Instream and outstream are terms commonly used in the context of video advertising, referring to different types of video ad placements on websites and mobile apps. Here’s a breakdown of the differences between instream and outstream video inventory:

1. Instream Video:
   • Placement: Instream video ads are inserted into existing video content. They appear before (pre-roll), during (mid-roll), or after (post-roll) the main video content.
   • Context: Instream ads are directly associated with the video content that users intend to watch, and viewers typically have the option to skip the ad after a few seconds.
   • User Experience: Instream ads are more integrated into the viewing experience, as users are already engaged with the primary video content.
2. Outstream Video:
   • Placement: Outstream video ads play outside of actual video content. They can appear within articles, social media feeds, or other non-video contexts.
   • Context: Outstream ads do not rely on existing video content; instead, they play autonomously within other types of content, such as articles or news feeds.
   • User Experience: Outstream ads may auto-play with the sound off, and users usually have the option to expand or interact with the ad. These ads are often less intrusive as they don’t disrupt the user’s primary content consumption.

General Trends of Instream and Outstream Videos:

1. Growth of Video Advertising: Video advertising, in general, has been on the rise due to increased consumption of digital video content across various platforms.
2. Mobile Dominance: The shift toward mobile and the prevalence of social media have contributed to the popularity of outstream video ads. Outstream ads are often more suitable for mobile environments where users scroll through feeds.
3. User Experience Considerations: Advertisers are increasingly focused on creating non-intrusive and engaging ad experiences. Both instream and outstream formats aim to balance the delivery of the message with the user’s overall experience.
4. Programmatic Advertising: Programmatic advertising has become more sophisticated, enabling advertisers to target specific audiences with personalized messages. This trend is applicable to both instream and outstream formats.
5. Emergence of New Ad Formats: Advertisers are continuously experimenting with new formats, such as interactive ads, shoppable videos, and augmented reality experiences. These innovations may impact both instream and outstream advertising.

Considerations for the Future:

1. Effectiveness Metrics: The industry will likely continue to refine metrics and measurement tools to assess the effectiveness of both instream and outstream ads. Advertisers may focus on metrics such as viewability, completion rates, and engagement.
2. Technological Advancements: Advancements in technology, including improvements in video streaming, mobile devices, and augmented reality, could influence the development of new ad formats and enhance the capabilities of both instream and outstream ads.
3. Privacy and Regulation: Privacy concerns and regulatory changes may shape how advertisers target and measure the effectiveness of their video ads. Advertisers will need to adapt to evolving privacy standards and ensure compliance with regulations.
4. User Preferences: Advertisers will continue to pay attention to user preferences and behaviors, tailoring their strategies to align with how users consume content and respond to ads.

In conclusion, the future of instream and outstream advertising will likely be influenced by technological advancements, changes in user behavior, and industry innovations. Both formats have their strengths, and advertisers may choose between them based on campaign objectives, target audience, and the specific context in which they want to reach consumers.