I. Introduction

In this article, we will cover the different types of instream video ads, including pre-roll, mid-roll, and post-roll ads. We will also discuss the considerations for both advertisers and viewers, including goals and targeting options for advertisers and the viewer experience and ad length.

We will delve into the various ad formats and placements available for instream video ads, including linear, nonlinear and companion ad formats. We will also explore the different monetization options available to website publishers, including cost per impression, cost per view, and cost per action.

We will provide best practices and tips for website publishers looking to optimize their instream video ad campaigns, as well as case studies and examples of successful instream video ad campaigns to provide insight and inspiration.

a. Definition of instream video ads

Instream video ads are a type of digital ads that are played within the video content on a website or platform. They are typically short, 15-30-60 second clips that are placed at the beginning, middle, or end of a video. Instream video ads can be skippable or non-skippable, depending on the platform and the advertiser’s preferences.

b. Importance of instream video ads for website publishers

Instream video ads can be a valuable source of revenue for website publishers. As more and more people consume online video content, advertisers are increasingly turning to instream video ads as a way to reach their target audience. Instream video ads are the most effective way for website publishers to monetize their video content and generate income from their website or platform.

Instream ads offer the highest CPMs. By allowing advertisers to place their ads within the publisher’s video content, website publishers can create a new revenue stream that is directly related to the popularity of their videos.

The use of instream video ads will be a win-win for both advertisers and website publishers. Advertisers get access to a highly engaged audience, and website publishers get a new source of revenue.

c. The differences between instream and outstream video ads

In addition to instream video ads, which are played within the video content on a website or platform, there are also outstream video ads, which are played outside of the main video content. These types of ads are typically displayed within a banner or banner-like ad unit on a website or platform, and they are often set to autoplay when the webpage is loaded.

There are several key differences between instream and outstream video ads:

• Placement: As mentioned above, instream video ads are played within the main video content, while outstream video ads are played outside of it. This means that instream video ads are typically more closely tied to the video content itself, while outstream video ads are not connected to video or article content on the page.
• Format: Instream video ads are typically shorter, 15-30-60 second clips that are played at the beginning, middle, or end of a video. Outstream video ads, on the other hand, can be longer and can take a variety of formats, such as pre-roll, mid-roll, or post-roll ads.
• Viewer experience: Because instream video ads are played within the main video content, they can be more closely tied to the viewer’s experience and engagement with the video. Outstream video ads, on the other hand, can be more disruptive and unrelated.
• Monetization: Both instream and outstream video ads can be monetized in a variety of ways, including cost per impression, cost per view, and cost per action. However, the specific monetization options and pricing models may vary depending on the type of ad and the goals of the advertiser.
• Revenue: On the same viewability rate, instream ads have much higher CPMs. If the instream ads have floating functionality, then they will have higher fill rates than outstream ads.

II. Types of instream video ads

There are various types of instream ads according to the IAB standards.

a. Linear instream ads

Linear instream ads are the top performing ad formats.

Pre-roll ads: Ads played before the main video content. Pre-roll ads are the most common type of instream video ad, and they are played before the main video content on a website or platform. They have the highest viewability, and the highest CPMs.

Mid-roll ads: Ads played during the main video content. Mid-roll ads are played during the main video content, typically at natural breaks or transitions in the video. These types of ads are less common than pre-roll ads, but they can be more effective at capturing the viewer’s attention, as they are already engaged in the video. Mid-roll ads have lower CPMs and viewability than pre-roll ads but have higher CPM and viewability than pot-roll ads.

Post-roll ads: Ads played after the main video content. Post-roll ads are played after the main video content has finished, and they are the least common type of instream video ad. These types of ads can be useful for advertisers who want to reach viewers who have watched the entire video, as they are likely to be more engaged and receptive to the ad. Post-roll ads have lower viewability and CPMs than both pre-roll and mid-roll ads

Pre-roll ads are the most popular type of instream video ad, but mid-roll and post-roll ads can also be effective at reaching and engaging viewers depending on the context and the goals of the advertiser.

b. Non-linear instream ads

Nonlinear video ads are a great way for website publishers to monetize their streaming content. These ads are served as images to “overlay” the video and run concurrently with the content, allowing viewers to see the ad without interruption. Nonlinear video ads offer website publishers more flexibility than linear ads, as they can be delivered as text, static images, interactive rich media, or as video overlays. Additionally, these small overlays can be used as invitations to further engage viewers with a more robust set of interactions. As with linear ads, nonlinear video ads can be served with companion ads for added revenue potential.

c. Companion ads

Companion instream ads provide extended visibility of a sponsor throughout the streaming video experience. These ads come in numerous sizes and shapes and can be delivered in the form of text, static image display ads, rich media, or skins that wrap around the video player. When served in conjunction with a master ad, either linear or nonlinear, the primary objective of the companion ad is to maintain the sponsor’s presence during the streaming video experience.

