YouTube is testing a new ad format that could make livestreaming better for both creators and viewers. This new feature is called picture-in-picture (PiP) ads. It allows ads to play in a small window while the livestream continues in the background. This means viewers won’t miss any action, even during ad breaks.
Benefits for viewers and creators
The new PiP ads are part of YouTube’s effort to reduce interruptions caused by traditional ad breaks. Many viewers have complained about ads cutting into important moments during livestreams. PiP ads can solve this problem by letting viewers continue watching the stream while the ad plays.
This feature is similar to what TV viewers might see during sports events. For example, if you watched the 2024 Summer Olympics on Peacock, you may have noticed 30-second PiP ads during slow moments of the games. Applying this to YouTube could make livestreams more enjoyable and less frustrating.
For creators, this new ad format is a great way to earn money without upsetting their audience. YouTube’s data shows that creators who use mid-roll ads earn 20% more in ad revenue per hour. With PiP ads, they can maintain their earnings while keeping viewers happy.
How PIP ads work
Creators can enable the PiP ad format through their monetization settings on YouTube. They can also set this as the default for all their future livestreams. This makes it easier for them to manage ads without having to adjust settings each time they go live.
Monetized channels can set mid-roll ad defaults for future livestreams at the channel level. To choose your channel level settings, open the Live Control Room and click on Settings in the bottom-left corner.
YouTube is starting this test with select users on select devices. This means not everyone will see these ads right away. However, if the test is successful, more users will likely get access to this feature in the future.