Wednesday, May 25, 2011

YouTube Tests New Ad Scheme 'First Watch'

YouTube advertisingOnline video giant YouTube is just getting bigger and bigger. More and more companies want to improve their awareness through YouTube. Also, YouTube has been working on its advertising efficiency. It's said that YouTube is tesing a new advertisement scheme called 'First Watch'. So far there have been only two reports about the new advertising program. So I'm going to pick the keypoints from these two reports.

The first report is posted by New York Times
. Below are the keypoints of this report:
1. Recently, more and more Internet users' attitude towards 'pre-roll' ad over a video have softened.
2. The new ad program 'First Watch' is to expand the opportunities for advertisers. This kind of ad appears only once when a user views a video on YouTube the first time each day.
3. 'First Watch' is currently rather successful. As Baljeet Singh, senior product manager for video monetization at YouTube said:"The commercials on the youtube.com home page have been "highly successful[..]"
4. The First Watch program is only available to YouTube partners.
5. Here are some advertisers who have been involved in 'First Watch': Tommy Hilfiger, Hotels.com, the Lifetime cable channel, the Macy's unit of Macy's Inc. and Virgin Mobile.
6. The new ad delivery scheme is generating click through rates at about 1 percent, which is higher than normal advertising.
7. The advertisers declined to discuss what YouTube was charging them for the First Watch preroll. But it's "but less expensive" than YouTube YouTube charges normally.

The second report is from the TheNextWeb.com. Generally, it has some similar views with the first report. So I will not go into the detail of it.


Off topic:
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