TubeMogul

Are pre-roll video ads going the way of display ads?

Despite its many critics, television advertising is a $100bn-plus a year market. So it’s not entirely surprising that the market for online video ads has evolved to look a lot like its offline counterpart.

There’s the desire, now being realized, for digital up-fronts. There is a growing focus on channels. There are Hollywood-like deal structures. And, of course, the pre-roll is the dominant ad unit.

Blip.tv: It’s all about the distribution

A major inhibitor to video revenues online so far has been audience size. Despite advances in the quality, quantity and length of videos on the web, most people aren’t watching them. To date, 99% of all video viewing is still happening in front of television sets.

But online video network blip.tv is looking to get bring its content where the audiences are. Today the
company announced a partnership with YouTube, Tivo, Verizon and Vimeo
among others to get more of its content around the web and to
television sets.

The company has long been working to distribute its content across as many platforms as possible. And today’s announcement marks a big jump in the size of the company’s footprint. That strategy is the key to the success of blip — and the online video marketplace.