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Google Video AdSense Review: A Mistep – No Innovation February 21, 2008

Posted by John in social media.
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Google announced AdSense for video today. Google prides themselves on innovation. I love Google and have many friends over there (here comes the but), but their approach to video Adsense just isn’t there. IMHO.  Here is a link to Google’s blog on the topic.

Everyone knows that Adsense has been a poorly performing product for ‘long tail’ and ‘torso content’ publishers. Adsense works great for Google, but Adsense isn’t working well for many publishers. However, it’s the only game in town. Google’s new AdSense is interesting, but I feel like Simon from American Idol. This wasn’t Google’s best performance. I’m not blown away by this.

Why?

User experience: The user experience for net video advertisement has to be good. Adding a 30 sec ad is a total distraction. Why would I want to watch a 30 sec ad from HP when I skip over these ads using Tivo. Give me something from HP that is compelling then I’m interested. The 30 sec ad user experience is poor.

Micronetworks need Microcontent: Microcontent is the only advertising solution that works in the ‘long tail’ and ‘torso’. In microcontent networks the ‘content’ is the ‘ad’. This is why cpm based video and cpc text ads don’t work in social networks. Micronetworks or social networks thrive on delivering value to users and the generic (somewhat) targed ads don’t deliver that value.

Monetization conflict with Editorial Content: Relevance is the problem here. Are advertisers getting the best bang for their buck – maybe its good for Crest toothpaste but not for the ‘holy grail’ which is targeted conversion. Publishers have targeted high value audiences and their audiences are looking for value not generic content ads. Many publishers don’t want to dilute their audiences with distracting ads. Publishers want a solution that delivers value to their ‘microaudiences’ and they are looking for a solution that pays them accordingly.

The paradigm of search and discovery *and* related ad techniques that orginated from search are changing. Google’s solution is an extension of their existing franchise in Adsense and doesn’t pass the innovation test.

Google will certainly make money because the big advertisers and their agencies are scrambling to move ad dollars from TV to the web. At best this solution from Google is a short term solution. It really isn’t a strong solution for advertisers and users.

Google: no offense but I think that you need to go back to the drawing board. Think different and build a product that is good for users, advertisers, and publishers.

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Comments»

1. Josh Paul - March 29, 2008

I completely agree with you, with one additional thought. That is, I don’t think the CPM/CPC/CPx rates of AdSense will be enough to support the costs of video production. Hyperactive video is not television and it’s not a webpage. It is something different and we need to continue to explore the medium to find what will ultimately work, creatively and financially.

2. A J - July 28, 2009

I agree with you. Google defenitely needs to go back to the drawing board.


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