Of course, we’ve all heard it before that video advertising is king! But, how can you make it the king of your business marketing plan? To keep up, you need a strong foundation with the judgment to think critically, act independently, and be relentlessly creative.
Online Marketing has been in use for quite some time now. Especially, for marketing businesses, brands, products, or services using digital technologies on the internet. As well as, through mobile phone apps, display advertising, and any other digital mediums.
An online business that leverages on various digital channels such as Google Search Console, social media, email, and its website for various reasons is bound to succeed. By the same token, through video advertising, businesses are more likely to connect with their current and prospective customers.
And by all means, that’s why I wrote this blog guide. To empower you with the solid building blocks to stay ahead in the ever-growing and aggressive advertising industry. But, that’s alone is not enough! For in order to grow, your digital marketing plan requires an extra touch from lead marketers and brand affiliates (like jmexclusives).
Without further ado, what does video advertising entail? And how does it work?
What is Video Advertising?
Video Advertising is promotional content that plays before, during, or after streaming content. With some marketing professionals also expanding the definition to include display ads with video content. Such as those that start playing when a person puts a mouse cursor over them and native video ads promoted on digital ad networks.
In reality, video advertising is one of the most popular ways to reach online audiences. Making even experts believe that it will dominate the next decade. This means one thing, that now is an ideal time for marketing professionals to learn more about it. And also investigate how video marketing could improve their reach and overall effectiveness with campaigns.
Video Marketing can be used for everything from building customer rapport, to promoting your brand, services, or products. Additionally, video marketing can serve as a medium for businesses to grow through;
- Presenting contents on how-to,
- Promoting customer testimonials,
- Live-streaming events, and
- Delivering viral (entertaining) content.
But, it’s important to realize that the digital video world is not static. And that’s why experienced marketers know they must stay on top of new developments. While at the same time, as they try to understand what their audiences want and need.
How are Display Ads & Video Advertising different?
First of all, Display Ads are paid advertisement that appears in the digital space, whether on a website, social media network, or app. The earliest ones were the rectangular-shaped banner ads shown at the top of a site’s main content.
Display ads aim to boost brand awareness and purchase intent. However, their click-through rate is just 0.05% across all formats. Plus, some people demonstrate “banner blindness,” where they get so fatigued by the ads that they don’t notice them anymore.
That’s why this well-known shortcoming of display ads compel marketers to look for other alternatives. That shift led to the use of video ads, which are great at driving awareness, engagement, and conversions. In fact, 72% of people prefer video over text when learning about a product or service.
And according to Forbes, the average internet user spends 88% more time on a web page that has video, compared to one without. In one study, using video on a landing page increased conversions by 86%.
What about Native Video Ads?
Native ads are ads that blend into the form and feel of the web page they appear on, so they don’t look like ads. They take a softer approach to selling than conventional display ads. And also, they have a substantially higher click-through rate too.
Statistics predict that marketers will devote 38.7% of their budgets to native video ads in 2020, a slight increase from 38.1% in 2019.
Which are the Pros of Video Advertising?
Marketers can benefit from numerous perks associated with video advertising. For example, video content catches users’ attention, and when people tune in, brand awareness goes up. YouTube recently announced opportunities for marketers to display their video ads with “edgy” creator content.
With the prominence of video content on social media platforms and search engines continuing to grow, having a video marketing strategy for your business has never been more important.
By 2020, the video industry will account for 82% of all internet traffic, according to Cisco. And it’s easy to see why. The combination of visual and audio content has long been compelling to people, as we saw with the groundbreaking inventions of film and television. So, how does it benefit your marketing strategy?
1. Video ads are easily digestible
It’s not too hard to see why video is so popular these days — for one thing, it’s an easy-to-digest format that gives our eyes a rest from the overabundance of textual information online. This would be why the world reportedly watches 1 billion hours of YouTube social video per day.
