Multiplatform TV: Turning Video Streams Into Revenue Streams

Step up online ad load, and don't count out pre-rolls

By Michael Malone -- Broadcasting & Cable, 5/3/2012 6:08:24 PM

New York -- Online video viewing is doing fantastic, agreed the panelists on the "Making It Count: Monetization Models for Multiscreen Video" panel that closed out Thursday's "TV in a Multi-Platform World" event presented by Multichannel News, B&C and TV Technology.

More vexing is turning those views into cash.

The panelists, ably moderated by B&C business editor Jon Lafayette, discussed tailoring ads, and ad loads, to individual users. A wide array of ad delivery philosophies exists; Aaron McNally, head of Google TV Ads, mentioned user-friendly strategies at Hulu and Google's own YouTube. "It's proven to be a very good experience for users," he said of YouTube's TrueView setup, which gives users a major say in their ad viewing.

Dan Erck, senior director, ad platform at Adobe Auditude, said it's on content distributors to step up the ad loads. The most aggressive ad deliveries may be half of what viewers see on TV, he said. "Folks are way too conservative in their push with ad loads," said Erck.

Tried and true pre-rolls, noted Chris Wilson, president of national linear television at Rentrak, score 15% higher in the ratings firm's retention index than the featured video that follows.

The panelists also debated the virtues of tapping ad networks, relying on more personal contact for marketing deals, or a mix of both. Networks are "very nervous about relegating high value content to an automated ad experience," said Frans Vermeulen, senior VP of revenue and strategy at FreeWheel.

A hybrid model, panelists said, may be the right solution.

Effectively measuring usage on the various video screens remains a serious challenge. "The key is to make sure everyone speaks the same language [in terms of metrics]," said McNally. "Once standardization happens, you'll see much more robust measurement regime."