How web publishers can monetize with opt-in video

Ad fatigue, ad blindness, ad blocking… This terrible trio rightfully spreads fear and trepidation amongst web publishers, and for good reason. Figures show ad blocking alone has grown far beyond a side story into standard practice. eMarketer expects that three in ten Internet users will be using blockers by the end of 2018, though the practice still skews towards desktop and web, versus mobile web and in-app.

So, in an age of ad fatigue and viewer angst, how do you block the blockers? How can publishers reframe the narrative and the value exchange to get users to reconsider video ads, increase viewer eyeballs and ultimately drive revenue?

The good news is that new game-changing formats and ad models adopted from mobile in-app are not just delighting users but actually introducing innovative ways of increasing user engagement with online content. (link to previous blog) as well as a totally new web currency.

Introducing the opt-in model – more engagement, retention and results

Last year’s Mary Meeker’s Trend Report cited that consumers overwhelmingly (seven in ten) prefer watching video ads which give them a reward in return for engaging. In fact according to a Gamasutra post, AngryBirds creators even reported a backlash from users when they took rewarded video ads out of their game.

By creating a value exchange of advertising in return for access to free content and by putting users in control, opt-in or rewarded video creates an advertising experience which is not only positive, but one which users actively seek to engage in. Recognizing the model’s huge success in the mobile environment, opt-in video is beginning to surface in desktop web as well.

The big question is; how can web publishers leverage opt-in video to drive more eyeballs and secure the big revenue lift they’ve been waiting for?

Five innovative ways web publishers can monetize with opt-in video:

1. Creating content editorial – opt-in exchange

In mobile, opt-in or rewarded video is often deployed to provide users with access to an in-game currency that makes it possible for them to keep playing. In web publishing, the format can be used as an alternative option for viewing premium or gated content. Instead of forcing users to input their credit card details, or sign up for a monthly subscription, publishers can offer an opt-in video in exchange for access to a certain (number of) articles. Users can therefore receive highly-coveted value in return for their time and attention.

In most cases opt-in video will be preferable to the pay-to-view model, at least in the early stages of the user’s interaction with a publisher’s content, when many consumers tend to abandon a publication if there is no alternative to payment.

2. ‘Upselling’ for a deeper dive into premium content

Opt-in web video can also be offered in exchange for continuing to read a premium content piece. By doing so it could replace the dreaded paywall consumers face after already reading a teaser section of an article. Often they will be intrigued by a topic and the opening paragraph, only to discover that they cannot continue without whipping out their credit card.

The paywall is popular with highly acclaimed publications including The New York Times, The Washington Post and the Wall Street Journal. Although it has proven to be partially successful with the big publishers, it faces steep challenges in the midsize publisher niche. After all, the consumer population that is willing to pay for any kind of journalism is still relatively small. Maddened, would-be subscribers would probably prefer a free rewarded experience than hitting a paywall.

3. Dual packaging for flowing to the next premium content item

Similar to the upselling model, a dual package could pitch the rewarded video in between two articles. The dual reward could be offered to viewers who just read an article and then viewed a highlighted link to a related article that spiked their interest. A rewarding opt-in video in-between could encourage a user to view an ad in exchange for continuing to read the next desired content piece. The intermediate opt-in video could be one of the best ways to drive users to extend their time on the site, and for building trust.

A true win-win-win flow could be set into motion by crafting an opt-in video with creative that features contextual relevance to both the article just read and the next in line.

4. Leveraging opt-in to shift users from freemium to pay-per-view

The hybrid model begins with rewarding users through opt-in video and then shifts to a pay-per-view after the viewer is comfortable proceeding to the next level. Opt-in video has the added benefit of extending the content engagement experience, helping to build loyalty and interest in a publisher’s content so that down the line the chances of conversion to a paying user is much higher. Once the user becomes familiar with accessing the content they value through opt-in videos, they will be more likely to cross over to a pay-for-content model, if the transition is designed at the right time and context.

Of course, this model requires some experimentation with placement, frequency, user experience,and content type. Publishers need to be able to identify the moment where users are at a conversion tipping point, and then remind them of the option to subscribe or pay to view. To help ensure success it’s critical to create the right balance between the two payment models.

5. Offering opt-in video in exchange for big player viewing

For many publishers, there isn’t enough scale for video inventory. Given the scarcity, publishers can ill-afford to miss out on strong revenue-driving sources that supply high engagement and click-through-rates.

A large native player nested inside content that delivers opt-in video could offer a new revenue stream for publishers seeking to capitalize on the trend to aptly integrate big players in content. It could work by offering users access to more premium content each time they engage with a big player opt-in video. Integrated seamlessly within a native context, big player opt-ins could intensify the reward and increase brand awareness. Brands can leverage opt-in inside the big player to enhance user experience and significantly boost CTRs to a 20 – 35% range.

In sum

Web publishers keen to convert content into a powerful revenue generator will find the opt-in video model a refreshing new revenue stream that excites and delights users, while providing brands with a new way to boost user experience and viewability rates. Riding on the heels of the huge success in the mobile environment, opt-in video holds the promise of changing the game for web publishers.

Recent Posts

Why opt-in video is a game changer for web publishers

By Chen Shalit, June 2018

Secret Dmexco 2018; 6 tips to survive the mayhem

By Chen Shalit, July 2018

6 hot video trends to watch out for in Dmexco 2018