Facebook Inc (NASDAQ:FB) previously made a deal with National Football league (NFL) to share its video clips in order to promote its video business. This contract will definitely increase the user-experience as there are millions of football fanatics all around the world.
According to the agreement, the postings include highlights, news analysis and fantasy football tips. These will be followed by ads from Verizon Communications Inc. (NYSE:VZ). The earnings collected from these ads will be divided between NFL and Facebook though it is not mentioned how the division will occur.
The deal can prove to be beneficial for both sides. Facebook’s partnership with NFL will give its video business a huge as its video viewers will increase greatly. Similarly NFL will benefit from Facebook’s massive network of 1.3 billion users as well as having an additional revenue prospect.
A Facebook spokeswoman said that this video sponsorship is a test to see how people react to such collaborations. The statement was: “This is a small video sponsorship test, and we will be evaluating how people, publishers, and marketers respond to this kind of co-branded video content on Facebook. We have nothing else to share at this time.”
However, if we analyze this approach, it looks very similar to what Twitter has embedded already. Twitter Amplify includes the sponsored partners’ pre-roll ads which precisely mean that the viewers shall be watching the sponsored partner’s add (max. of 6 seconds) before the real-time game videos.
The only way in which Facebook’s initiative is different from Twitter Amplify is that it will be opting for post-roll ads. Now one might think that this means “Thank you but I would not like to watch it after the game!” but most of the time football fans are too engrossed in the videos so they might watch till the end and also if they wish to replay the video, they are bound to watch the post-roll ads. Social network and television being combined is yet another big collaboration we come across in near future, increasing business, viewership and what not.
Facebook is also rumored to be making a similar agreement with National Basketball Association (NBA). It has also been reported of trying to convince some of the YouTube’s video makers to directly upload their videos to Facebook instead of embedding them to the social network. Smart move by Facebook as it will be consistent in social media competition and expanding horizons.