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Pre-roll… Pre-what???

August 29, 2008

Posted by: Michael Deichmiller in Online

Pre-roll… no, it’s not a new appetizer at Applebee’s.  Pre-roll ads are online video commercials that appear prior to an online video and are currently being offered by more than 75% of U.S. websites publishers. (NY Times pre-roll sample) Although CPMs for pre-roll video are higher than display advertising, recent studies have shown click through rates up to 5 times greater.  Combine this high click through rate with the fact that on a cost-per-view basis this medium is the lowest bar none and you have an intriguing new tactic to consider.

As consumers continue to migrate toward their computers as a vehicle for entertainment, pre-roll ads offer a “lean-forward” approach to reach and engage in a targeted, non-skippable format.  Most pre-roll ads are also accompanied by a companion banner which offers viewers the opportunity to click after they watch their intended content video.  Companion banners also garnish additional impressions and are often not considered in the CPM. (in essence, making pre-roll more cost efficient)

We have recognized the benefits of this online trend for numerous clients and continue to explore new ways to combat ad-skipping, DVRs and non-traditional (online) television viewing in the ever-changing media environment.