Predictions for the next wave of UGC, and how advertisers can play a part.

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What's next for user-generated content?
"Longer form video and snacking will co-exist. We can create an engine that people will like better," said Dmitry Shapiro, founder and CEO of Veoh Networks. "If you don't have a watercooler, how do you discover new things? People need to recommend things to you. And to do that they need to know how you think. Both technology and people can do this. But the thing that helps consumers to best discover is technology driven by metadata, driven by people. Social networking creates metadata."

"Filtering is important. Whether it's a 'most dynamic' category or 'most commented on', these types of pre-set searches and channels will increase. And users want to create these choices," said Steve Jang, vice president of marketing and business development at imeem, inc.
 
Walk said, "Everything that has been mentioned, Google has been working on." He paused while the audience roared in laughter- of course they have.
 
"We can do better at recommendation and personalization. Users like to know what other videos they might like. It's not as easy as default things being done today. A better personalization option will help users find the ones among the millions of available videos that they will want to watch. Google reinforces tagging and search quality, so we're extending this into the video space."

Many executives see the ad model beefing up over time. Jeffries added, "We can already serve a pre- or a post-roll ad with content."

Herman shook his head. "No. The key is the content. It's ad-unit agnostic."

But not all content is created equal.

"The vast majority of content created is not ad worthy, even from a micro-payment standpoint," said Kostello. "Some of it will have value. But the experiences are very different. It's more complicated than any of us expected."

However, new technologies and tools coming on the market almost daily are helping amateurs produce more professional-looking content. Shapiro goes so far as to predict that in three years, user-generated content quality won't differ from that of professionals. "The content now might be valueless, but the value is the viewer."

How can advertisers play a part?
Where consumers go, advertisers follow. However, getting advertising to work effectively in social communities is still an open opportunity.

"Profile pages have a value, but it's not very immersive and advertisers worry about the content. You've got to think about more than total page views; it's about the user experience," a panelist said. "It can't just be adding Burger King's King as a friend on Myspace."

What's more, advertisers are concerned about inappropriate user-generated content associated with their brand. Moderator Joe Laszlo, research director at Jupiter Research, asked panelists what they're doing to solve this problem.

They all agreed that their clients are afraid of the credibility factor.

"TV ads faced the same issue-- think about a brand alongside cockroach-eating people on Fear Factor," Shapiro said. Now we all have our eyes set on the TV ad dollars. Creating interactive spots is getting easier and easier. We need to target well and serve ads from non-traditional advertisers. We are all strange people and we have diverse tastes. So why are we served the same ads? Programming and demographics can no longer be used to target. Instead we should use passion and hobbies."

Jeffries chimed in. "There are two big questions advertisers are asking. First, what content do I wanted to be associated with? And second, where will the content be distributed? Revver wants the ad messaging coordinated with the content and we use the human element to ensure that advertisers approve of the site they end up on."

What will this landscape look like in three years?
Panelists believe that the larger media companies are failing to keep up with the pace of change in consumer behavior.

"Bottom-up programmers are going to grow. It'll be a slow evolution for traditional media companies to adjust. The younger companies can take a lot of risk that more established companies cannot. Think about the risk YouTube took and it paid off. The key is to focus on how the user interacts with video. The user base wants to own their content," said a Buzznet executive.

"The problem with large companies is they're not doing strategic product development, which involves launch, listen and learn. Instead they're wasting six months doing strategic planning," said Robert Levitan, CEO of Pando.

Companies who put user needs above all else will be better able to adjust to media's ever-changing environment.

"Users are looking for a passive experience. They're saying, "Play me five funny clips in a row." We need to keep them entertained longer without them having to work hard," said Keith Richman, CEO of Break.com, a company he described as being centered around interest-based entertainment.

Consumers might one day sit back and relax, thanks to digital media executives working hard today on their behalf, but there will certainly always exist those influencers who challenge the status quo and make our communications and lifestyles more sophisticated than anyone ever imagined.

Rebecca Weeks is director of business development at Real Girls Media. Read full bio.