YouTube launched the Promoted Videos program two years ago in an effort to boost revenue and site profitability. Although Google and YouTube keep fairly quiet on the breakdown of YouTube's revenue, the YouTube blog says the Promoted Videos program has seen a six-fold increase in viewers in the past year.
The Promoted Videos program works by promoting creator-sponsered videos in search results, on the YouTube homepage and on video pages. Advertisers get to pick their target demographics, keywords and only have to pay for people that watch their videos.
I think this showcases the strength and benefits of online advertising. Advertisers pay relatively little and get to focus on their key audiences. By having original and interesting creative their audience becomes engaged and eager to interact with the brand.
The video below showcases the OfficeMax Promoted Video Penny Pranks campaign.
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