I have a hidden iframe and use display:block to reveal it when user click on the thumbnail. 
<iframe src="http://www.youtube.com/embed/cGEb-q5JMU0?autoplay=1" frameborder="0" allowfullscreen=""></iframe>
I also use autoplay=1 so the user doesn't have to click to start the video. The problem is that the video is playing in the background even though it's hidden. 
 
     
     
    