III. Advertiser, publisher, and viewer considerations

a. Advertisers’ goals and targeting options

Advertisers have a variety of goals when it comes to using instream video ads, including brand awareness, lead generation, and direct sales. To help achieve these goals, advertisers can use targeting options such as demographics, interests, behaviors, and location to ensure that their ads are being shown to the right audience.

According to the study by IAB, video ad spending increased from $26.2B in 2020 to $39.0B in 2021:

b. Publishers’ revenue and CPMs

For website publishers, instream video ads can be a significant source of revenue. The amount of revenue that a publisher can generate from instream video ads depends on a variety of factors, including the popularity of the video content, the demand for ad space, and the ad format and placement.

c. Viewers’ experience and ad length

While instream video ads can be a valuable source of revenue for website publishers, it is important to consider the viewer experience as well. Long or disruptive ads can negatively impact the viewer’s experience and lead to a decrease in engagement and retention.

To optimize the viewer experience, it is generally recommended to keep instream video ads as short as possible while still delivering the desired message. The optimal length for instream video ads is 15-20 seconds, with longer ads experiencing a significant drop-off in viewer attention after the first 30 seconds.

Most instream ad platforms will count a 5-6 second view as a completion. The skip button should be active after 6 seconds to guarantee a completion.

It is important for advertisers, publishers, and viewers to consider the goals, targeting options, and viewer experience when it comes to instream video ads. By striking the right balance, website publishers can effectively monetize their video content while also providing a positive experience for viewers.

IV. Monetization options for website publishers

According to IAB research, publishers mainly offer Cost per mille (CPM) (92%) and CPCv (58%) metric reporting.

Cost per impression (CPM): The cost per impression (CPM) is a commonly used pricing model for instream video ads, and it refers to the cost that an advertiser pays for every 1,000 impressions of their ad. This model is based on the number of times the ad is displayed, regardless of whether it is actually viewed or clicked on. CPM pricing is the best option most of the time.

CPM pricing is often used for brand awareness campaigns or for ads that are targeting a wide audience. It can be a good option for website publishers who have a large volume of traffic and want to monetize their ad impressions.

Cost per view (CPV): The cost per view (CPV) pricing model is based on the number of times an ad is actually viewed, rather than just displayed. This model is often used for campaigns that are focused on driving engagement or conversions, as it rewards advertisers for ads that are actually watched by viewers.

CPV pricing can be a good option for website publishers who have a smaller volume of traffic but want to maximize their revenue per view. It can also be a good option for advertisers who want to ensure that their ads are being watched and are reaching their target audience.

The choice of monetization option depends on the goals of the advertiser and the target audience, as well as the volume and nature of the traffic on the website. Website publishers should consider the pros and cons of each option and choose the one that is most likely to be effective for their specific goals and audience.

V. Best practices for website publishers

Optimizing ad placements and formats: One of the key factors in optimizing instream video ad campaigns for website publishers is the placement and format of the ads.

The highest revenue-generating placements for instream video ads are typically above the fold positions such as mastheads and leaderboards, as well as video players that float on scroll. These types of placements are highly visible and can capture the attention of a wide audience.

In addition, the higher positions tend to result in higher cost per thousand impressions (CPMs) and higher fill rates. Using a floating video player can also boost fill rates by up to 10 times, and larger video players will have higher CPMs.

To optimize ad placements and formats, website publishers should consider the placement and size of the video player, as well as the type of ad unit being used. For example, debloating the player to load ads quickly can help increase fill rates, even for short-time spending visitors or for those who disable the ad unit quickly.

Testing different monetization options: Another important factor in optimizing instream video ad campaigns is testing different monetization options to find the one that works best for the publisher’s specific goals and audience. This might include testing different pricing models, such as cost per impression, cost per view, or cost per action, to see which one generates the most revenue.

