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Hulu on Tuesday announced a new “Ad Swap” program that allows users to swap out ads they are watching for a new ad if the current offering isn’t something they are interested in. The announcement comes after recent studies have found Hulu video ads to be twice as effective as television ads.
Speaking on the official Hulu blog JP Colaco, SVP of Advertising at Hulu explain the new format:
“When an ad begins to play, a user can click on the Hulu Ad Swap icon in the top left corner of the player and bring up a number of ad choices, customized to that user’s profile and previous ad viewing preferences. At this point, the user can select a more relevant ad from the available choices.
“The advertiser whose ad initially began to play is not charged for that impression. This is a win-win scenario for both the user, and for the advertiser. The user now has ultimate control over their ad experience and the advertiser does not have to pay for an impression that would have been wasted.”
Hulu Swap Ads have been tested in limited release over the last several months and the company says they have a “significant impact” on the effectiveness of ads. Hulu officials say brand recall improved by 93 percent, brand favorability was up by 27 percent and purchase intent increased by 35 percent. Hulu Swap ads are also said to have a relevancy of 46 percent.
On the Hulu blog they quote one user who revealed:
“It was pretty fun when the commercial would start and you knew you could change it if you wanted to. I kinda looked forward to it.”
While I will never “look forward” to commercials outside of the Super Bowl it’s still nice to know I don’t have to watch a Tampon commercial anytime soon since Hulu is where I subscribe for all of my TV needs.
