Posted May 23, 2006 8:16 am by with 1 comment

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Over at the Inside AdWords blog, comes news that Google is launching video ads for AdWords. Now, don’t go getting all excited about running video ads on Apparantly, running video ads on the Google network would devalue the user experience, but running them on Google’s AdSense network, well, those people don’t have any self-respect so they’re fair game. 😉

What exactly are we getting from the new video ads?

First, as with all AdWords ad formats, video ads will compete for placement on sites in the Google content network with other text, Flash and image ads — and, as with our other image ad placements, you can choose to bid on a CPC or CPM basis.

Second, these ads will be supported by both site- and keyword-targeted campaigns. You can choose to serve your video ad on a specific site or on pages in our content network that relate to your product or service. As always, you have the ability to geo-target your video ads internationally, nationally, or locally.

Unlike some video ads that start automatically or when you mouse over the image, Google’s video ads will only play if the user actually clicks the “play” button. Those would be the same people that say “honey, let’s not fast forward thru the TV commercials, I’m hoping to see that funny Geico ad with the cavemen for the millionth time”.

It will be interesting to see if Google can make a success of this new format. I expect to see a lot of initial interest from consumers, curious to see the quality and format of the ads, but after the novelty has worn off, I can’t see too many people actively clicking on the “play” button. However, we know Google will do everything it can to make them a success. After all, it’s more than just a few thousand video ads on the Adsense network that is at stake here, Google is hoping to take over the world TV ad industry with its performance pricing model.