Website publishers should also consider testing different ad formats and placements to see which ones perform best. For example, some formats and placements may be more effective for brand awareness campaigns, while others may be better suited for direct response campaigns.

VI. Conclusion

We have covered instream video ads, including the different types of instream video ads, advertiser and viewer considerations, ad formats and placements, and monetization options.

We have also discussed the importance of optimizing ad placements and formats, testing different monetization options, and providing value to viewers through relevant and engaging ad content.

Instream ads can be a valuable source of revenue for website publishers, and by staying up-to-date with industry trends and best practices, publishers can effectively monetize their video content while also providing a positive experience for their viewers.

Looking to the future, it is likely that instream video ads will continue to evolve and grow in popularity as more and more people consume online video content. Website publishers who stay up-to-date with industry trends and best practices will be well-positioned to capitalize on this trend and maximize their revenue from instream video ads.

CineWeb offers top performing instream ad units without the hassle of having to produce engaging video content. We provide video content and monetize all your article pages with instream video ads to multiply your website ad revenue.

FAQ

The post Everything website publishers need to know about instream ads appeared first on Digital ads agency & Supply Side Platform.

Instream and outstream ads are two types of video ads. Instream ads are the ones that are played before, during, or after the main video content on a website. Outstream ads are the ones that are not played directly on the website but on a network of websites that the advertiser has partnered with. Both instream and outstream ads have their pros and cons. We will analyze both ad types in detail to give you a understanding of which ad unit suits best for your website/app or marketing purposes.

What are instream ads?

Instream video ads are a type of video advertising that appear between content on websites, apps, and social media platforms such as Facebook, TikTok, Instagram, as well as video platforms such as YouTube, Vimeo, Daily Motion. Unlike outstream video ads, which are mostly skippable after a 4-6 seconds, instream video ads must be watched before the user can continue to view the content. Instream video ads come in a variety of formats, including pre-roll (before the video content), mid-roll (during the video content), and post-roll (after the video content). Depending on the platform, they can also be skippable or non-skippable.

Instream video ads are an effective way to reach a wide audience with your message. They can be used to promote your brand, product, or service, and can be customized to target specific demographics.

As a website publisher, you’re always looking for new ways to monetize your site and generate revenue. Instream and outstream ads are both good ways to monetize your website. And, in today’s digital world, video advertising is the most effective way to do just that.

Instream video ads are a type of video advertising that appear before during or after video content on websites, apps, and social media platforms. Instream video ads come in a variety of formats, including pre-roll (before the video content), mid-roll (during the video content), and post-roll (after the video content). Depending on the platform, they can also be skippable or non-skippable.

Instream video ads are an effective way to reach a wide audience with your message. They can be used to promote your brand, product, or service, and can be customized to target specific demographics.

When it comes to website monetization, instream video ads are a great option. They’re easy to implement, and can be highly effective in generating revenue. So, if you’re looking for a new way to monetize your website, consider using instream video ads.

A well configured instream video ad unit may bring 2-13x revenue of any display banner.

Pros of instream ads

Instream video advertising has many benefits that website publishers can take advantage of. These benefits include:

• Increasing website revenue more than any other ads: Instream video advertising can help website publishers increase their website revenue. This is because video ads tend to have high CPMs, click-through rates and can be very effective in increasing website revenue: refer to our guide on how to increase digital display ads performance.
• Multiply your inventory: Instream ads can have more than 100% fill rate and websites/apps can double or even triple their inventory.
• Improving website user experience: Instream video advertising can also help improve the user experience on a website. This is because video ads can be used to improve the content on a website and make it more engaging for users.
• Not intrusive: The main benefit of instream video ads is that they are a relatively unobtrusive way to monetize content. Website visitors are typically used to seeing ads on websites, and so instream video ads are unlikely to cause much annoyance or disruption.

There are several benefits of using instream video ads for the advertisers, including the ability to target a specific audience, the ability to track user engagement, and the ability to generate income from advertisements.

According to Google, the benefits of instream ads for advertisers are:

• Drive conversions, influence consideration, and reach new users across multiple devices with your ads, including desktop computers, phones, and TVs.
• Bid for what you care about. Depending on your campaign goal, you can pay based on overall impressions, or when viewers watch your ad completely or interact with the video (whichever comes first).
• Add interactive features like call-to-action buttons, sitelink assets, product feeds, and more to your ads to encourage people to interact with your brand or business more.

