(This is part 1 of a 2-part post. If you’d like to read part 2, click here.)
If you’ve ever watched a video on YouTube or tried to watch Taylor Swift’s latest music video, (Wait, you don’t do that? Oh, me neither…) you’ve probably experienced video advertising, a.k.a. YouTube TrueView Ads.
According to Business Insider, digital video advertising is the second fastest growing advertising format and medium next to mobile. It’s no doubt that video advertising works. With the rise in video advertising, subsequently, there has been an increase in video advertisers.
To train, educate, and certify video advertisers, Google came up with their Video Advertising Certification as a part of their Adwords Certification program. This 74-question exam tests for both basic and advanced knowledge of creation, management, and optimization of video advertising campaigns for YouTube.
I took this exam and, during the process, quickly learned that the world of video advertising is full of possibilities and features that have never been accessible through other means of advertising. Here are 10 ways that online video has changed the world of advertising.
1. Only reach the people you want to reach
One of the biggest perks of digital advertising is the ability to hyper-target people for your ad. Gone are the days when reaching a target audience meant spending a lot of money to reach a lot of people that weren’t necessarily in your target demographic.
Now, with Google TrueView, you can target specific age and geographical demographics, different topics of interest, and ensure that your ad is being seen by the people you want to see it. Google uses their massive user database to inform targeting decisions including user search habits, interactions with other videos, and history. For example, if someone has been specifically searching for products similar to yours or has been watching videos related to your industry, he or she will have a much higher chance of seeing your ad.
2. See how you’re doing in real-time
After creating an ad, it’s not always easy to track exactly how effective your ad has been. You may have questions like:
- What are consumers doing after watching my ad?
- Has my ad effectively increased brand awareness?
- How many people has my ad actually reached?
Traditionally, these questions would have been hard to answer, but with the help of Google Analytics and AdWords, you can now see exactly what happens after people watch your ad. You can track user behaviour like site visit habits, online purchases, ad recall and lifts in brand awareness.
3. Only pay for engaged users
CPV stands for Cost Per View. This is a revolutionary pricing system–especially if you’ve ever worked in Television Advertising. Normally for TV advertising, you pay for a time slot on TV and, depending on the average viewers and air time, you pay a certain price (that price usually being relatively expensive).
With CPV, you only pay when someone chooses to watch your ad. This is great for two reasons:
- You’re not losing money when uninterested people watch your ad.
- This encourages advertisers to create more meaningful, helpful, valuable ads. (Stay tuned for my next blog post about creating an effective video content strategy!)
With this pricing system, the relationship between consumers and advertisers in not only stronger, but mutually beneficial.
4. Get valuable information about your customers
This was touched on in #2 but I want to emphasize other types of data that can be extremely helpful for advertisers using Google and YouTube Analytics.
For example, you can track audience retention and drop off rates. This helps you know exactly where in the video you’re losing people’s attention so that you can optimize ads for the future. Information on demographics, user interaction after watching your ad, and engagement rates are all examples of data that can help you create and manage better video ad campaigns.
5. Build a community
A big part of YouTube TrueView ads is not just the ability to distribute your ads, but the ability to create and encourage community between your business and your customers. YouTube is known for its communities and subcultures, which some brands have been able to tap into. GoPro is a prime example of a brand that has successfully created a strong brand loyalty and community through YouTube. By creating valuable content and encouraging user-generated content, they have built a solid community of engaged fans.
Creating valuable content is the start to creating a strong community with your customers, and now with TrueView ads, you can make sure your content is being seen by potential customers.
By Daniel Roe