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5 types of programmatic video ads

Updated 11 months ago • 4 min to read

5 types of programmatic video ads

Today, display video ads purchased through programmatic services are the largest item of advertising spend all around the world. More than 80% of all video ads are sold automatically, whereas, in 2017, the total amount spent on programmatic advertising in the USA alone was around 16 million. In 2021 the number went up to 44 million!

Videos are one of the most efficient ways to interact with your audience. In 2022, videos brought about 82% of advertising traffic. Such popularity is easily explained by media efficiency, as the ROI of video content is higher compared to other ad types. Why so? Here are the main reasons:

  • Wide audience coverage;
  • High levels of engagement and clickability;
  • People perceive visual information better;
  • The videos are well remembered.

 

There are many types of video ads, and in this article, we will tell you about the five most popular ones that help advertisers promote their brands and publishers monetize their inventories. 


1. Out-stream

Out-stream is the video ad format for tablets and phones autoplayed out of the video player. Users may come across such ads when, for example, going through an article or content in a mobile app. The videos are then played automatically but with the sound off. The ad can be clicked and watched to the end or dismissed. 

This format allows a wider audience coverage than YouTube advertising, as you can be advertised within the Google partner network resources. Out-stream videos also have the potential to increase brand awareness. Publishers find this type of video advertising convenient since it does not require their apps to feature a video player and the content. 


2. In-stream

In-stream ads are videos displayed on Facebook, YouTube, and other advertising units. They are played before, during, or right after the primary content. In contrast to out-stream videos, these are autoplayed with the sound on.

There are two types of this ad format:

  1. Skippable in-stream ads – videos that can be dismissed after 5-10 seconds of watching, in which case the advertisers are not charged.
  2. Non-skippable ads usually last around 20 minutes and cannot be dismissed. The advertisers are charged per every 1000 impressions.

 

Also, in-stream advertising can be divided into 3 categories that you have probably come across when watching videos on YouTube:

  • Pre-Roll ads played before the videos;
  • Mid-Roll ads, shown throughout the videos and disrupting the content;
  • Post-Roll ads are played after the primary video is over and before the autoplay of the next piece.

 

It might seem that these intrusive adverts will only annoy the audience. However, if we compare the click-through rates of out-stream and in-stream videos, the latter demonstrates higher numbers.


3. In-Banner

In-Banner (or video banner) is a standard advertising banner that contains videos and static images as a substrate; it may also contain a short description. The video clip is embedded in the banner unit and can expand to a full-screen view or reroute the user to the webpage with the whole video.

There are three types of in-banner ads:

  1. Click-to-play – with a static image that launches the video if you click it;
  2. Hower-to-play – videos are played automatically as soon as the user scrolls to the ad unit;
  3. Autoplay – automatic ad playback that requires no interaction with the user. 

 

This type of video ad does not cover content, which is a huge plus for mobile app owners or developers who want to monetize their products. For advertisers, they are a handy tool for unobtrusive brand promotion.


4. Interstitial

Interstitials are full-screen ads that cover the application or web browser interface. These videos are displayed at transition points of an app (for example, in between different activities in a game). There are two types of interstitial ads.

  1. Static full-screen ads that are displayed, e.g., between the levels of a game or articles on a news outlet.
  2. Transitional video clips operate on a similar principle and are displayed at these transition points. The ads can be skipped after 5, 10, or 15 seconds.

 

There is another kind of interstitial adverts – Playable, which provides the users with a mini version of a game when they click the creative. They significantly increase engagement rates and seem to be one of the latest trends.


5. OTT/CTV

OTT (over-the-top) and CTV (Connected TV) are the two most popular media used to watch TV content, and they are gradually replacing traditional television. At the same time, these are great channels for video ad placement:

  • OTT are the ads delivered to users directly via the Internet with the help of video streaming services and devices (smart TVs or connected TVs, mobile gadgets, gaming consoles, and such streaming devices as Roku, Amazon Fire TV, Apple TV, etc). 
  • CTV is the ads displayed either on TVs connected to the web or on any other device using the TV screen as a display for watching video content (smart TVs, gaming consoles, Apple TV, etc).

When we talk about the advantages of OTT/CTV videos, it is necessary to point out the possibilities for more precise targeting, wider coverage, and higher engagement rates, along with relatively low advertising costs (compared to cable TV).

How to monetize your inventory with video ads

Video ads are the format of the future, which has already started replacing other, more traditional tools. The Adsgard SSP, in its turn, is an excellent service that helps monetize your mobile application from scratch by selling your ad slots. We pay extra attention to video advertising as we are fully aware of its bright future.

You, as a webmaster, developer, or owner of a digital product, now have the chance to automate your inventory sales and be in full control of the process. We will choose the best video ad format individually and provide you with only top-quality commercials. The traffic is constantly monitored by our experts, which gives the malicious software no chance of getting to your app.

Having understood the prospects brought to you by video advertising, we work 24/7 on the implementation of new formats to provide you with even more possibilities for successful monetization. It is no exaggeration to say that Adsgard is one of the best SSPs for webmasters, developers, and media owners that choose video advertising as the primary strategy for their product monetization. We attach particular importance to this format, which makes Adsgard a reliable partner and a perfect choice to monetize your inventory via video content.

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