YouTube is starting to place more ads from bigger companies in their top videos, marking important steps in the direction of monetizing their user generated content.

Big brands like Verizon, Adidas, and Chevrolet have started buying in-video ads. These ads, which outperform traditional run-of-network ads, are the next step for YouTube to really begin utilizing its vast sea of content.

Many brands have been leery of getting involved in user generated content, but it appears the ice is beginning to thaw. As these videos are reviewed and receive big numbers of viewers, it makes sense to take advantage of the attention being paid by millions. Surely there will be a few hiccups, with sponsors being unhappy with the media they are associated with, but this is something that should only grow in the long run.

Also, 12 of the top 100 videos on YouTube were branded promotional videos. Companies need to realize that there are a lot of people out there will to watch videos they produce. It’s not just big brands with high production values that can get value. Smaller brands targeting potential customers can also do well, especially if the videos rank well for valuable keywords in Google.

Story via Rory Maher at Paidcontent.org

This entry was posted on Thursday, February 19th, 2009 at 10:15 pmand is filed under Social Media. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.