Will Video In-stream And Pre-Roll Ads Beat Overlays?


Video overlay ads of the sort offered by YouTube will command just $184 million in ad spending by 2013, according to new research from JupiterResearch.
While that represents a significant rate of growth over the estimated $20 million marketers will spend on overlays this year, it’s tiny compared to the nearly $1.9 billion Jupiter believes they’ll sink into their in-stream buys, and the $1.3 billion it says they’ll invest in video banner ads.
YouTube continues to dominate video consumption. According to Jupiter, Google sites represent 34.8% of all video views on the Web, while none of its contenders command more than 7%. Yet, Google faces continued obstacles to monetization partly because marketers prefer pre-roll to overlays. [Via]
Personally, overlays seem a lot less intrusive, while pre-rolls and in-stream attempt to replicate the television environment. While the research seems to show that advertisers prefer the in-stream and pre-rolls, wonder which one the users prefer. Which one would you prefer?

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