Unbelievably, 92% of video marketers in 2023 claim that their return on investment from video is at an all-time high. It shows us that video advertising represents a fundamental change in how companies approach.
As a website publisher, you may be wondering how to be on this trend correctly. It's not as easy as placing a video advertisement on your website and waiting for the money to come in. Making smart decisions is necessary, especially when deciding which video ad type is best for your platform.
2024 is quite a challenging year for website publishers as IAB Tech Lab and Google have set new video ad definitions and specifications. With these new definitions, publishers should analyze their inventory in-depth to see how the updated definitions impact their ad placements. Today, we will look at those types and learn the pros and cons of each type. Later, you will have enough information to decide which is best to monetize your site.
Understanding In-Stream Video Ads
Let’s identify “in-stream video ads.” It’s a phrase that is widely used in digital advertising. But what exactly are they, and why should this matter to publishers?
In-stream video advertising plays inside video content where the video itself is the main content. It can appear before (pre-roll), during (mid-roll), or after video content (post-roll).
In-stream advertisements offer publishers a great chance to draw in viewers and encourage interaction, which could increase CPMs. The main requirement to apply for an in-stream video ad is to have a main video content or a dedicated video site.
Pros: In-stream video ads are difficult to ignore and increase engagement from the audience.
Cons: Some viewers may find in-stream video ads irritating. So, we need to be very careful at which time to place the ad to make it less irritating.
Understanding Accompanying Content Video Ads
Accompanying content video ads are also served in pre-, mid-, and post-roll with text-based supporting content within. This kind of video ad will start to play as soon as it enters the user’s viewport at 50%.
As the video player is not the main content, an automatic “sound-on” is unnecessary for accompanying content video ads.
Pros: Accompanying content video ads have a massive visibility and reach.
Cons: Viewers may miss these advertisements if they are completely uninterested in the video content, as the main content is text-based. Besides, they also rely on the availability of video content and a compatible video player.
Understanding Interstitial Video Ads
Interstitial video ads fill the screen when a user tries to access a website. They usually show up during transitions and natural breaks.
Pros: A greater level of engagement. Publishers know exactly who, when, and how frequently a user sees these advertisements using interstitials. As this ad appears while users wait for the next content, publishers can clearly know their characteristics and interests. When combined with an effective approach, interstitial video ads can help publishers monetize their pages without sacrificing the user experience.
Cons: Users do not click to see them. Users have no control over whether or not to view interstitial advertising, in contrast to rewarded video ads. This could be intrusive to the users.
Understanding Standalone Video Ads
These are video advertisements that don’t need video content to be played. They are visible without causing too much interruption by appearing on the website aside from the content.
Pros: Great user experience, as they are regarded as one of the least intrusive forms of video advertising.
Cons: Standalone video ads sometimes make some websites load more slowly. This could affect the site’s SEO and user experience. So, try not to use them excessively.
A Detailed Comparison to Consider
Let’s have a detailed comparison among those video ads based on three important factors: monetization potential, placement and integration, and user experience and engagement. This will help publishers keep informed before deciding which types of ads suit the site:
Monetization Potential
In-Stream Video Ads: They usually generate higher CPMs (Cost Per Mille) because of their great visibility and interaction potential.
Accompanying Content Video Ads: With high-quality content, publishers can guarantee that viewers are more receptive to accompanying ads.
Interstitial Video Ads: Interstitial video ads often generate greater CTRs because they have greater creative room due to their larger size. Additionally, they are more effective at grabbing users’ attention because they take up the entire screen without being intrusive as users can skip or close the ads.
Standalone Video Ads: They offer a non-intrusive ad experience because they are positioned outside the content.
Placement and Integration
In-Stream Video Ads: They are more appropriate for websites that primarily contain video content since they are displayed before (pre-roll), during (mid-roll), or after (post-roll) a video. To function properly, they need a video player that supports them.
Accompanying Content Video Ads: They are placed like in-stream video ads, the difference is that the video content itself isn’t the page’s main focus. The player can be sticky or floating once the video has played.
Interstitial Video Ads: They are displayed on the site’s interface until the user closes them. Users can skip it after five seconds. Usually, they appear when the page loads. Users can close the interstitial ad or tap it to proceed to the brand’s landing page.
Standalone Video Ads: Because standalone video ads are placed aside from the content, viewers can choose whether or not to interact with the advertisements. In this manner, it doesn’t interfere with users’ surfing or viewing experience.
User Experience and Engagement
In-Stream Video Ads: Users are likelier to notice them because they are integrated into the video content. This can, however, occasionally be a double-edged sword. These advertisements can potentially negatively impact viewers’ experiences if they are excessive.
Accompanying Content Video Ads: Even while viewing the video content may not have been the main reason for the user’s visit, accompanying content video ads can be exposed to the users. Only when the video enters the viewport, the ad can begin to play. Publishers can encourage viewers to watch more videos by providing contextually appropriate accompanying content, while advertisers can engage consumers with content related to their interests.
Interstitial Video Ads: Selecting the ideal times to show these advertisements can improve user experience and increase interaction. Finding natural breaks is crucial when choosing where to display interstitial video ads. Users are less likely to feel disrupted and more likely to be responsive to advertisements at these times.
Standalone Video Ads: They can be positioned throughout a page and more successfully grab users’ attention.
Choosing the Right Format
Know Your Audience: Understanding the behavior and preferences of your audience is essential. Do they interact with video content more often? Do they mind if advertisements break up their videos, or do they prefer less intrusive commercials when they browse? For a viewership that enjoys watching videos, in-stream advertisements may be ideal.
Set Specific Monetization Goals: In-stream advertisements may be your best option if your main objective is to maximize revenue from high CPMs. On the other hand, other formats can be the best option if your objective is to monetize more of the content on your website without compromising the user experience.
Your Content: In-stream advertisements might be a great way to monetize your website if it primarily features video content / a video site. On the other hand, other formats provide a way to include video advertising without producing video content if the majority of the material on your website is text or image-based.
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