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Google pay-per-click video ads

May 23rd, 2006

First the news… detailed analysis to follow in future posts.

As predicted on this blog last winter, Google is adding online video advertising to its pay-per-click arsenal – and it’s happening this week.

Here’s a super-short cheat sheet of what the service is going to look like:

1. It will be based on the winning pay-per-click model
2.  The ads will appear as small, static boxes
3. The video plays only when the prospect clicks the  static image

And here’s the kicker… Google will host the video.

(If there’s one group that has bandwidth to spare its the guys at Google!)

Here’s a undated handout from the company showing what the ads may look like:

Ken McCarthy

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  1. May 23rd, 2006 at 07:30 | #1

    Ken,
    Thank you for a Great seminar this last weekend.
    Fantastic!
    Also, thank you for keeping us aprised of the most up-to-date video information.
    This blog is a true value.
    Thanks again,
    Sam
    http://www.internethowtovideos.com

  2. May 23rd, 2006 at 07:32 | #2

    Now their practice on Google Video makes sense!

  3. May 23rd, 2006 at 07:35 | #3

    Hi Ken, this is interesting and recently I’ve had some correspondence with another company operating in the same area who report higher click through rates than conventional ads (could be that a novelty factor is at play here). Of course what ultimately matters is conversion rates since these will feed back into bid prices. However, from the advertiser’s perspective, because the cost of producing videos is a great deal higher than creating and testing AdWords copy there is bound to be less testing going on.
    I’ve also felt that YouTube.com will move rapidly into advertising too. Will Google be buying up YouTube shortly in order to achieve a dominant position in this future market?

  4. John
    May 23rd, 2006 at 08:04 | #4

    The above video didn’t make it.
    I’m on dial-up and even after-a-while I receive videos but not the above. John

  5. May 23rd, 2006 at 08:05 | #5

    Last minute issues resulted in my missing this year’s System so it is possible this question was covered last weekend. I am wondering if Camtasia presentations are considered video for inclusion in Google’s video category.

  6. May 23rd, 2006 at 09:40 | #6

    Thanks for the heads-up, Ken. Video advertising on the ‘net is sure to continue to be a top priority for many of us; it’s great to see Google monetizing the ppc approach to include video ads. Hopefully the ‘net won’t become cluttered with low-quality junk video ads, like banners became, or else 3rd party vendors will create blocking software. Should be a terrific opportunity, for those who “do it right” with high video production quality.
    Ken Calhoun
    http://www.WinningAdwords.com
    http://www.Sitefomercials.com

  7. May 23rd, 2006 at 10:40 | #7

    Wow. This is really cool. Thanks for the heads up. I guess advertsing will become more expensive then, as we’ll have to invest in video production?
    Daniel
    http://www.how-2-tile.com

  8. J
  9. J
    May 23rd, 2006 at 11:08 | #9

    In regards to your question Steve, re: camtasia…if you create it in Flash – here’s what google has said so far:
    “What are the requirements for Flash ads?
    Flash is a plug-in for web browsers that allows animation to be added to Web page components, including AdWords ads. Flash advertising is allowed for all AdWords advertisers, with some technical restrictions.
    Flash ads must be 50K or smaller in size and utilize Flash versions 4 – 6. All Flash creatives should support the clickTAG variable. The clickTAG is the tracking code assigned by Google to an individual ad. It allows Google to register where the ad was displayed when it was clicked, and helps advertisers determine the effectiveness of their campaign. On any click, Flash creatives should redirect to the URL specified in the clickTAG argument; there should be no other redirection inbetween.
    ]The variable name must be spelled “clickTAG” (upper-case TAG; no space between click and TAG) and not “click tag,” “Click Tag,” or any other form. This is the proper code for the clickTAG parameter.
    on (release) {
    if (clickTAG.substr(0,5) == “http:”) {
    getURL(clickTAG, “_top”);
    }
    }
    Flash ads must follow the same editorial guidelines as all other image ads. Please review those guidelines at https://adwords.google.com/select/imageguidelines.html. Flash ads may not be resized before submission; they must be submitted in full format.”

  10. J
    May 23rd, 2006 at 11:15 | #10

    One more news story posted today:
    http://blog.exclusiveconcepts.com/archives/2006/05/google_video_we.html
    Seems video will only be part of googles content network for now.

