Hm, I don't do music-vids, I do vids more like short movies, either subtitled or voiced over. I don't usually add a watermark on the ones that are subtitled unless they are really large (which having a dial up for internet they arent) because it interfears w. the text I use the old ULead video editor (2.5) (i hate the newer 'easier' ones), or MM Flash or director. If I do add a WM, I usually just do simple text as if I were doing a subtitle, although I could take a logo w. image and add that easily. I don't know if anyone uses these programs. I always view my scenes showing a thumb of each frame in the the editting window in a row, mimicing working with actual rolls of film (I started with 16mm film and learned digital editting from there, so I maybe backwards from most). Anyway, I just set up a new video file, import the image (or insert the text0 place it where I want it (drag+click) on the screen, adjust size if needed, extend this enough frames to cover the entire video (or scene), and then make it transparent. (sorry I can't do screen caps to better explain this).
One thing I want to mention- I needed to use video from trailers for the last harry potter film to make 'the platform' (its over at http://www.intertexius.com if you'd like to see it), but the trailers all had WB watermarks on them. I uhm, simply editted them out. So watermarks might discourage copying by some folks, and its good for credit (though I think actual credits before or after the vid are nicer), but its not fool proof to prevent copying. (and if you just see a little of that fanfilm, yes, most of it is stills, however the one thing I needed to be actual moving video was what I needed the watermarked trailer video for- an image of Snape turning around, hair swinging in his face. I lifted it from the scene where Snape catches harry in the corridor with the map- so besides editting out the big ugle WB water mark (the easiest part actually!!!) I also had to edit out Harry and Snape's wand which was more tricky)
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One thing I want to mention- I needed to use video from trailers for the last harry potter film to make 'the platform' (its over at http://www.intertexius.com if you'd like to see it), but the trailers all had WB watermarks on them. I uhm, simply editted them out. So watermarks might discourage copying by some folks, and its good for credit (though I think actual credits before or after the vid are nicer), but its not fool proof to prevent copying. (and if you just see a little of that fanfilm, yes, most of it is stills, however the one thing I needed to be actual moving video was what I needed the watermarked trailer video for- an image of Snape turning around, hair swinging in his face. I lifted it from the scene where Snape catches harry in the corridor with the map- so besides editting out the big ugle WB water mark (the easiest part actually!!!) I also had to edit out Harry and Snape's wand which was more tricky)