Youtube ads: overlay ads from April 6, 2023, creators can no longer activate or add “overlay ads” from Youtube ads within the studio when accessing monetization options.
Youtube ads Youtube has announced that it will remove its overlay ads from the platform starting April 6. This ad is more prevalent among desktop users.
According to the company, the move was taken according to the user feedback who finds these disruptive. Youtube decided that removing overlay ads can enhance user performance and make it more enjoyable.
What are overlay ads in Youtube ads?
Youtube ads These are legacy ads displayed only on desktop users. These ads appear at the video’s bottom or top as pop-up cards. The users can remove the ad by clicking ‘X.’ Those users who click on the page are taken to the external page, which has little impact. Overlay ads are known for their affordability and popularity among smaller businesses with limited budgets.
How do people earn from overlay ads?
The influencer will receive a portion of the revenue generated by the ad based on factors such as the number of clicks, the engagement rate of their viewers, and the number of views their video receives. The amount an influencer earns from Overlay ads can vary widely depending on their audience, niche, and the displayed ads. However, as Overlay ads are generally considered a lower-performing ad format, their revenue is often lower than other ad formats, such as pre-roll or mid-roll ads.
Types of overlay ads in Youtube ads
- Display Overlay Ads – These ads are transparent and appear at the bottom of the video player. They are typically 480 x 70 pixels in size and can be displayed on videos on desktops, laptops, and mobile devices. Viewers can click on the ad to visit the advertiser’s website or product page.
- Sponsored Cards – These ads appear as a small teaser image on the right-hand side of the video player. When a viewer clicks on the image, an ad will expand and display additional content related to the advertiser’s product or service. Sponsored cards can appear on both desktop and mobile devices.
Both types of Overlay ads are non-intrusive and can be closed by the viewer at any time. They are also designed to complement the viewing experience rather than interrupt it, which helps to ensure that viewers will receive the ads.
Why this change in Youtube ads
Youtube said that it would be a significant win for youtube creators. “Overlay ads” could include “banner ads,” “pop-up ads,” or “display ads.” Other ad formats, such as “pre-roll ads” or “mid-roll ads,” are often considered more effective than overlay ads because they offer a more engaging viewing experience. By removing overlay ads, YouTube allows creators to earn revenue from these more compelling ad formats, which can ultimately help them make more income from their content.
What are other forms of ads on youtube?
Display ads
Appear on the right of the feature video desktop and phone. They do not hinder the video stream. Display ads are often used to increase brand awareness and drive website traffic. Advertisers can reach a large and diverse audience and promote their products or services by displaying ads on popular websites or social media platforms.
One advantage of display ads is that they can be easily tracked and optimized for maximum effectiveness. Advertisers can monitor key performance metrics such as click-through and conversion rates and adjust their campaigns as needed to improve their results.
Skippable video ads:-
These ads play before or during the main video. Skippable video ads are a type of ad format that appears on YouTube and other video-sharing platforms. As the name suggests, the viewer can skip these ads after a certain amount of time, typically five seconds. Skippable video ads are famous for advertisers as they allow them to reach a broad audience while allowing viewers to skip the ad if they’re not interested.
For influencers, skippable video ads can effectively monetize their videos and generate additional revenue. However, it’s important to note that the performance of skippable video ads can vary depending on factors such as the ad’s content and the target audience. As with any ad format, influencers must test and experiment with skippable video ads to see what works best for their content and audience.
Bumper ads:
These are non-skippable ads that cannot be skipped during the watch time, and it has an average duration of 6 seconds. Bumper ads are short video ads that typically last for six seconds or less and are designed to quickly capture the viewer’s attention. These ads are non-skippable and are often used as introductory ads to promote a brand or product.
Bumper ads are commonly used on social media platforms such as YouTube and can be an effective way for advertisers to reach a large audience quickly. Due to their short length, bumper ads require careful planning and creativity to make an impact on viewers and convey a clear message about the product or brand being advertised.
Sponsored cards:-
These ads are known as promotional ads and are played during the watch time. Sponsored cards are a non-intrusive way for advertisers to reach their target audience while watching a video. They appear for a few seconds on the screen and can be dismissed by the viewer if they choose to. Unlike other forms of advertising on YouTube, such as pre-roll or banner ads, sponsored cards do not interrupt the viewing experience and are less likely to be skipped or ignored.
Non-skippable ads:-
These ads cannot be skipped; it generally lasts from 15 to 30 seconds. Non-skippable ads can be an effective way for advertisers to reach a highly engaged audience and generate greater brand awareness. Since viewers must watch the entire ad, non-skippable ads can be powerful for driving ad recall and message retention.
Merchandise –
Influencers can also sell merchandise related to their brand or content. This can include items such as t-shirts, hats, and other products their audience might be interested in.
Reason behind
Youtube made this decision due to the increased competition and pressure.
YouTube faces stiff competition from other video-sharing platforms like TikTok and Instagram, which have gained significant popularity among younger audiences due to their algorithmic content discovery features and short-form video content.
- In an era of fierce competition from other video-sharing platforms such as TikTok and Instagram, YouTube is improving its platform and viewing experience.
- With the rise of short-form videos and algorithmic content discovery features on platforms like TikTok and Instagram, YouTube is pressured to adapt and remain relevant.
- YouTube is facing stiff competition from other video-sharing platforms, such as TikTok and Instagram, which have captured the attention of younger audiences with their innovative features and engaging content.
- As TikTok and Instagram continue to gain popularity among younger audiences, YouTube is working to improve its platform and attract viewers and creators.
- In the face of intense competition from TikTok and Instagram, YouTube is changing its platform to stay ahead of the curve and remain the go-to destination for video content.
How can it affect the influencers?
- Revenue: As an influencer, Overlay ads can generate additional income from their videos. However, since Overlay ads are considered a lower-performing ad format, they may cause less revenue than other ad formats, such as pre- or mid-roll ads.
- Viewer experience: If Overlay ads are deemed disruptive or intrusive by viewers, it could negatively impact the influencer’s reputation and engagement rates. This could lead viewers to be disinterested in the content or even unsubscribe from the influencer’s channel.
- Competition: If Overlay ads are removed from YouTube as of April 6, 2023, it could create more competition for other ad formats. Influencers relying heavily on Overlay ads may need to adapt and explore other ad formats to compensate for the lost revenue.
Overall, the impact of Overlay ads on influencers will depend on their circumstances, such as the size of their audience, the niche they are in, and the displayed ads. However, removing Overlay ads will impact the YouTube advertising landscape and the influencer community.
According to Youtube ads
YouTube has announced it will discontinue the ‘Overlay ads’ ad format on desktop devices, citing its disruptive nature and a shift in engagement towards other ad formats. This change will take effect from April 6, 2023, to improve the overall viewer experience.
Conclusion in Youtube ads:-
The removal of ‘Overlay ads’ on YouTube could increase competition and pricing for other ad formats. While this may not pose an issue for more prominent brands. Smaller businesses with limited budgets may need help to compete for ad space on the platform, making it harder for them to reach their desired audience effectively.