Cons of instream ads

There are also some negatives that website publishers need to be aware of when using instream video advertising. These negatives include:

• Potential for high costs: Another potential negative of using instream video advertising is that it can sometimes be expensive. This is because video ads can be costly to produce and to host. As CineWeb, we handle the costs of hosting and serving videos and video ads.
• May affect user experience: Instream video ads can have a negative impact on the quality of the video content if they are unskippable. When they’re often unskippable, they can force users to watch low-quality, pre-roll ads. We use top quality ad demand and provide highly related ads by precision targeting and semantic analysis of the video and the text contents for our instream ads.

What are outstream ads?

Outstream video ads are a new and exciting way for website publishers to monetize their content. By placing these ads in strategic locations on their site, publishers can maximize their earnings potential without having to sacrifice the quality of their content.

So, what exactly are outstream video ads? Outstream video ads are basically video ads that are played outside of the traditional video player environment. In other words, they can be placed anywhere on a website, as long as there is enough space for them to load and play properly.

This new format of video advertising has already proven to be quite popular among website publishers, as it offers a great way to monetize their content without interrupting the user experience. If you’re a website publisher looking to maximize your earnings potential, outstream video ads are worth considering in certain cases where publisher cannot use a floating in-read content player above the fold.

Pros of outstream ads

Outstream video ads are a type of video advertising that allows website publishers to monetize their content with video ads that may or may not be interruptive.

Benefits:

• No content needed: Outstream video ads are also a great way to reach a wider audience as they can be placed on websites that don’t have a lot of video content.
• Flexible: Outstream video ads are flexible in that they can be placed almost anywhere on a website or within content.
• Effective: Outstream video ads are an effective way to monetize content as they are not easily ignored by users.

Cons of outstream Ads

Here are the disadvantages of outstream ads for website/app publishers:

• Potentially intrusive: Some users may find outstream video ads to be intrusive, especially if they are not relevant to the content they are consuming.
• Can be disruptive: If not placed properly, outstream video ads can disrupt the user’s experience.
• Low revenue: Outstream video ads create lower revenue compared to floating instream video ads.

The differences between instream and outstream ads, and which one is right for your business?

If you are an advertiser, instream ads will work much better for return on ad spend (ROAS) purpose than outstream ads. According to the research of Wyzowl, “88% of people said they would like to see more video from brands in 2022. And 73% of people said that a short video is their favorite way to learn about a product or service.”

As a website publisher and if your goal is to generate revenue, then instream ads are typically the better option. That’s because they have a higher CPM (cost per thousand impressions) than outstream ads. In other words, you’ll make more money per view with instream ads.

However, if your goal is to maximize ad fill rate (the percentage of ad impressions that are actually served), then both instream and outstream ads can be typically good options depending on how to setup instream ad units. When the instream ad unit starts in the content and floats (or becomes sticky) after scrolling, then it is the highest fill rate generating setup.

Ultimately, the decision of which one to use comes down to your specific goals and needs. If you don’t have a good banner space for instream or in-read ads, then outstream ads may be a wiser choice. If you’re not sure which one is right for you, experiment with both and see which one performs better.

Conclusion

Instream and outstream ads are great ways to monetize your website inventory. Instream video advertising is typically the better option for website publishers looking to generate revenue. This is because instream ads have a higher CPM (cost per thousand impressions) than outstream ads. Instream ad units will have high fill rates when they are configured to float and get a sticky position after scrolling the webpage. In other words, you’ll make more money per view with instream ads. If your goal is to maximize ad fill rate (the percentage of ad impressions that are actually served), then both instream and outstream ads can be typically good options depending on how to setup instream ad units.

We hope this quick overview has given you a better understanding of instream and outstream video ads and how they can benefit you as a website publisher. If you have any questions, feel free to reach out to us and we’ll be happy to help. CineWeb instream ad units have open market demand plus direct deals from top global companies to ensure you get the maximum revenue without need to sell your inventory directly.

If you are looking for the meanings and explanations of digital advertising terms, you can check our digital advertising glossary.

FAQ

The post What are instream and outstream video ads exactly? appeared first on Digital ads agency & Supply Side Platform.