You may hear it as crazy. But it’s happening. Facebook wants to show more and more ads to people who watch facebook videos and will share the money of the ad with the video publishers.
Sources from the industry say the FB network is going to start testing new “mid-roll” ad format, which will give the video publishers a chance to insert ads into their videos after people have watched those videos for at least 20 seconds.
For now, Facebook will sell ads and will share that revenue with video publishers, giving them 55 percent of all business. Wait. Have you heard this anywhere else? Yes, you may have heard it. Because. That’s the same price given by YouTube, who dominates the whole online video ad business.
If this new ad plan takes off like facebook thinks, it could provide the first chance of many video publishers have had to make some real money from the stuff they have been running through Facebook.
Facebook began moving aggressively to show videos to its users a couple of months ago, and by last year last, authorities said users are watching 100 million hours per day. But unlike almost everyone else in the ad business, Facebook CEO Mark Zuckerberg has forbidden “pre-roll” video ads, which run just before a frame starts.
Which means almost all publishers have seen little or no ad revenue from the videos they showed on Facebook, even though many users are spending a good amount of resources trying to build up a video presence in facebook platform.
Last year, Facebook started allowing video publishers to make videos sponsored by advertisers, which has helped some publishers — most notably Buzzfeed’s Tasty unit — to make significant ad money. Industry Sources convey that decision came after BuzzFeed authority complained to Facebook authority that they are not getting enough money from Fb video.
Facebook has also tried other experiments to create advertising opportunities for publishers. In the year 2015, they created a separate video section and allowed some video publishers to share revenue from standalone video advertisements it ran in FB platform. Last year, Fb also began testing & checking mid-roll ads in live videos.
The current plan Facebook is trying now could have the biggest impact since it includes all kinds of videos throughout the network.
A Facebook representative declined to comment about it. But last fall, Fb VP Dan Rose, who runs the company’s content operations, told that he was expected to talk about enlarging the mid-roll ads and was trying in live videos to more video formats “mostly by early next year.”
The parameters of new ads platform also convey that Facebook is promoting more importance on the ‘time’ which people spend watching FB videos, rather than the total number of FB videos they watch.
But until now, Facebook has said, a “video view” as any time a user watches a clip for a minimum of three seconds. That’s been a source of controversy in the media business, especially since Facebook automatically plays videos when they show up in users’ feeds.
But according to the new Facebook ad plan, a video can only run once a viewer has finished watching a clip for at least 20 seconds. And the video can also only appear in videos that run for at least 90 seconds. In other words, Facebook is conveying its video publishers that in order to generate money, they need to produce clips that will play on for a while and engage users’ attention.