Twitter to bring pre-roll ads to Periscope videos

Twitter to bring pre-roll ads to Periscope videos

By Lee on March 30, 2017

Twitter is chasing the money, and Periscope is how they are looking at generating more revenue. So, we are going to take a look at how Twitter intend to do this and is it the next step of video marketing?

periscope videos

Twitters New Revenue Stream

Twitter recently announced that “We will soon allow publishers and creators to monetize their Periscope content with the support of pre-roll ads within a video”.

With pre-roll ads, viewers will receive the same user experience that is seen within Twitter videos, just now extended to Periscope. This enables brands to engage with viewers with their marketing message before the actual video is viewed. Just scroll through the Periscope feed, and all videos (live and replay videos) will start with an ad.

Who will benefit from this?

This is a win-win-win for Twitter, broadcaster/video creators and brands. Twitter makes a cut of the profits, broadcasters earn as well, and marketers now have a new source of advertising to reach potentially new markets.

For celebrities who use Periscope to stay connected with fans, it will come as a little annoying however, YouTube and facebook are reportedly looking into a similar source of revenue among their live video streams. So it could be that Twitter makes Periscope the first and the competitors usually follow.

For brands, the deal is sweetened by the fact that ads can be displayed on premium publishers and content creators. But many consumers won’t see it as a win. A study last year revealed that pre-roll video ads are a big turn-off, at least when consumers are trying to watch news-oriented videos.

Who can use Periscope?

Anyone can use Periscope for Periscope videos providing they have an account with Twitter and Periscope. To get started, a brand must engage through the Amplify program. The rollout will occur over the next few months.

The social media company said ads on Periscope videos are a new way to use live and on-demand video to reach audiences at the most relevant moments.

The ads on Periscope videos are available to “select advertisers” through Amplify, Twitter’s pre-roll video ad service, and will roll out further over the next few months.

Amplify is already used to run ads ahead of the most popular video shown on Twitter. According to Recode, Twitter keeps 30% of the video ad revenue, while the video creator gets 70%, compared to the 55% given to YouTube content creators.

What Twitter had to say about to news

Mike Folgner, the group project manager at Periscope, said: “For creators and publishers that use Periscope to go live on Twitter every day, these pre-roll ads present a new way to monetize their video content.

Twitter is looking for ways to boost advertising revenue after posting a slight decline in the fourth quarter of 2016, driven by a 7% fall in the US – its biggest market – which was not offset by an 11% growth in its international ad revenue.

Periscope videos were integrated into the main Twitter news feed in January 2016. The video streaming service, which allows users to stream video directly on Twitter, was acquired in March 2015.

Social media marketing for your business

For businesses this now gives them another source of online marketing. This will create a new source of brand-safe video advertising beyond what was previously available. It will include ads during live streaming programs from select premium publishers, Promoted Tweets with Periscope video and custom Amplify campaigns with premium content creators.

There is no doubt that periscope can be a great tool to just as Instagram and Facebooks live stream have become. If you have a highly engaged audience that you communicate with on Twitter, then experiment using the Periscope features.

Will you be using Periscope as part of your social media marketing? If you are interested in looking at new ways to target your audience but still need some advice we can help you get the most from your social SEO campaigns.

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