I think there were some useful concepts in this video which probably could have been explained more succinctly, in a couple or three minutes instead of almost 27 minutes (yes, I did watch the whole thing). But that is not uncommon in these sorts of things.
For a beginner to improvisation, playing chord/scale tones over the changes in the manner indicated in the video is probably a useful exercise for many (including me). It is of course not, in and of itself, how one actually creates an improvisation, and to be fair I don't think it was being presented as such. Bergonzi's "Inside Improvisation," for example, initially presents exercises that are simply different arpeggio orderings over the changes, and as exercises for beginning improvisation I think they are useful as a starting point, to gain familiarity and facility with the concept and its execution. And as saxoclese points out, the Aebersold approach, especially on Maiden Voyage, is very useful for developing this as well (I am playing tunes from that Aebersold book, as well as others, using this method).
I did like the analogy to story (melody) and background (harmonic progression), but it might have been even better had he also pointed out that for any given story (melody) there can be different backgrounds (harmonies) that apply. That might be useful info for some folks still learning about harmony (like me).
But on the whole I found it lacking much substance, or at least the substance that I am most seeking. I am still learning to improvise, and find myself using two different approaches: following my inner voice (as milandro mentions) and trying to play chord/scale tones over the changes. The expression of my inner voice often seems limited, so I am trying to learn to play over the changes in a way that is not simply creating various arpeggio voicings but actually creating something that is melodically and rhythmically interesting.
I agree with the Sonny Rollins quote that you can't be thinking and playing at the same time, and I find myself thinking too much when trying to play chord tones, but I hope that through repetition it just may eventually move from thinking to feeling, and just playing. Not there yet.
Ideally, I'd like to get comfortable and familiar enough with playing chord/scale tones to play solos that integrate them into my inner voice without thinking about them. Right now my inner voice likes to stick to certain stock scales and licks and such, without much variety or development. Hoping that by keeping on practicing playing chord tones I will be able to expand my vocabulary, both melodically and (perhaps even more important) rhythmically, in a way that doesn't involve excessive thinking. What I'd really like to see is a lesson specifically addressing how best one might approach integrating the chord/scale tones into one's inner voice in this fashion. This need to be thinking is really obstructive, especially since by the time I get comfortable with the chord tones, the damn song moves on to the next chord <sigh>.
Of course, I suppose one answer is the usual: get in the shed and practice. As with Eliza Doolittle repeating over and over the phrase about the rain in Spain, there may eventually be a Eureka moment when I can say "By George, I think I've got it!" Hopefully that day will eventually arise.