To create a track with a Video object, first insert a chapter from the Toolbox into the Timeline.

Drag a Video object to the location where you want the video to begin. If you are creating a new track, drag the video object to the "Drag here to create new track" label. Now the file selection window appears, where you select a video file.

Alternatively, you can use the File browser and drag a video file from there to Timeline; you do not need the video object in this case. The video file will be detected automatically.

Using the Chapter object this way you can Label the video with an additional Text object.