Here’s a good how-to article on how to generate dollars from video on your website.
As the article notes, IDC forecasts that the market will grow sevenfold by 2012, hitting $3.8 billion domestically.
Summarizing the points:
– Video helps produce lower bounce rates, higher levels of engagement, and more repeat traffic. – Sponsorship: Offering sponsorships of the player, a series of videos, or perhaps even of the entire video experience can be a compelling option for a brand advertiser. – Focus on the audiences your brand can pinpoint – Balance your zeal for monetization with the quality of the user experience – Create great content. The better your content and the more engaged your audience, the higher eCPMs will be for your videos.