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I think my feelings pretty much mirror the study results...the longer and higher quality the video, the more receptive I am to ads in the video. I do prefer them at the beginning or at least spaced out logically (such as every 10-15 minutes for a 45-minute TV show).
This is a 100% straw man article.
The real question should be "what level of intrusive advertising do we consider acceptable".
Nobody outright refuses all ads, but it's different when it's a couple seconds before a video starts than say completely stopping the video halfway for an ad.
Measure to watch: intrusiveness (aka making actual interesting/funny ads that people won't mind watching)
measure not to watch: whether people simply are "okay" with ads.
I can stand a short ad before/after a video provided the ad is related to the video content some how (when possible). For instance, I wouldn't mind seeing a short movie trailer before a movie, or a game commercial before a game interview video. On the other hand, don't feed me the exact same BestBuy ad before every single video for a whole year (hear that CNET?).
I personally can't stand intermission ads, whether it is in videos or websites. Forcing me to stop what I am doing after I already started just to look at your ad does not make me very happy. I actually like Google's In-Video approach, since the intermission is elective. However, I really don't like the "pop-up" ads at the bottom of flash videos, where a little bar appears during the video to distract and annoy you. It wouldn't be so bad if it was a static image but more recently I see a lot of really annoying animated banners on some sites. I think my issue is that an ad before and after a video doesn't negatively impact the experience of watching the video, but throwing in an intermission/pop-up at just the wrong moment could ruin the whole thing.
Another thing that would be interesting is a very short 5-10 second video ad right before the video begins that ends with "stay tuned after the video for details" and then the video is followed by a longer 30+ second ad for those who are interested.
A few ads are alright in a 42-min TV show. Like when I watch Lost online, there are 30 second ads every once in a while. Better than the several minute ads on TV. But I cannot stand having to watch ads before a short trailer or new thing. Nothing shorter than 10 min should have ads.
Ads withing a video are ok with me as long the ads are in the begining or end of a video. I dislike the the fact that most videos now a days have flash ads next to, A big minus if you are runing an older computer as most the processor power gets hogged by the flash animation resulting in slow out of sync video.
I think the bottom line here is: if you are not paying for the video it has to be funded someway.....heck, if I am not paying a dime and getting to watch a full length TV show there is no real loss in there.
That is unless my TV show turns into what TRL (total request live) has been subjected to....for those who do not know it used to be a very popular top 10 music video show which was fine. But since, they play literally 10-15 seconds of each song, constantly being interupted by teeny-boppers screaming "omg I want to request xxxx song because xxx is SOO HOT!! aAAAAHHHAAHHHHH!!!!!!" that totally overshadows the actual song.....
If this were to occur with ads playing back every 10 seconds or something I will gladly pay a premium price for video....