NIXSolutions: YouTube to Phase Out Overlay Ads

YouTube has announced that it will phase out its overlay ads by the end of 2021. Overlay ads are the ads that appear as a small banner across the bottom of a video while it plays. They are generally less disruptive than other types of ads, such as pre-roll or mid-roll ads, but they can still be annoying to users.


Why is YouTube phasing out overlay ads?

According to YouTube, the decision to retire overlay ads is part of a broader effort to improve user experience on the platform. By eliminating overlay ads, YouTube hopes to make the viewing experience more enjoyable for users and encourage advertisers to use other ad formats, such as sponsored cards or video discovery ads.

What are the alternatives to overlay ads?

YouTube offers a range of other ad formats for advertisers to choose from. Sponsored cards, for example, are ads that appear as a small icon in the top right-hand corner of a video. When a user clicks on the icon, they will see more information about the advertiser or a related product or service. Video discovery ads, on the other hand, are ads that appear in the search results or on the homepage of YouTube. These ads are designed to help users discover new content that they might be interested in.

When will overlay ads be phased out?

YouTube has announced that it will stop serving overlay ads by January 2022. After that, advertisers will no longer be able to create new overlay ad campaigns. Existing overlay ad campaigns will continue to run until their scheduled end date.

By phasing out overlay ads, YouTube hopes to improve the user experience on the platform and encourage advertisers to use other, less intrusive ad formats, concludes NIXSolutions. This move is in line with YouTube’s ongoing efforts to balance the needs of users and advertisers while maintaining a sustainable business model.