HomeFacebookFacebook to launch mid-roll video ads limited to 15 seconds

Facebook to launch mid-roll video ads limited to 15 seconds


Soon Facebook users may be able to earn from videos they upload on the social networking website.  As first reported by Recode, Facebook is testing “mid-roll” ads for videos that are streamed on Facebook. Content creators will be able to insert ads in the videos after viewers have watched them for at least 20 seconds.  As per reports, the social networking giant will share 55% of revenue generated with the content creators. This revenue sharing arrangement similar to that of YouTube and is expected to attract a significant chunk of YouTube content creators.

Facebook beat the expectations in the third quarter of 2016 with 1.18 billion daily active users on average in September 2016, an increase of 17% year-over-year and monthly active users of 1.79 billion, an increase of 16% year-over-year. Mobile advertising makes up a significant chunk of advertising revenues; the Menlo Park-based social networking giant generated approximately 84% of advertising revenue from mobile ads in the third quarter of 2016, an increase of 6% share from the third quarter of 2015. Amid concerns about slowing growth, Facebook is facing pressure from investors to explore new revenue sources. Despite strong earnings in Q3 2016, its shares fell by 7% the immediate next day.

Facebook – LinkedIn – Snapchat

Last year, the social networking giant started ‘Workplace by Facebook’ to complete with LinkedIn, the largest professional networking site. It also launched ‘Instagram Stories’ in 2016 to up the ante in the war against Snapchat. Full-screen ads in Instagram Stories started to roll out with 30 selected companies globally such as L’Oreal, Capital One, Buzzfeed, Coca-Cola, Nike, General Motors & Netflix.

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