Video search startup EveryZing just landed its biggest fish yet: NBC Universal. Boston-based EveryZing signed a master service agreement with NBC to provide video search and search-optimization technologies across all of its online properties, which include NBC.com, iVillage, CNBC.com, and the websites for Bravo, Sci-Fi, and Telemundo. (The deal does not cover Hulu, which is a joint venture between NBC and Fox).
NBC is also investing in the company, leading its latest $8.25 million C round, through its venture capital arm, the Peacock Equity Fund. Peacock Equity put in $3 million of the total, with existing investors Fairhaven Capital, General Catalyst Partners, Accel Partners and BBN Technologies putting up the rest. The valuation was flat with the last $10 million round the company raised in 2007. → Read More
It may seem weird, but I’ve been eagerly awaiting the day when I see ads in my viral video. eMarketer expects online video advertising to nearly double in 2008 to $1.3 billion, but no one’s really nailed a scalable ad platform for video. However, Google’s been quietly testing their own system and there are a bunch of other startups tackling it as well. There are a couple key issues they’re all struggling with as they try and generate the greatest amount of ad revenue. There’s still some uncertainty about where to put the ads (pre/post/interstitial?). Even the type or length of the ad is up for debate. A recent study found longer ads were more effective at branding, while conventional wisdom has cast doubt on users sitting through the longer plugs. After deciding on the format, determining the content of the video in order to generate relevant ads is yet another tough problem. It’s also a dire matter for big brands that don’t want to risk being associated with inflammatory content. Finally, these ad platforms will need publishers, advertisers and a marketplace to trade in. Here’s a look at what people are doing in video advertising: Definitely the team to watch, YouTube is treading carefully, experimenting with text ads running along the bottom of the video that users can click on for a full video ad. They’re going to be testing the system with some of their top content producers and word on the street is that the terms are pretty good. Revver splits ad revenue 50/50 with publishers. They run ads at the end of viral videos, which might mean that people are still paying close attention after watching the main content. However, this also means they lose some precious real estate to help drive traffic to other videos on their network like YouTube does. Revver filters the content themselves, tying in the appropriate ads. Similar to Revver, VideoEgg helps publishers deliver and monetize their video inventory. It’s a very hands on approach suitable for larger brands that have tight control over the quality and context of their content. They serve up over 20 million videos daily across their EggNetwork. Ads show up alongside lead ins to other videos as well. ScanScout’s technology scans each video and determines content, with ads delivered contextually to match each scene. They run text ads along the bottom of the videos based on → Read More
