All signs point to a new content king and experts confirm — online video is the future of advertising.
First it was the shift from outbound to inbound marketing. Then it was the crowning of content as king. Today, it’s the rise of online video marketing. In the same way the internet reshaped how we access and listen to music, movies and our favorite TV series — online networks and platforms are permanently changing how marketers use video to promote products or services. In fact, according to the Interactive Advertising Bureau (IAB), 67 percent of marketers and agency executives believe online videos will be equally or more important than TV in as little as three to five years
!As it currently stands, marketers and advertisers are spending more than $10 million annually on digital video, which is an 85-percent increase from just two years ago. IAB also reported that 72 percent of marketers and advertisers surveyed plan to move more funds out of TV to allocate a larger budget for digital video advertising.
This doesn’t mean TV ad spots are any less important. TV still attracts majority of ad dollars. But while online video ad spending is expected to increase by another 28 percent this year, Per Magna Global TV spending is only expected to increase by .05 percent. Ergo — marketers should see online video advertising as a serious contender and start focusing on two-screen campaigns.
To help get you started, we’re going to discuss the three most popular social platforms for video advertising and how they’re evolving to meet this growing digital video marketing trend. We’ll also share some trade secrets on how to maximize the value of your video ad campaigns. Stay tuned…
1. YouTube Video Advertising
Every day, people search for and watch hundreds of millions of hours of video on YouTube. The online video platform reaches more 18 to 34 and 18 to 49 year-olds than any other cable network in the United States! This makes YouTube the most popular online video advertising channel and one of the largest search engines (second only to Google). It’s ideal for B2B and B2C marketing and because Google owns YouTube, it’s an excellent resource for increasing SEO ranking. YouTube is also No. 1 at translating TV dollars to online ads.
Marketers and advertisers can choose from several campaign types and create their ads using TrueView.
In-Stream
In-stream video ads play before a partner video and are most popular among big brands. They can be skipped by viewers after 5 seconds and marketers only pay when 30 seconds or more of their video is viewed.
In-Slate
In-slate video ads play at the beginning of other videos that are 10 minutes or longer. Viewers choose between three different ads and marketers only pay when their ad is watched.
In-Search
In-search video ads are located at the top right corner of video search results pages (like AdWords and text ads). Again, marketers only pay when their video ad is watched.
In-Display
In-display video ads play on embedded YouTube content on other websites. Once more, marketers only pay when their video ad is watched.
Bumper Ads - YouTube’s Newest Ad Format
Bumper ads are 6-second video advertisements you can set up through AdWords and budget for on a CPM basis (cost per 1,000 impressions). Best of all, viewers cannot skip through these ads, which means you are guaranteed complete viewability unless the viewer leaves the page.
Bumper Ads aren’t being pitched to marketers as a replacement to YouTube’s existing ad formats. Instead, the new format is intended to complement other video campaigns. The idea is for marketers to create long form advertisements (per the usual) and use bumper ads to support messaging or expand audience reach.
2. Instagram Video Advertising
Instagram is becoming a fast favorite among the millennial generation, particularly in the B2C market. The network focuses on sharing imagery to increase website traffic, create mass awareness and drive specific CTAs.
Previously, Instagram only allotted single, 30-second video ads. But recently, the social platform extended its video run time to 60-seconds and added video advertising to their super successful Carousel ad format. Within the Carousel ad format, advertisers can choose to display five, 60 second videos that viewers swipe through to watch. Or they can display a combination of videos and still images. Ads are purchased on a CPC (cost-per-click) or CPM basis, and budget size will determine audience reach.
Extending video length and including videos in the Carousel ad format means marketers now have greater flexibility to tell their stories. They also have enough time to creatively work in powerful CTAs. According to one source, the Carousel ad format is far more effective than single static images, increasing conversions by as much as 58 percent!
Additionally, Instagram is planning to change their algorithm. Instead of stories appearing in chronological order, users will receive stories Instagram thinks will most interest them first. The idea behind this change is to push marketers to improve content quality and ultimately — enhance the user experience for both audiences and advertisers
3. Facebook Video Advertising
Facebook is less popular among millennials, but it’s also the driver of a quarter of all web traffic, which makes it a serious contender. This social network is ideal for B2C marketing, and targeting local consumers. Video ads can be as long as 2 minutes, and follow similar guidelines as Instagram (Facebook’s sister company) in terms of set up and budgeting.
TRP Purchasing
To attract large brands who primarily advertise on TV, Facebook released a new purchasing product they call TRP buying. TRP, which stands for Target Rating Point, is the percentage of a company’s target audience that sees its commercials or ads. This metric is the same one that advertisers use to measure ad performance on TV. Combined with Facebook’s partnership with Nielsen’s Digital Ad Ratings division, the social site can now extend TV ad buys to Facebook and Instagram. This enables marketers to plan video campaigns across TV and Facebook using a collective TRP target, and buy a share of those TRPs directly via Facebook.
Marketers plan, buy and measure Facebook ads using the same assurances and Nielsen verification as they are familiar with in TV ad buying, and this makes it easier for them to supplement TV ad campaigns, expand audience reach and achieve greater brand recognition.
Two New TRP Features
Just this spring, Facebook updated their TRP purchasing to include two new features:
US Nielsen DMA Targeting
Dayparts
Now, marketers can target the same Nielsen Designated Market areas in the U.S. as their TV ad buys reach, and they can select dayparts in four hour blocks for TRP campaigns.
General Creative Best Practices
As you create your next video marketing campaign, keep these general creative best practices in mind:
Make your brand logo large and clearly visible
Include a CTA within the video ad
Introduce your brand at any point in the video ad (it will not impact metrics)
Vary the tone of your ads (comical, dramatic, inspiring, etc) to appeal to the millennial generation
Consider that 15-second native video ads drive greater recall and purchase intent than longer videos
Use auto-start for native video ads
Optimizing TV to Mobile Video Ads
It’s also important to remember your mobile viewers. According to Business 2 Community, mobile accounted for nearly 82 percent of Facebook’s US digital ad revenue this year. That being said, marketers should adjust the aspect ratio for mobile viewers and consider shorter video ads. Adding text to the video is also helpful so viewers can get the full story without having to turn up their audio. Finally, experts recommend enhancing your branding visuals.
We just tossed a lot of online video advertising info at you, but don’t get overwhelmed. If this feels entirely outside your wheelhouse, consider working with an established video marketing agency. They’ve got the resources, practical knowledge and skills to help you create and distribute powerful video marketing campaigns that deliver results.
Leave a Reply