Tag Archives: placevine

What Media Buyers Need to Know About Online Video

What perfect timing. I watched this “New Media Minute” by Daisy Whitney, and  was interrupted by a Product Director who’s seething over his clueless media buyers. My client, like me, is perplexed and annoyed by the inability of most media buyers to speak succinctly to brands about two simple things: whether the media spend is, simply, “on strategy” and “on budget.”

The details are noise, and we just want to be convinced the media-buying firm is not completely clueless. Like maybe they’re buying based on efficient and high-impact opportunities and not to payback for the dinner AOL bought. I mentioned that some media buyers are the people from high school that could have chosen careers selling cars or mortgages, and generally had C averages (but to be fair, they dressed well and always knew how to tap the keg). He recounted his friend who “was probably 400 in a class of 399” and is now quite wealthy in the media space.

I really shouldn’t poop on media buyers until I walk a mile in their Manolos.

On a particularly good hair day, Daisy Whitney tells us Pepsi's putting its Superbowl coinage into creating its own BudTv.

But imagine how frustrating it is — to a marketer and video creator — to read eMarketer reports that online-video is projected to grow at a bullish 30-40% annually…. but knowing that it’s all in the hands of career buyers of print and television who like driving f’ing awareness & attitudes and CPMs and anything else you can’t connect to sales.

People, video has the great potential of driving awareness, but also trial... dare I call it a “direct response” medium that “traditional media buyers” misunderstand, fear, loathe? Media buyers are to “direct response” and sales what belly dancers are to FIFO. And even the Wall Street Journal (a publication you’ve not heard of because it requires a subscription) says snail mail is still hot.

(Oh- you’re not a “traditional media buyer” if you are reading this article, unless someone sent it to you to chastise you).

I find Daisy’s characterization of marketers and advertisers hoping to “buy not rent” audiences a bit quaint, even if it may well be accurate. How many of us wake up each morning curious to know what entertainment P&G or Kraft has cooked up for us? Seriously? Pepsi is apparently bagging the Superbowl and launching some online thing that may or may not be fabulous. It’s “the next great thing” or BudTV.com all over again. We can’t be sure, but I suspect we won’t bookmark it. It reminds me of pharmaceutical brand managers in 1999 aspiring to have their website as the “home page” of every physician. Fat chance, but sometimes time is the best teacher.

I do like the theme of marketers shifting from interruption ads to the creation of engaging content and entertainment. Yey for that! But we impatient and ADHD-driven online-video carnivores are not likely to find it without some help from PR and ad spending.

Fortunately we’re seeing some new “video” ad networks (Daisy names Yume and Scanscount) that might help media buyers go beyond prerolls. I wonder if these companies are sophisticated enough to monitor their names in social media. First company to comment below wins a free pixel.

Read this TechCrunch piece by WatchMojo’s CEO for some tips for content creators looking to snatch some of the massive online-video spending (the writer leads a company that does branded entertainment, which is about as pervasive these days as ad networks). According to WatchMojo: “Unlike articles, you can’t fool audiences as easily with videos. It’s easier to get away with a slapdash article than with a slapdash video.”

Well that’s news to me. I’ve been fooling audiences a few hundred million times.

So here are some tips for the ambitious media buyer who, at least, wants to sound smart when speaking with a brand:

  1. Acknowledge that online-video is growing, and that budget should follow the audience.
  2. Don’t spend it all on pre-rolls. We hate them as much as you.
  3. Find people who have already assembled an organic audience, and sponsor them or buy product placement. Go direct to the big ones (NextNewNetwork, Revision3) or use Hitviews, PlaceVinePoptent or Zadby to broker deals with smaller guys. Did I miss any intermediary between popular web content and marketers? Don’t be afraid to raise your hand.
  4. Partner with content providers and online media players to create webisodes that are entertaining AND engaging (with an emphasis on the former, since the latter depends on it). You’ll need a “branded entertainment company,” but be sure they have an idea of how to get the crap seen not just make it fabulous.
  5. Buy the crap out of ad inventory that are driven by search (if they’re searching for your brand, you want to be there first).
  6. Customize your content because if I see another 30-second spot as a preroll I’m going to power puke.
  7. Use rich-media ads with compelling video content and an irresistible “call to play.”
  8. Buy every Nalts InVideo ad you can from YouTube regardless of the CPM. I heard his content attracts your target buyers, and that they’re 45% more likely to engage in your ad because his videos are so bad.

