Google Tests In-Stream Ads

Google, the Internet’s largest video platform, could add another service to its repertoire – the company is now testing in-stream video streaming ads. If the ads work, Google could create a service similar to AdSense that links small businesses with small-scale video creators.

by Kristina Knight

Last week Google began running 15-second spots for Allstate Insurance, the videos were developed by Beet.tv. In the past Beet has produced interviews with executives in broadband video. The Allstate ads were sold at $15 per thousand views according to Andy Plesser with Beet.tv. The two entities split the revenue.

Plesser said, the site garners about 1,000 views per day. "The site has become a very desirable industry vertical for people in the [online video] field," he said (via AdWeek).

The ads air after video content and according to Google, “offer an extremely effective platform for content providers and advertisers alike. We respect the rights of content owners and want to work with them to more broadly distribute their content and help them monetize better than ever before."

With the October acquisition of YouTube, Google has the perfect platform to spread the ads, and would likely pair the two systems. Google is also working with MTV to distribute ad-supported clips via the AdSense network.