YouTube will now monetize on skipped ads

Google will start charging advertisers and agencies even when ads are skipped.

TrueView for Reach is a new way to buy skippable ads on YouTube, optimised for reach.

In this format, advertisers and agencies will be charged based on the total number of people reached, regardless of how long they watched the ad, marking a return to vanity metrics. 

The change allows both YouTube and creators to monetize a skipped ad.

"With the dominance of the market comes pricing power," said Simon Kearney, CEO of Click2View. "And while skipping might signify annoyance, it is also a level of engagement, so I guess it should be chargeable; at least the advertiser knows that ad has been seen by a human."

Google positions TrueView for Reach as being more advertiser-friendly because it permits CPM-based ad buying, a vanity metric that has long been abandoned as a measure of success.

According to Google, the new format will help advertisers get their ads in front of more people, regardless of the implied sentiment that comes from a skipped ad.

"More brands are moving to native platforms and players where the deal with the landlord doesn't keep shifting," said Damien Bray, CEO of Brand New Media.

In keeping the ads skippable, Google has not compromised the user experience.