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Instream vs Outstream Video Ads What’s the Difference

Instream vs Outstream Video Ads: What’s the Difference?

Video ads have become a cornerstone of digital advertising, offering a dynamic way to capture audience attention, educate viewers, and drive conversions. As more brands leverage video content to promote their products and services, understanding the various types of video ads is critical for choosing the right strategy. Two popular video ad formats are instream and outstream video ads. But what exactly are these formats, and how can they be used effectively? 

In this blog post, we’ll explore what instream and outstream video ads are, compare their differences, and discuss which option might be better for your marketing goals. Along the way, we’ll provide insights into how explainer videos, product videos, and illustrations can enhance your video ad strategies. 

What Are Instream Video Ads? 

Instream video ads are ads that play directly within a video content stream. These ads are embedded in the video player and typically appear before (pre-roll), during (mid-roll), or after (post-roll) the main video content. This type of ad format is a highly effective way to capture user attention because it’s directly tied to the video content that users are watching. 

For instance, imagine a user is watching a tutorial video or an explainer video on how to use a particular product. An instream ad could appear at the beginning of the video, advertising a product or service. Because users are already in a video-watching mindset, they are more likely to engage with video ads. 

Types of Instream Video Ads: 

  1. Pre-roll Ads: These ads play before the main content. A user has to watch the ad before accessing the video they intended to view. 
  1. Mid-roll Ads: These ads play during the content, typically after a specific segment of the video. These are often used for longer videos. 
  1. Post-roll Ads: These ads play after the content, at the end of the video. 

The advantage of instream ads is that they typically have a higher engagement rate due to the captive audience already engaged in video content. For example, if a company uses product videos or explainer videos, these ads can be highly relevant and targeted. When viewers see an ad directly related to the video they’re watching, they are more likely to find the ad useful and engage with it. 

Why Use Instream Video Ads for Explainer or Product Videos? 

  • Targeted Engagement: Explainer videos often solve specific customer problems, and placing instream ads related to these solutions enhances the likelihood of user engagement. 
  • Higher Completion Rates: Since instream ads are viewed within the video player, viewers are more likely to stay engaged, especially when the ad is well-tailored to the content (such as a relevant product video or educational explainer). 
  • Stronger Branding Opportunities: Instream ads offer an excellent chance to showcase your brand within a well-targeted, relevant context, increasing brand recall. 

What Are Outstream Video Ads? 

Outstream video ads are a newer format that plays outside of video content. Unlike instream ads, outstream ads do not appear within a video stream but are placed within non-video content, such as articles, websites, or social media feeds. Outstream video ads begin playing automatically once the user scrolls to them and stop when they leave the visible area of the screen. 

These ads are often more flexible and versatile than instream ads because they can be placed almost anywhere on a webpage or app, making them suitable for a wider range of websites and digital platforms. 

How Outstream Ads Work: 

  • Outstream video ads are often embedded into the text, either in between paragraphs of an article, within social media feeds, or as part of a website layout. 
  • As users scroll, the ad plays when it enters the screen and pauses once the user scrolls away. 

For example, you may see a product video or explainer video auto-playing on a website as you scroll through a news article or blog. The goal is to capture the user’s attention while they’re actively engaging with other content. 

Benefits of Outstream Video Ads: 

  1. Broader Reach: Outstream video ads can reach users across a wider variety of platforms and web pages. Unlike instream ads, which require a video player, outstream ads can be used anywhere text-based content is present. 
  1. Non-Intrusive: Outstream ads are less disruptive because they appear as part of the content and don’t require users to watch a specific video. 
  1. Cost-Effective: Outstream video ads can often be more affordable than instream ads, as they don’t require users to be watching video content specifically. 

Because these ads appear in various places, such as blogs or articles with illustrations, they are ideal for explainer videos or product videos that aim to catch users in a moment of browsing and reading. 

Which Is Better: Instream vs Outstream Video Ads? 

The choice between instream and outstream video ads depends largely on your campaign goals, audience, and content type. Both formats offer unique advantages, but they cater to different marketing objectives. 

