Every year, mobile video consumption rises by almost 100%. Users are more likely to engage with content online if it includes a video, and 6 out of 10 people would rather watch a video online than TV. It’s no surprise that more and more marketers are relying on video advertising to drive conversions, impressions, and sales. Videos are engaging, and studies have found that viewers are likely to retain 95% more of the information they see in a video than if they were to just read it as text.

Video advertising is an effective way to reach your customers online. Here’s what you need to know about video advertising as part of a balanced digital marketing strategy.

Video Advertising: What’s Out There

There’s a whole lot of things out there under the umbrella term of “video.” A significant portion of video advertising is on Connected TV platforms. Connected TV refers to any device that supports digital multimedia streaming from the Internet. Also referred to as Smart TV, you can think of Connected TV as the merging of computer technology and television. With Connected TV, you can easily stream Netflix, Hulu, Amazon Prime, and other services.

With nearly half the homes in the U.S. owning a connected TV system, it’s proving to be a powerful tool for advertisers and marketers across multiple industries. It allows for better targeting of customers, and advertisers have access to a savvy audience of consumers who enjoy watching their ads on the big screen through a traditional TV experience.

Some other key benefits of connected TV advertising include:

  • More precise targeting based on geolocation, zip code, interests, online behavior, device, language, and others
  • Versatile and affordable budget opportunities when compared to traditional TV advertising
  • High-quality ads that mimic the traditional TV experience
  • High ad completion rates
  • Variety of creative ad formats

While connected TV is a powerful new platform for marketers to incorporate into their video advertising strategy, it doesn’t yet measure up to the powerhouse of the Internet’s most trusted video provider: YouTube.

The Benefits of YouTube Video Advertising

For millennials, YouTube makes up two-thirds of the premium online video watched across multiple devices. There are more YouTube Videos viewed every second in the world (81,000) than Google searches (79,000).

The platform has an enormous reach given its huge user-count, and Google makes it easy to target specific audiences by demographics like age, location, parental status, and interests, as well as group them into in-market audiences, affinity audiences, and custom intent audiences.

Combining these intent signals with advanced targeting allows you to advertise with potential customers who have already expressed interest in your brand, whose likes and interests align with your specific products.

What’s even more enticing about the YouTube platform, however, is how it influences purchasing decisions for its audiences.

Purchasing Behavior on YouTube

Multiple studies have suggested that YouTube has a significant impact on its’ audience’s purchasing behavior. The platform is a powerful way to reach customers directly and show them the key benefits to your product.

According to a 2014 YouTube Insights Report, “66% of beauty product buyers say YouTube influenced their purchases by helping them visualize how products fit into their lives.” For customers looking to buy a new car, that number was 72% and for smartphone purchasers, 62%.

Think about your own purchasing behavior. Before buying a product, have you ever stopped to watch a review of it on YouTube to see how it worked? Leveraging your brand’s content on YouTube allows you to make a direct impression on your most qualified customers.

In addition to its advanced targeting options and influence on buying behavior, YouTube advertising delivers an exceptional return on investment for marketers.

High ROI for YouTube Video Advertising

According to an analysis between media exposure and offline sales,YouTube delivered a higher ROI than traditional TV in 80% of the case studies analyzed. The analysis was performed across 8 countries by a number of industry leaders.

In addition to having higher ROI than traditional TV, YouTube offers a variety of advertising options for virtually all budgets. That way, your team can choose the budget that works best for your product, while still taking advantage of an exceptional ROI in the digital advertising space.

How to Tackle Your Video Advertising Strategy

When it comes to setting your budget, developing your creative assets, figuring out your target audience, and executing a successful YouTube advertising strategy, there’s a lot to keep in mind.

That’s why we recommend working with a digital advertising platform that knows the ins and outs of video advertising, have a decade of insights from running video advertising campaigns, and which audiences to use, when to use them and why to use them. At Netsertive, our YouTube video solution offers ad localization that benefits businesses with a focus on local sales.

Additionally, we understand how to create brand-compliant video ads for franchises and individual locations, as well as how to perform testing to ensure a video ad campaign delivers optimal campaigns performance when it’s added to other digital marketing channels like search, social and display.

Learn how to beat out the competition and deliver high-quality, conversion-delivering video ads with Netsertive.

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