Video Sponsorship Trends: “Cashing In” or “Selling Out”

I like this “Viral Video: Cashing In or Selling Out” by Jennifer Hollett (Canadian Globe & Mail), and not just because I’m featured in it. It’s actually a well-balanced view of the issues surrounding paid sponsorship and product placement.

dixie chicks sellout like charles trippyAs you may know, there are two different ways to make money via online video. You can share in the percent of ad proceeds based on the publisher (Revver, Metacafe, and now YouTube’s Partner Program). This is easier, but low margin. And you’re at the mercy of the publisher. Currently it would appear YouTube is selling fewer InVideo ads associated with amateur content, and I’m seeing more Google Adsense copy ads or display only. InVideo ads are far, far more profitable to YouTube and creators — selling at about $20 per thousand impressions. Advertisers get much more exposure, since the ads peek up at the bottom and are interactive (a far cry better than banners that we tend to tune out). The second way a creator can profit is by working directly with brands to feature products and services for a fair fee.

If you read this blog regularly, you’ll recognize my POV on this article (worth a scan). I satirize “selling out,” but I actually think you can find a balance between helping an advertiser and entertaining. I even contend that promotion need not come at the expense of the entertainment and vice versa. That said, I do respect the opinion of Kalle Lasn, editor in chief of Adbusters magazine and author of Culture Jam. Kalle, according to the piece, feels product placement on YouTube is a sad development. Lasn says there are already between 3,000 – 5,000 marketing messages coming into the average North American brain everyday. “I don’t think we really need 5001,” he says.

The article highlights (oh I hate that word) Brandfame, which helps facilitate the interaction between creators and sponsors. I’ve also met with Placevine, which represents a number of different brands interested in tapping creators. This article references a video I made called “Viral Video Broker,” where I spoofed this industry almost two years ago exactly. (Another one of those videos I wish I had shot with a better camera, but at least I was somewhat ahead of my time… the voices were, of course, people in my offices at J&J not real weblebrities).

fortune teller

Watch for five trends in this area in 2008:

  1. Creators are going to cross the line by pushing the advertising too hard, and alienating their viewers. It will feel right for them and their sponsors, but ultimately make for a jaded bunch of viewers.
  2. Brandfame and Placevine are the signs of an emerging cottage industry that will become more vital than the labor intensive machines helping broker product placement in television and films. Online video will give brands more inventory (it’s not called the “short tail” folks), access to niche audiences, and — here’s why the legacy firms will struggle — easier scalability. You’d better make it easy for brands and creators, and take a fair portion but not excessive. Product sponsorship is the only way many brands will penetrate the vital medium of online video, because it’s a fairly ad resistant one. In the “lean forward” generation of online-video, we’ll only watch your advertising if it’s interesting or if you force us. I’d content the sustainability of the latter is weak, and you’d have trouble arguing otherwise. Enter TiVo bloink sound, or the sick delight we take shutting a browser window that “serves” a pre-roll advertising with all the tact of a bad-breathed vacuum cleaner salesman. As David Spade said as a flight attendant on SNL, “Buh bye. “
  3. The online-video sites will struggle in this area. Currently mama Google doesn’t profit if I cut my own deals with Mentos (except when Mentos flighted my video as a 30-second ad). But it’s not an area of high concern since YouTube needs to focus on scalable revenue. What happens, however, if creators join forces and agree to sell prerolls embedded in the video file… a Toyota ad pops up gently in the intros or before the “Next New Network” bumper at the end of a clip? Does YouTube take issue with this advertising that they facilitate but don’t profit on? Or is it analogous to a producer selling his show, but retaining rights to a fixed amount of the ad space (I’ve heard Ryan Seacrest does this with his show).
  4. There will be no trend four. Trend four is often wrong, which itself is a growing trend.
  5. The backlash associated with hidden sponsorship is far from over. I wish there was a law that required film makers to disclose any paid advertisers, even though I know much of the “product placement” is offered free by directors. Federal Express, for instance, does not often pay to have its boxes appear in a film. The directors want the film to feel authentic, and seek permission not pay from FedEx to avoid needing to distract viewers with a Garbagepatch Kids-like bastardization of FedEx (FoodEx). In the end, however, I feel like the video creator owes me, as the viewer, disclosure. If you’re getting paid to hold a Mountain Dew, more power to you. Just let me know, so I don’t feel like you’re being sneaky every time your camera pans a mall and I see logos.