Microsoft Launches Ad-Supported Long-Form Video Site in U.K.

Microsoft is launching an ad-supported video-on-demand service in the U.K. next week. At launch, the MSN Video Player will feature 300 hours of long-form content from BBC Worldwide and All3 Media, featuring shows such as Peep Show, Shameless, and the Young Ones, supported by pre and mid-roll ads.

The service will initially launch as a six-month pilot, during which all ads have already been sold exclusively through WPP-owned agency, Group M.

Despite the fact a range of on-demand video streaming services are already available in the U.K., Microsoft’s U.K. ad sales director Chris Maples said the demise of Project Kangaroo — the proposed VOD tie-up between major U.K. commercial broadcasters — opened the door for a high quality video aggregation service. “There’s room for multiple players in this market. We know we have to provide a great user experience, and we will focus on doing so. We have a great track record in providing an attractive advertiser audience across our network,” he told ClickZ.

Thirty-minute shows will be supported by a 15-second pre-roll and 15-second mid-roll ad, while 60-minute programs will feature an additional 15-second pre-roll. “We’re taking a ‘less is more’ attitude to advertising. At this point we won’t be offering skins or overlays or anything like that; we’re just keeping it simple,” said Maples.

With the presence of existing VOD services such as Channel 4’s 4OD, and an expected U.K. launch for prominent U.S. player Hulu later this year, Maples acknowledged that competition for ad spend is competitive, but said he is confident Microsoft’s existing agency relationships and broad U.K. reach will continue to attract advertisers.

“There’s not enough money about at the moment for agencies and advertisers to spend with hundreds of media owners and outlets; buyers are having to make some pretty big bets,” Maples said.

At launch the service will be promoted only across Microsoft’s network of owned and operated properties, and on the MSN homepage itself. Maples said there are currently no plans to launch services outside of the U.K., but success locally “could well” lead to introductions in the U.S. or elsewhere in Europe.

The U.K. service should be live by the end of next week.