Yesterday online video and audio advertising took a step toward reality. Today is reserved for a standing ovation for my fellow Canadians.
Interactive Advertising Bureau of Canada president Paula Gignac said in an official statement yesterday:
“Online audio and video advertising in Canada can finally begin to flow, as a result of a new breakthrough agreement negotiated between The Alliance of Canadian Cinema, Television and Radio Artists, The Association of Canadian Advertisers and The Institute of Communications Agencies. The new agreement allows advertisers to take full advantage of using professional, talented, Canadian performers for their online marketing efforts.”
As a producer and broadcaster, I have always been vocal about the fact that whether you pave highways or write songs you should be compensated for your work. I have gone on record, written articles, and fought for artists my entire career. This goes far beyond downloading the new GNR for free.
Gignac goes on to say:
“The pilot project (which will run for the next two and a half years), is designed to stimulate growth and employment opportunities within the Canadian market, and includes significantly-reduced talent rates for video commercials made for TV and radio, that are later ported into the new media environment. The agreement also contains similarly reduced usage rates for video commercials produced specifically for new media.”
Until now, media and advertising companies had to pay additional online charges to re-purpose the same content created for traditional outlets. Online advertising and integration has become more than a $20 Billion industry in North America. In Canada, online advertising has surpassed radio in the last year.
IAB President Paula Gignac continues:
“But while online video viewership in Canada has been soaring, video advertising has been stymied until now, by prohibitive talent costs associated with running audio and video commercials online. In fact, according to IAB Canada’s annual online advertising survey, video advertising made up just 1% of the total 2007 online advertising revenue in Canada.”
This is exciting news for advertisers, content providers, and traditional media. This gives all of us a wider swath in which to grow our content and talent.
More here from Gignac:
“IAB Canada encourages advertisers of all types who have been considering getting into either in-stream, rich media or over-the-page audio and video advertising, to take immediate action on these new pilot project rates, in order to benefit from video ad effectiveness in 2009 and beyond."
You can read more on the IAB website or the ACTRA website.
Now let's go create some great content and integrated relationships!
km
