Online ads might be working well for news sites, but YouTube is always looking for a bigger piece of the online video advertising pie. As of today, Google is testing skippable ads on YouTube, as part of its ongoing search for the “right” way to monetize the most popular video site on the web.
The test will run with videos from content partners who have opted in to the program. The preroll ads will feature a link to skip through the ad and go straight to the video content.
MediaPost says that this test will provide Google with a demographic break down of their audience for high quality ads:
The test that determines if and when people watch the video clips will provide Google with insight into the type of person who may skip an ad, what type of ad they might skip, and what piece of content does better than another. Google also will look at whether some ads are skipped in a specific portion of the session. Does the person skip the ad in the first video versus the third during a 30-minute time slot while on YouTube?
This information could be assembled into another ad method: “The model is cost per engagement, where advertisers would only pay for opt-in engaged views of the ads.” Phil Farhi, product manager at Google’s YouTube, mentions that the promoted videos model is another example in this area, and in the future, there could be a model where advertisers only pay for complete plays of their ads.
They’re also comparing TV ads vs. video ads created specifically for online audiences. Generally, television ads take 30 seconds to make sure viewers get the message, image and contact/purchase information (call to action). Online, the call to action can run along side the video, in accompanying text that remains after the ad is over, they can use direct links or other methods.
What do you think? Will you skip ads on YouTube? Could this finally be the way to monetize YouTube?