After a few weeks of testing a “suggested videos” feature in its iPhone app, Facebook is now gearing up to add in-line, autoplay ads that run between the clips in the suggested video feed over the next two weeks. According to a report in Variety, Facebook retains 45% of the revenue from those ads, with ad partners getting a share of the remaining 55% based on time spent with each ad. The revenue split is the same as what YouTube offers for a similar content feed. At the moment, “suggested videos” are only available on iPhones, but Facebook plans to bring the feature to its web and Android platforms in the coming months.
Among those ad partners working with Facebook in its new suggested video rollout are Fox Sports, the NBA, Hearst, Funny or Die and Tastemade.
Facebook is primed to up its game in the area of video, taking advantage of the self reported 4 billion video views per day on average in the first quarter of 2015. On the tech side, the company said it is improving its algorithms to show even more personalized and relevant videos in individual news feeds.
“We’ve heard consistently from media companies and other video creators that if they were able to make money from their videos, they would publish more,” Dan Rose, Facebook’s VP of partnerships told Variety. “We hear they get a lot of value from the distribution and promotion of their videos on Facebook… and we think this product will amplify that.”