Big Brands Jump on Flipboard’s New Video Ads

Including Jack Daniels, Gucci and Chrysler

Personal magazine company Flipboard is rolling out a trial program incorporating video ads into its users’ news streams beginning today. The program launches with eight notable brands: Jack Daniels, Gucci, Chrysler, Lufthansa, Conrad Hotels & Resorts, Principal Financial Group, Woodford Reserve and Fury, an action drama from Sony Pictures premiering in October.

Flipboard bills itself as "your personal magazine," an app that displays your favorite social media pages, news sites and blogs in one place. Its video ads will require a click from users and play in full-screen mode with audio. The company is reportedly looking into the possibility of auto-play videos—in the same style as Facebook—but is waiting to see how users respond to the ads first.

Flipboard has been busy this year, acquiring competitor Zite from CNN in March and striking a deal with the news organization for exclusive content. But digital video is an area advertisers are particularly interested in, with spending projected to grow 42 percent to $5.96 billion in 2014, per eMarketer.

"This trend makes video advertising on mobile devices highly popular as a channel for branding, and it made sense for us to add it to our offering to advertisers," said Christine Cook, Flipboard's head of advertising, in a statement.

During this pilot launch, the ads will be available for advertisers in the news, sports, and travel and entertainment industries, with more opportunities available as the company rolls out a wider program beginning Nov. 1. There is a minimum campaign level required for advertisers interested in including video, but Flipboard has said there will be no additional cost to add the videos at this time.