When to Choose Instream Video Ads: 

  • High-Engagement Video Content: If your content is video-heavy, such as tutorials, explainer videos, or customer success stories, instream ads are a natural fit. They can be used to target viewers who are already actively watching video content. 
  • Strong Call-to-Action (CTA): If your goal is to drive a specific action (such as purchasing a product or signing up for a service), instream ads can be highly effective since users are already in a video-watching mindset. 
  • Brand Storytelling: If you want to tell a compelling brand story or product journey, an instream ad provides a seamless way to integrate your message with existing video content. 

When to Choose Outstream Video Ads: 

  • Broader Audience Reach: If you want to cast a wider net and engage users who may not be actively watching video content, outstream ads are perfect. They can appear on websites, blogs, and social media feeds. 
  • Non-Intrusive Messaging: Outstream ads allow for a more organic and non-intrusive user experience. This format works well for explainer videos or product videos designed to inform or educate the audience without disrupting their current activity. 
  • Cost Efficiency: If you’re working with a smaller budget or need to reach a large audience, outstream ads can often deliver a lower cost per impression (CPM) than instream ads. 

A Blend of Both: 

Many brands find success in using both instream and outstream video ads in their strategy. For example, you might use instream ads on video platforms like YouTube for high-engagement campaigns and outstream ads on websites or social media for broader reach. By leveraging both formats, you can capture users at different stages of their customer journey. 

Final Thoughts on Instream and Outstream Video Ads 

Both instream and outstream video ads offer distinct advantages, and which one is right for you depends on your business objectives and target audience. If you’re aiming for deep engagement with users who are already watching video content, instream ads could be a great fit. Alternatively, if you’re seeking more flexibility and cost efficiency, outstream ads provide an opportunity to engage a wider audience in a less disruptive way. 

When crafting explainer videos, product videos, or even illustrative ads, it’s essential to consider the context in which your video will appear. Each video format has its unique strengths, and with the right strategy, you can leverage these ad placements to achieve impressive results. 

What Is the Difference Between Instream and Outstream Video Ads? 

Instream and outstream video ads differ primarily in their placement and the experience they offer to viewers. 

  • Instream Video Ads: These ads are placed directly in the video content stream. They are typically shown before, during, or after video content and are designed to capture the attention of users who are already engaged in watching videos. Instream ads work particularly well with explainer videos or product videos because they directly reach viewers who are interested in video content. 
  • Outstream Video Ads: These ads play outside of traditional video content and appear within text-based content, such as articles, social media feeds, or websites. They are less intrusive and can reach a wider range of users, making them ideal for explainer videos or product videos that aim to provide value without interrupting the user’s browsing experience. 

Examples of Outstream Video Ads 

Outstream video ads are versatile and can be displayed on a variety of platforms and content types. For example: 

  • News Websites: An outstream ad could appear embedded in the middle of a blog post or article, auto-playing as users scroll. 
  • Social Media Feeds: Platforms like Facebook, Twitter, or Instagram allow outstream ads to appear in users’ feeds, seamlessly integrating with their content consumption. 
  • Mobile Apps: Outstream ads can also be placed within mobile apps, capturing the attention of users who may not be actively watching videos but are still engaged with visual content. 

For example, a product video showcasing a new gadget might appear in the middle of a news article about technology trends. Similarly, an explainer video that demonstrates how to use a service could show up on a website focused on digital marketing. 

Key Differences Between Instream and Outstream Video Ads (According to the IAB) 

The Interactive Advertising Bureau (IAB) has outlined several key differences between instream and outstream video ads: 

  1. Instream Video Ads: These ads are embedded in the video stream, often appearing as pre-roll, mid-roll, or post-roll ads. They are highly effective for targeting users who are actively watching video content. 
  1. Outstream Video Ads: These ads are embedded in non-video content such as articles, blogs, or social media feeds. They play when users scroll into view and stop when they exit the screen, offering a less intrusive experience. 

Conclusion 

Instream and outstream video ads are both effective tools in your digital marketing arsenal. By choosing the right format based on your goals, target audience, and content type (like explainer videos, product videos, or illustrations), you can significantly enhance engagement, brand awareness, and conversions. Whether you prefer the direct approach of instream ads or the broad reach and flexibility of outstream ads, both formats offer unique advantages. 

If you’re unsure about which ad format to use for your business, consider combining both strategies to create a well-rounded, effective video marketing campaign. And if you need expert help in creating high-quality explainer videos or product videos, partnering with a professional explainer video production agency like Wenimate can help you craft compelling content tailored to your audience’s needs. 

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