Google has announced the expansion of its First Position ad offering on YouTube, making it available across all content types through Display & Video 360.
This marks a change from the previous limitation of First Position ads to YouTube Select inventory.
What Are First Position Ads?
First Position ads are in-stream advertisements that appear at the beginning of YouTube videos, ensuring they are the first ad viewers see.
This placement is designed to capture audience attention when engagement is at its highest.
Key Changes to First Position:
- Availability: Now accessible for all YouTube content, not just YouTube Select inventory
- Pricing: Shifted from a fixed-rate CPM to a dynamic pricing model through Display & Video 360
- Targeting: Allows advertisers to reach target audiences across a broader range of content
This feature is now available in all markets where First Position ads were previously offered.
Ad Formats & Placement
First Position targeting is available for both in-stream and Shorts ad formats, expanding the potential reach of these ads.
However, it’s worth noting that in-stream line items targeting the first position are not guaranteed to serve in the first position of a user’s session on YouTube TV.
This may affect strategies for connected TV advertising.
Instant Reserve & Implementation
Advertisers can use Instant Reserve, a Display & Video 360 feature, to get a quote and reserve YouTube inventory immediately without negotiations.
This aligns with the new dynamic pricing model, offering more flexibility in ad purchasing.
For implementation, advertisers should note that YouTube videos used in First Position ads must be set to “Public” or “Unlisted” visibility. Private videos cannot be used in these campaigns.
Reporting & Measurement
To assess the performance of First Position ads, advertisers can utilize Basic report templates and YouTube-specific reports available in Display & Video 360.
These tools allow for detailed analysis of ad performance across various metrics.
Case Studies Provided
Google cited two examples in its announcement:
- Booking.com reportedly saw a 21% relative lift in ad recall during a holiday campaign.
- IHG Hotels & Resorts claimed to achieve twice the YouTube benchmark for ad recall and brand awareness when combining First Position ads with Content Takeovers.
Context
The move may affect how brands allocate their video advertising budgets and could impact competition for prime ad placements on YouTube.
Here are the potential implications of these changes for advertisers:
- Flexible Budgeting: Dynamic pricing allows for more adaptable spending strategies.
- Expanded Reach: First Position ads are now available across all YouTube content, not just Select inventory.
- Increased Competition: Wider availability may drive up costs for premium placements.
- Strategic Planning: Advertisers may need to be more selective about using First Position ads.
Advertisers interested in leveraging First Position ads should consult Google’s Help Center for information on Instant Reserve in Display & Video 360 and Reservations in Google Ads to understand the implementation process and best practices.
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