Brands and advertisers are discovering a new space in Web video and sponsored Web videos. Although there are many opportunities in this space, there are some challenges since it is still relatively new.

While at SXSW, WebProNews spoke with Andrew Hampp, a reporter with Advertising Age, about this space. Because there are very few standards, he said Web video is one area of the Web that is often perceived as the Wild West. It is now up to brands and advertisers to determine how they can produce a series of sustainable videos online and generate revenue from them.

According to Hampp, audiences expect TV quality online; however, most brands do not have big budgets to support it. On the plus side, digital spending is increasing. Additionally, people like former NBC co-chairman Ben Silverman are bringing bigger and better talent to the space.

As Hampp points out, as long as there is TV quality talent on the Web, then there would be a TV audience for it as well.

What are your thoughts on this matter?