Internet Marketing using Social Networks

I’ve just been reading an interesting article in Forbes magazine about YouTube. Apparently advertising rates for display ads on pages with user generated content has collapsed with rates on FaceBook, MySpace and YouTube having fallen 45% since Febuary this year… Forbes state the cost is now 18cents per 1000 page views… hmmm much cheaper than Google! But whats the problem here?

Well, it may have something to do with the fact that the conversion rates for those 1000 page views are extremely low. They can’t be very well targetted at all, so you just stick your ad up there and hope for the best. Just like a lot of people to with magazine ads or the Yellow book…

Apparently YouTube has done a lot of experimenting with ad formats and found some (Forbes says surprising) results.

Get this: Pre-roll video ads prior to the main video cause the viwer to click away 70% of the time. Surprising? I don’t think so. Those pre-roll, pre-view ads are abnoxious. Theres an example of advertisers thinking ‘we’ve got you by the short hairs so you just be a good girl and sit and watch our advertising dross for 20 seconds before we give you what you’re really looking for’… 70% say ‘F*&% you!’ and click away… go figure…

Short banners that pop-up from the bottom of the video window are better, with people clicking those ads 8 times as often as standard display ads next to the video… means you gotta get your ad integrated with the content, bet thats pricey :). These pop-up or roll-over ads are more effective if they appear 15 seconds into the video. So what that tells me is 15 seconds is all you got before the viewers attantion span has waned and they are looking to move on, ‘oh look, a banner has appeared, lets click on it aimlessley…’ yehaaw, the miracle of the internet as an advertising media.

When the roll-over is run in tandem with a display ad next to the video the chance of someone clicking can be 46 times as good, whew.

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