  11. J
    May 23rd, 2006 at 11:22 | #11

    One last quick snippet of a possible interesting use for vPPC:
    “Click to play video ads differ from the scattershot approach of broadcast TV advertising in that Google promises to measure the duration of how long customers, on average, watch any particular ad on a site before moving on to another page.
    “It is very good for advertisers because they now know the user is engaged,” Rajaram said in a phone interview.
    “The targeting is more powerful than traditional broadcast TV,” said Greg Sterling, an industry analyst with Sterling Market Intelligence in Berkeley, California.
    For example, Sterling said one way Google plans to promote the service as a way for advertisers to test-market TV ads on the Web to determine the best ad for broadcast TV campaigns.”
    http://news.yahoo.com/s/nm/20060523/wr_nm/media_google_ads_dc_3

  12. May 23rd, 2006 at 12:01 | #12

    Thanks for the info. I love learning new resources about video. Here is one that is faster than any other streaming video software available.
    http://www.photowize.com/distributors/shane/maxtivi/
    Just follow the link and choose MyTv for a demo.

  13. May 23rd, 2006 at 13:41 | #13

    See, it’s *this* kind of on-the-minute breaking stuff that I’ve come to expect from Ken.
    In fact, this is THE #1 reason I kept myself from attending lower cost seminars and saved The System Seminar 2006 to be my FIRST internet marketing seminar and it was well worth it.
    I can absolutely say with clear certainty that my attendance at this year’s System will add another zero onto my already six figure income.
    And having attended Mike Stewart’s web video demonstration and then Ken’s follow up talk on What’s to Come: Internet Video was right on spot.
    Quite frankly, I’m so absorbed in my two major businesses and neck deep in stuff, I really hadn’t had time to catch up on the HOW, WHAT and WHERE of video. Just not enough time in the day.
    However, I felt like I got a crash course over the weekend (in 48 hours) that brought me right up to speed. (This ONE thing was worth the cost of the seminar!)
    Like I said over on Fallon’s blog, I spent well over $5,000 in the first two years to discover what I needed to succeed on the net, and I could have easily just plunkered down half that on attending a System training and skipped a good couple years of frustration and nearly breaking up my marriage (not to mention a few hand fulls of gray hair). ;o)
    As they say, though, that’s water under the bridge.
    All I can say, after waiting over 3 years to attend this event, you (Ken) really came through and delivered on everything that you’ve built up the System to be. I just can’t wait to get my hands on the rest of the MP3’s from the breakout sessions, because I know there are probably another 5-10 more golden nuggets I can extract that could even add another zero placeholder to my income. I can already feel the chill in my spine that the remainder of this year is going to be truly dynamic. Super thanks Ken.
    Hey — Ken Calhoun — I could swear that we saw your double (actually — my partner and I thought it was really you UNDER cover), but we later confirmed his identity as Tony Ostian, a copywriter whose background includes work over at Guthy-Renker. http://www.asktonyostian.com
    Alright, back to the grind here…
    Best,
    Jim Morris
    http://www.nichebot.com

  14. May 23rd, 2006 at 23:35 | #14

    Hi Ken,
    This is another great opportunity for our
    marketers to open up new market.
    With the emerging 3G, coming 4G, this
    PPC video ads should have a momentum
    in the PC and hand held devices (Hand
    phones, pamltop, etc…).
    Hope to see more reviews from you about
    this.
    Thank you.
    Regards,
    Calvin Chin
    http://www.wealthyalerts.info

  15. May 24th, 2006 at 15:40 | #15

    Ken,
    Thanks for heads up and info on Google’s internet video announcement. It’s great to hear PCP marketers can now use infomercials to actually drive traffic to their website. The first people prepared to jump on this (I’m already scripting my video) will really benefit from the novelty.
    Thanks again for keeping us informed.
    Ed McDonough
    Video Secrets Revealed

  16. Ken McCarthy
    June 5th, 2006 at 20:01 | #16

    I love hearing both sides of the story.
    Here’s a guy with some well thought out reasons why he thinks Google AdWords in its current configuration is not going to fly…
    http://www.techcrunch.com/2006/05/23/google-ppc-video-ads-im-betting-against-it/

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