New Guidelines Introduced for Online Video Ads [4/30/2008]

The Interactive Advertising Bureau (IAB) fielded suggestions from industry experts on online video ad guidelines for a month before setting new guidelines for online video ads. The new suggestions went into effect on May 5th.

One of the most noticeable guidelines dealt with the proliferation of forms. Many consumers find them annoying and it makes ad selling more difficult. Hence, industry experts hope there will be less of them.

Mostly, the new guidelines dealt with linear and non-linear video, and companion ads. Because this advertising medium has matured, experts felt it was time to try to standardize them to a certain point to stimulate revenue growth.

As addressed below, revenue growth for this sector has been somewhat stunted by a number of factors. Streamlining rules and procedures can only encourage their attractiveness to potential advertisers.

Industry members who help to create the guidelines were careful to point out that creativity was encouraged and not stifled. To that end, only minimum standards were created, so as not to inhibit originality and industry advancement.

Revenue Growth Stunted for Online Video Ads
Video ads cost more than static display ads. In spite of the revenue to be gained from them, Internet marketing experts believe that their lack of popularity has been stunted in part by a lack of industry standards.

As industry standards develop, experts expect spending in on online video ads to increase. In fact, eMarketer predicts that it will approach $9.5 billion in 2012, a four-fold increase over 2007 spending levels. And, it predicts that in the same time period, spending on video and online media rich ads will account for nearly 20 percent of online ad spending. This means it will almost double in five years, up from 9.7 percent in 2007.

For more insight visit Online Video development

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