 By Silicon
el 14-Jul-2008 |
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 The folks at video site Veoh have been talking for some time about their plan to sell more ads -- the problem that's stumped everyone in their industry. Veoh's big idea: Track viewers as they move from, say, a CBS show that garners high ad rates, to stuff that traditionally generates low CPMs, like user-generated clips. Veoh will then try to convince advertisers that the same people who were worth a lot of money when they watched "Swingtown" online are still worth a lot when they watch the proverbial skateboarding dog.
This is just part of Veoh's plan, which also includes more run-of-the-mill behavioral targeting. As they announced today, they'll be segmenting their audience and selling viewers to advertisers based on their affinity for action videos, technology or cars, regardless of the video they happen to be watching at the time.
Veoh's plan sounds interesting. And if it works, it solves a real problem for Veoh: It can't sell much of its highest-value inventory, because someone else owns it.
CBS, for instance, handles most of the sales across its audience network. So up until now the main benefit of having CBS stuff on Veoh is to bring in eyeballs, not to bring in ad dollars. But if Veoh can convince advertisers that it has CBS-quality viewers across much of its audience -- it claims 28 million uniques, though measurement services have much lower estimates -- then it has made a significant leap.
See Also: The Cost Of Online Video: $8 Billion And Counting
Veoh Investory Michael Eisner: When Do I Get Paid?
Veoh Grabs Another $30 Million; Valued At About $125M
Video Site Veoh Blocks International Freeloaders, Er, Users
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