YouTube introduces search term ads

Written by Matti Robinson @ 13 Nov 2008 8:39 User comments (7)

Google-owned Youtube has introduced a new ad platform to turn the heads of advertisers. In addition to traditional text ads YouTube now allows search term based adverts that are displayed on the top of the search results. Like the ones on Google search the YouTube search term ads are separated from the actual results by their background color.

Costing Google a hefty $1.76 billion YouTube has not yet turned into a money making machine. However, the integration of the new ad platform was not as an easy task as one could've thought.

"In hindsight, it is a natural transition for YouTube to make. We've been working on this for months. The key was, we wanted to make sure we got it right. There are a lot of intricacies involved. YouTube is a video discovery platform. We've been integrating with Google AdWords for some time, and now we're at a place where it can be win and win," said YouTube product manager Matthew Liu to CNET News.

There are no limitations regarding who can buy the ads but due to the formula used to determine ad placements - combining popularity of the video and money paid - companies will most likely buy off the most popular search terms. There will be however a chance to buy yourself the 15 seconds - or minutes in this case - of fame.

Search ads are currently used only in the U.S. but will be expanded to other countries and regions in the future as well.

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7 user comments

113.11.2008 15:18

Leningrad

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Evntually google will put so much crap on youtube that everyon ewill stop using it. know your place google.

213.11.2008 15:50

ugc

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ads are the biggest turnoff to the Internet to me. I use everything I can to block advertising ...(sorry afterdawn..lol)

313.11.2008 16:03

techoter

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Whenever I see a paid ad on YouTube's homepage -- the kind that is featured on the main page -- they have like two starts (with the exception of the Starbucks viral video last week). I have a feeling there's going to be some backlash against this, as far as ratings go. If I were an advertiser, I would not want my brand represented that way.

413.11.2008 16:20

AuWolf

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Heheh I hardly see any ads. I use adblock and if I do see them I hide them lol

513.11.2008 16:27

techoter

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These are not ads preventable by ad blocker, they are videos posted on YouTube just like any other -- the difference is that someone's paying for them. I think it can be an effective form of marketing if done right. Of course the grass-roots, non-paid avenue is always ideal (because that means that people like it!).

613.11.2008 17:34

slickwill

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Originally posted by ugc:
ads are the biggest turnoff to the Internet to me. I use everything I can to block advertising ...(sorry afterdawn..lol)

Wait, Afterdawn has advertisement? I guess I never noticed b/c I'm using the Ad Block Plus plugin for FireFox.

721.11.2008 01:11

musiclily

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SPAM SPAM SPAM
is your best friend!!!

This message has been edited since its posting. Latest edit was made on 22 Nov 2008 @ 5:20

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YouTube introduces search term ads

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