And those of you who are headed towards digital marketing careers should have a complete understanding of the power of video as a marketing tool. This is not only because they might be interested in making amazing videos, but because they’ll probably have to learn to incorporate video into their content in order to remain competitive.
2. They are accessible on multiple platforms
Video is a versatile and engaging content format that not only gives us a real-life picture of what is going on; it’s also easy to share across multiple platforms. Consumers like it because it’s easy to digest, entertaining, and engaging, and marketers like it because it can give a potentially huge return on investment (ROI) through many channels.
Video is also very accessible to anyone with internet access, both to watch and to produce. While there is certainly a trend towards higher quality video on a professional level, anyone can hop onto their laptop and create their own video in under an hour.
3. Provides a wide range of ads placement
The placement of a video Ad matters since the goal is to make any advertising content minimally disruptive. If an ad appears where there’s a natural break in the programming, such as before a presenter discusses a new topic, viewers may be more willing to tune in.
More and more marketers are using advanced solutions like Outbrain Smart ads Scroll-to-Watch and Click-to-Watch video ads. All in which the viewer actively opts-in to watch. While regaining control over the online experience they want to have. This directly contrasts with the intrusive and annoying nature of the pre-roll video. Bringing much better completion rates.
4. Offers lengthy & valuable information
YouTube was one of the first platforms to offer six-second ads. Since late 2015, however, the most popular video ad length is 30 seconds. This data suggests that when it comes to video, people are willing to pay attention for a bit longer.
In one recent example, OYO, one of the world’s largest hotel chains, released a series of “ad films” in the Indian market. Some of those are more than a minute long, and all of them emphasize that staying in a low-priced hotel room does not require sacrificing on quality.
An advantage of an extended format is that advertisers have more time to tell a story and pull users into what’s happening on screen.
5. Increases the brand reputation awareness
Simply, because product video marketing is all over the Internet. Look no further than your favorite brands, your Facebook, your YouTube homepage, and there it is: successful video marketing that has found its way to your eyes. If a photo’s worth a thousand words, then how much more valuable is a video? That’s the basis of video marketing.
A forward-facing marketing strategy that integrates engaging video into your marketing campaigns. On the surface, the how of video marketing is pretty simple: Your brand creates videos that, in some way or another, promote your company, drive sales, raise awareness of your products or services, or engage your customers.
6. Video ads are easily shareable by users
People share videos they love, and most streaming platforms have built-in sharing buttons. Videos convey lots of information in a short time, too. That perk makes video advertising ideal for telling a story.
You can experiment with background music, camera angles, and dialogue to connect with your audiences. Then, they’re more likely to remember what they see, and better yet, remember your brand. Plus, you can optimize video for mobile devices.
As a starting point, that means your marketing team should ensure the video plays smoothly on mobile devices and looks great on small screens. Take the video’s orientation into account, too. For example, many people naturally use their smartphones while holding them vertically.
However, that could change if a person wants to watch a video that lasts at least several minutes. Try to imagine what people will be doing when they initially encounter your video advertising methods, then adjust your creation strategy to fit.
7. In practice, it’s a little more complicated
Like many of your marketing efforts, video marketing is data-driven, so you’ll want to monitor various metrics and track customer engagement. As a medium, it takes more time to produce a video than any other kind of online marketing. Therefore, to ensure you get the best value, a video marketing strategy is required.
The goal of any video advertising campaign is to keep the viewer interested. Companies can achieve magic by using animation in their ads. Additions like cartoons blended with real-life footage and motion-tracked graphics can make the content lively, relevant, and fun.
Animation gives marketers more options for creating various types of video ads, some of which may be difficult or impossible otherwise. And as professionals continue to study audience preferences, they’ll likely realize ways animation technology can make content more appealing.
Which are the Cons of Video Advertising?
Though marketing with videos is gaining popularity, that doesn’t make it a guaranteed win for marketers. To date, television is still the most effective way to advertise, and certainly one of the most expensive.
