Facebook pushes its unveiling of video ads back again, according to a report from adage.com.
It's been more than a year since Facebook started proposing the use of video ads to agencies and brands. With video ads, Facebook aims to get a slice of the ad budget for television. According to an eMarketer forecast, as much as 4.1 billion dollars this year and 5.7 billion dollars next year will be spent for video ads among advertisers.
However, the date of unveiling has been pushed back for the third time now. The original plan was to have this service ready by the first half of 2013, the second push is a summer unveiling, and the latest one is past the planned October release.
The main reason for the delay is how video ads affect user experience. Brands can use television advertisements on Facebook video ads, but the social media company is appealing that brands create ads that are fit for social media. In fact, Facebook has created an internal creative review process to ensure that these social media fit ads are of high quality.
How video ads work
Ads will be 15-seconds long and will be targeted to Facebook users based on their demographics. A video ad, slotted for a particular day, can appear on a Facebook user's news feed a maximum of three times. As a user scrolls over a video ad, that video will start playing without sound. If the user wants to listen to the video ad, he or she can click it, prompting the video to restart and smear across the left and right rails of the Facebook page. This enlarged interface allows users to play two more video ads.
Advertisers are cautious
Some brands have already committed to an October video ads launch, but others are still wary about spending millions for a product that is not proven yet. But Facebook continues to assert the expensive price of its video ads, given that in theory these ads will reach out to more people than ads that are shown on television.
Some companies are waiting to see how users respond to these new ads. People have pointed out how in the past Facebook ad units have been met with criticism among users within the first month, and for that reason, companies would rather wait instead of be first in line.
In addition, making video ads could be more expensive because Facebook has a creative oversight which requires ads to be more social. However, according to Alex Jacobs, vice president social marketing for Digitas, several brands are already experts when it comes to creating cheap online ads, and that's not as much of a problem as it is for making TV spot ads.
While it has taken a long time for Facebook to get video ads going, the social networking site has shown in the past, through the example of mobile and news feed ads, that despite all speculation regarding the effectiveness of these ads, they are currently the ones responsible for much of the company's revenue growth.