Put all these ads in one video, and you get a mess. Fortunately, these new skippable pre-roll ads will be just another experiment, visible on videos from content providers who opted in for the test.
But what is it that Google is testing? From the users' perspective, this isn't new; in fact, pre-roll advertisements are prevalent on many other video sites, such as Hulu. Google, however, aims to develop a new advertising model based on the user's behavior. When Google first started testing pre-roll ads, abandonment rates were as high as 70%. But it worked much better when users were watching longer (15 - 20 minute long) clips, with completion rates being up to 85%.
Furthermore, simply clicking that "No, thank you" link counts for something. Phil Farhi, product manager at Google's YouTube says: "we see the ability to skip ads as another form of engagement." According to him, the length of the pre-roll can be much shorter on YouTube than on TV. "On television you might need 30 seconds to make sure people know the Web site and phone number, and tell them the offer three times. Online, you can run a much shorter industry ad, and use the companion ad space for the call to action."