Online video can be a powerful tool, but it is, like television, pricey when compared to banner ads, and audio ads. But, although video advertising is valuable, it has some downsides;
7. It limits the conversion rate in terms of duration
Research indicates smartphone users are more likely to watch long-form video ads than those lasting only six seconds. Once they’ve watched for six seconds, 72% of users continue to engage. Plus, they’re committed to the video more than those on a desktop.
Even among mobile users, however, attention drops sharply after 22 seconds. This finding suggests marketers creating video ads for mobile should be mindful of length based on the type of traffic they want to attract.
8. There are concerns about over advertisement
Research by an Irish study indicated 60% of respondents felt there was too much advertising associated with on-demand video platforms.
With 35% saying that they got frustrated with those ads because they prevented them from watching their desired content. Stats like those indicate marketers must be exceptionally careful to create video ads the audience perceives as genuinely valuable and relevant.
9. Video Advertising is becoming expensive by the day
A report published in April 2019 confirms digital video ad budgets are up 25% year over year. The growth is more substantial in specific industries. In media and entertainment, for example, video-based ad spending increased by 75% since 2018.
Advertisers need to remain aware of these shifts, especially if their companies show signs of pending budget cuts. Forgetting about video ads could cause them to fall behind competitors.
Which are the Best Types of Marketing KPIs?
Before solidifying a video advertising approach, choose the best key performance indicators (KPIs) to track. With KPIs, you’ll know if your efforts are paying off or if tweaks are necessary.
Whereby, the first step in an optimized video ad strategy is to choose a goal. What do you hope to achieve by the end of the campaign? Google BrandLab, for instance, uses three categories when choosing KPIs – awareness, consideration, and action.
Always remember that the KPIs you choose will vary based on what you’re trying to achieve. With some of the outcomes you might want and the KPIs associated with them.
Here are some examples;
- Awareness: Percentage of conversations about the brand, increase in recall or recognition, and the number of unique views.
- Traffic: Percentage of new visitors to a site and of people who visit after clicking on a link in a video.
- Lead generation: Number of conversions, cost per lead on video channels versus non-video channels, and overall conversion rate.
- Purchases: Number of purchases due to a link or a promo code shown in a video ad and the average amount spent.
However, these goals and KPIs are not your only options, of course. Nevertheless, the examples above offer a starting point for what to measure in your video advertising strategy.
Keep in mind that you should not necessarily use the same KPIs from year to year. For one thing, KPIs will change as your marketing goals do. That’s why it’s smart to revisit the KPIs used for video advertising or other reasons at least annually.
Then, you can ensure the KPIs still fit with your company’s overall goals.
How much do you invest in Ads?
The amount you invest in video advertising will vary based on your goals and financial resources. If you’re jumping into video ads for the first time, start gradually and scale-up. Consider hiring some expert help to guide your early efforts, too.
Although that’s not a requirement by any means, those professionals will have their finger on the pulse of video advertising trends. Moreover, they’ll be well-positioned to offer suggestions for crafting video content that matches your brand and helps achieve those all-important KPIs you choose.
Effective video marketing can generate millions of views and shares in a relatively short time, meaning you may not need to wait very long to see substantial payoffs.
One of the best ways of growing an eCommerce business is to invest in digital marketing. And if you want more customers, you will need to get your name out there. Especially, in order to drive more traffic to your online store and generate sales.
And by using the best digital marketing channels out there, you can help your eCommerce business grow at a supersonic speed. Not forgetting, to keep up with the current trends, that’s why you need a strong foundation. With the judgment to think critically, act independently, and be relentlessly creative.
In fact, Online Digital Marketing – the beautiful stuff we proactively do so well here at jmexclusives, has followed suit. And it’s fast becoming one of the most effective ways to reach out to (both new and existing) overall online audiences. Almost instantaneously!
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- Video Marketing | 5 Simple Steps to Get Started in 2020
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- Google Ads | Get More Customers With Online Advertising
- Online Marketing | What Beginner Marketers Should Know
And if so interested, you can read and learn more about What are Digital Marketing Channels?