LiveRail is a recently launched video and ad distribution network, looking to marry the video ad industry with those that create their own video content.
The video ads that are shown beneath or alongside the video content are optional for users. This inline advertising model is quickly taking shape amongst the user-generated video services such as Blinkx and YouTube. Advertisers pay only when a viewer clicks on the ad, which is displayed according to LiveRail's algorithm determining the best videos and audience with which to attach ads. As an advertiser, you also have the opportunity to indicate your target demographic as well. For those who want to monetize their online video content, sending it to LiveRail for hosting and embed the video into your website, which now had ads.
For its beta test phase, LiveRail is allotting $1000 daily budget for advertisers, granting them the chance to familiarize themselves with the LiveRail product. Other companies that utilize ad distribution networks include Flixya, Google and Metacafe.