September 29, 2020

Aadarsh Web Solution

Immensing The Knowledge of Digital Marketing World

Facebook All Set To Threat YouTube Ad Business By Rolling Out Video Ads This July

Amidst a small test group of publishers, as a move to attract more and more content and advertisement revenue, Facebook has currently rolled out video ads. As a perk to get the video creating companies to publish videos directly to Facebook, the company is going to implement revenue sharing in such a way that pitches the social network giant Facebook in direct competition with YouTube, Google’s video partner. The video publishers of Facebook will obtain 55% of the revenue that is earned from ads that run against their videos and this is the same strategy that is used by YouTube for paying their publishers.

facebook started rolling video ads

This particular test has been rolled out on the iOS app of Facebook among a restrained number of brands like Die, NBA and Fox Sports. There are even plans by mark Zuckerberg to extend the trial over the next couple of months to include Android and desktops. Previously, the only perk video creators had to publish content to Facebook was the chance to let their videos be seen by the massive audience of the social networking site.

Keeping in mind the fact that the views on videos have grown leaps and bounds over the past few years, the company might have gone through the pressure of giving the video creators an added incentive and reward to continue publishing videos in order to maintain the momentum. This has been a part of the Facebook marketing strategy to stand against its only contender, Google’s YouTube.

It goes without mention that till now, Facebook hadn’t been monetizing its videos. As the video ads have been rolled out by Facebook, they will no longer keep missing the potential revenue that may be generated from its 4 billion views per day on videos. The video ads on Facebook will be a bit different from that of YouTube. They will be inserted in between video clips whereas YouTube runs its ads before starting each video. Here, a brand new “suggested videos” screen will appear at the end of a video and the viewers will be presented with some other videos that will be entirely determined by Facebook’s algorithm. After the user goes through the video clips, an advertisement will appear which is similar to the commercials that are shown while watching TV shows.

Among the different Facebook news that is making the rounds, this Facebook marketing attempt is something that is worth noticeable. By all means, this move taken by this social media giant is certainly going to spell trouble for Google and its profitable YouTube ad business.

Amit Singh is a co-founder of Aadarsh Web Solution, an affordable digital marketing agency. He is also sharing his SEO expertise through his blog.