit creators Aardman animations are among the media companies committed to the format.

With Irish advertisers demanding more means to deliver video content online, providers like Joost may be just what they need to quench their thirst.

© 2007 ENN

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
The 'fun-nification' of computer education – good idea?
Compulsory code schools, luvvies love it, but what about Maths and Physics?
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.