Online Video Site Draws Viewers with Fewer Ads

October 30, 2008 · Filed Under Advertising · Comment 

Hulu, one of the popular video sites on Internet, has brought about a number of advertising innovations in the last one year. some of the interesting advertising ideas which have caught on the imagination of net users are “thumbs up” and “thumbs down” rating for commercials, choose-your-own advertisement option before the start of the video show as well as interactive games during commercial breaks.

Hulu which celebrated its first anniversary on Wednesday has not only been commended for its easy-to-use and aesthetically pleasing interface but has also brought a new dimension to the advertising experience. Instead of continuing with the long commercial pods that television viewers have become used to, Hulu shows only one ad shown during each segment break on the site. This approach, say Hulu executives, make the selective ads more memorable and allows them to charge higher fees for the ad units.

Currently Hulu has more than a hundred sponsors, from General Motors to Old Spice. According to a Nielsen Online report issued last week Hulu provided around 142 million streams to 6.3 million unique viewers in September this year. this makes Hulu the sixth-most popular online video site in the United States though it has still a long way to go to match YouTube which is the market leader with twenty times more video streams than any other brand in the United States.

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