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

From users to advertisers and publishers-the entire online community is seeking new ways to create a positive user experience. Driving viewers away in droves, lacklustre ads have been one of the largest perpetrators behind ad blocking and ad blindness. In response the industry has been experimenting with new formats, ad-lite environments and pay-for-content models. The downsides include costly productions, a decline in viewership and revenue loss. Meanwhile the drive for high-quality impactful ads, is fueling product developments that have yet to demonstrate success.

Fast forward to 2018, opt-in video is disrupting the market and forging a brighter future for web publishers.

The leap in innovation and revenue is coming from mobile video.

Mobile advertising inevitably continues to capture a growing share of ad spend dollars. A large part of this growth can be credited to the rise of mobile video, and in particular, opt-in video. In the competitive mobile app economy of over 3+ million apps, where over 90% are free, opt-in video has seen tremendous growth as a central pillar of ad monetization for app developers.

The value of opt-in video: Also known as ‘rewarded video’, opt-in videos are video ads which users agree to watch in exchange for content or goods they value. The opt-in exchange currency can come in the form of virtual goods, an extra life in a gaming app, or an hour of ad-free listening.

The value of opt-in video: Also known as ‘rewarded video’, opt-in videos are video ads which users agree to watch in exchange for content or goods they value. The opt-in exchange currency can come in the form of virtual goods, an extra life in a gaming app, or an hour of ad-free listening.

Why web publishers need to stand up and take notice of opt-in video?

The opt-in video model is changing the consumer- brands narrative. It’s yielding a new ad currency where viewers receive a clear value in exchange for their time and attention. So, if mobile publishers can leverage a reward-based model, and in turn;

• monetize non-spending users
• increase ad effectiveness
• create a positive user experience
• boost revenue

Why can’t web publishers create a similar model for web content?

How can web publishers take advantage of the opt-in business model?

As long as publishers work on implementing this new format correctly the potential is huge. The three golden rules below can provide a solid base for successful opt-in video implementation:

• Give users a choice and make them feel in control
• Match the reward type or value with the video – the reward shouldn’t be too big or too small, but just at the right balance to feel valuable
• Time the chance to opt-in to when users have demonstrated interest in your content but may not be ready to pay for it

Since opt-in video ads on mobile have laid the groundwork for a highly effective and lucrative business model, web publishers can more easily follow suit, leverag the opt-in business model to increase engagement, retention and results.

Just as smart developers harnessed opt-ins to create lean gaming machines that make millions, web publishers can pair premium content with opt-in video to delight viewers and significantly increase revenue.

Web publishers can let consumers opt-in to a rewarded video to continue reading a content piece, or viewing an editorial video, ensuring guaranteed engagement

Opt-in video makes it possible for web publishers’ consumers to keep on enjoying content they are interested in without spending a penny. After all, there is a tried and proven formula that produces post-video click-through rates (CTR) 2.9 times greater than mobile industry benchmarks.

A study from the IPG Media Lab found that 84% of consumers prefer in-app rewarded ads over standard banners and interstitials. Forrester offers similar findings in the same report – 91% of smartphone owners surveyed preferred rewarded ads over standard display. MOAT went as far to report that rewarded video earns a 79% completion rate – 1.5 times greater than the mobile industry benchmark of 52%.

Even Facebook reported that nearly three out of four gamers will happily accept opt-in video if it means they can enjoy free-to-play.

How can web publishers take advantage of the opt-in business model?

• Brands appearing in these types of ads can connect with target audiences in a positive way, while benefiting from a high completion rate and increased brand recall
• Publishers using the ad as a monetization strategy improve user experience, drive ad engagement, increase retention and ultimately earn more revenue
• Users watching the ads benefit from an experience where they are in control and are rewarded for engaging with an ad. As a result, user angst is reduced.

To find out how web publishers can benefit from opt-in video, and to get concrete tips on how they can implement this new ad format, click here (link to next post on how pubs can benefit from opt-in video)