Uber to Launch Video Ads in Apps This Week

Uber has announced that it will soon feature video advertisements within its apps. These ads will be visible while waiting for a ride or during transit, as well as after placing orders in Uber Eats and in search results and other areas of Drizly. Additionally, some Uber cars will have tablets that display ads.

Users in the US will start seeing video ads this week. Tablets showing ads are installed country-by-city. The company plans to roll out video ads in the UK, France, Australia and other markets later this year.

Static ads have been shown on Uber Eats since 2019 and on the company’s ride-hailing app of the same name since last year. The company began offering new advertising tools in 2021 on alcohol ordering app Drizly, which it bought last year. Mark Grether, Uber’s vice president and director of advertising, said the company is on track to hit $1 billion in ad revenue by 2024.

Video ads in apps are muted by default (sound is played on tablets in cars) and are shown for a maximum of 90 seconds. The average Uber trip lasts about 15 minutes, and users typically spend two to three minutes looking at the app during their trips. “We have two minutes of your attention. We know where you are, we know where you’re going, we know what you’ve eaten,” Grether told the Journal. “We can use all of this to target a video ad to you.”

The company says it does not share individuals’ information with advertisers. You can opt out of ad targeting based on demographics and your activity in Uber’s apps, but you can’t opt out of ads entirely, Uber says. Unless, of course, you lock your phone or switch to another app.

It is not yet clear whether you will be able to close the ad as soon as it starts playing. If not, users will be temporarily unable to access certain features of Uber’s apps, such as safety tools and the ability to send messages to the driver or Uber Eats courier. ReturnByte has asked Uber for clarification.