Today, startup YuMe Networks has launched a new advertising network dedicated to online video, which includes a contextual targeting system that works like the keyword-based ad systems used by many websites.
“Our network is going to bring real order to the current state of chaos in online video advertising,” said CEO Jayant Kadambi in a statement. “YuMe will for the first time give advertisers the ability to place ads alongside contextually relevant content, ending current run of site buys that are neither effective nor transparent.”
Before an ad is placed, YuMe’s software scans the available video content and sorts it into ad-friendly categories like Auto, Finance or Entertainment. Advertisers then select which category matches their advertising message and their ad creative. YuMe in turn places that ad into the video, which can be downloaded or streamed in a variety of formats. The placement system gives a distinct advantage over non-targeted and run-of-site ads.
YuMe also claims its system is able to tell which videos are appropriate for different brands, making it a viable platform for monetizing user-created advertising, which can also be targeted according to category.
YuMe hosts both the video content and the advertising. The new system provides real-time reporting, and advertisers can customize their campaigns on-the-fly according to the numbers as they come in. The company has also included geographic and demographic targeting, allowing advertisers to customize ads for each particular audience.