Skip to main content

What are the different advertising options available on YouTube?

By May 18, 2016November 18th, 2018Digital Marketing

If you have the habit of watching YouTube videos, especially on your mobile phone or tablet, then you would be familiar with the term “SKIP AD” along with this countdown message “You can skip ad in 5, 4, 3, 2, 1 second”. But at times when you really wanted to skip that repetitive annoying ad, the Skip Ad option doesn’t turn up, leaving you with no other option but to watch the ad. If you have ever wondered what this phenomena is, it’s nothing but advertisements displayed in different YouTube ad formats.

YouTube offers ad display primarily in four different categories, some under the TrueView format. Ads displayed under the TrueView follow a cost-per-view (CPV) policy, while the advertisers only have to pay if someone chooses to watch their video. This is a win-win both for the viewer as well as the advertiser as it give viewers the option to skip the advertisement, while the advertisers end up paying only for actual view. Read on, if you wish to know more about each of these ad formats.

YouTube Advertising Formats

1. Display Ads or In-Search Ads

Display Ads are search based ads that appear alongside the currently streaming YouTube video, above the video suggestions list. These are similar to the Google text ads which appear on the screen based on matching keyword searches. Since the YouTube advertising market is less saturated as Google, advertising in this format helps those who are unable to compete for popular keywords on the Google search engine. Advertisers need to pay only for ads that the viewer begins to watch.

2. CTA Overlay Ads or In-Video Ads

Call-To-Action Overlay Ads are in-video banner ads that appear on the lower middle portion of the video. CTA overlay ads consist of three components- a headline text, destination URL and thumbnail. The headline text is a single line with up to 25 characters that prods the readers to click the destination URL. The destination URL could lead to a location within or outside of YouTube. The In-Video ads appear at the starting of a YouTube video and collapses after 15 seconds to show just the thumbnail image.

3. Skippable In-Stream Ads

Skippable ads are in-stream video ads that appear at the starting or during another monetised YouTube video. This ad format come under the TrueView ad format where the sponsor will be billed on a cost-per-view (CPV) basis. According to YouTube, the majority of pre-roll ads that appear on YouTube are under this category as it is a win-win both for the viewer as the advertiser. While the viewers can skip an ad if they find it irrelevant, the advertisers benefit as they only have to pay if the viewer chooses to watch the video for 30 seconds, or until the end.

4. Non-Skippable In-Stream Ads

As the name suggests, this one’s similar to the previous format, with the difference that non-skippable video ads must be watched in full, before the viewer can move into the main video. Under this format, the advertisement length is limited to 30 seconds. These ads can appear before, during, or after the selected video. According to YouTube, non-skippable in-stream ads have higher video abandonment rates than other TrueView ad formats. Therefore while enabling non-skippable ad option, the YouTube Channel Partner should apply proper caution and discretion so as to maintain proper balance between views, watch time and revenue for your channel. Though it may appear as a highly lucrative idea to enable non-skippable ads across your video content, it is good to note that it may also lead to lower video views and watch time.

Leave a Reply