The Benefits of Online Video Advertising

The Benefits of Online Video Advertising

Many people watch video content several hours a day on their phones, laptops, and smart TVs. The rise of online video has brought with it a rise in online video advertising.

Marketers are increasingly using social media platforms to promote their products and services as videos. 

However, unfortunately, a recent study found that 35% of the participants said that video ads frustrate them as they come in the way of their desired videos.

How do you make an online video ad that isn’t frustrating? To execute the best online video ad strategy, you need a solid understanding of what these ads are and how they can benefit businesses. Successful media planning demands researching your target audience and what they want–and don’t want. 

What Is Online Video Advertising

Online video advertising is an all-encompassing term for promotional video advertisements that play on websites or in apps before, after, or in the middle of streaming content. 

Video ads outclass static display ads in storytelling ability. They engage audiences more effectively, which is why marketers are investing hefty amounts in online video budgets.

In fact, viewers capture 95% of a brand’s message from videos, rather than just 10% from text ads. In addition to that, 64% of people are more likely to buy a product after watching a video about it.

How Video Ads Give You the Upper Hand

With these surprising statistics, it’s evident that including online video advertising in your marketing campaigns has tremendous benefits. Here are a few key ways video ads can benefit you.

Gain Trust From Your Target Audience

A Deloitte study revealed that 26% of millennials don’t trust businesses.

Fortunately, online ads can help you gain trust and build a longer, more durable relationship with your audience. That’s because video ads can depict a range of things that text or image ads can’t. 

For example, you can show them behind-the-scenes footage of your product launch or give them insights into your working process. This type of content can make people feel that they are a part of your brand.

Video Encourages Engagement

If an audience trusts you, they’re more likely to engage — and continue to engage over an extended period of time. That video is more immediately arresting than text, images, or sound in isolation is obvious — video can combine all of these elements and when done properly, boost engagement significantly. In a recent survey, 79% of the participants said that a product video from a certain brand convinced them to buy it. 

Social Media Networks Are Pushing Video Content

Including video ads in your social media networks can help you elevate your rank in the algorithms. 

For example, according to a recent study, Instagram videos succeeded in gathering more than twice as many comments as sponsored Instagram photos.

Moreover, Tweets with videos can generate 10x more engagement than tweets without videos.

Convert Sales

Video ads give you extra leverage. With a video ad, you can tell your story and position your product in a way that directly addresses a consumer’s needs.

Through an attractive video, you can excite the audience that needs your product and even make viewers aware of a problem they hadn’t previously noticed.

Many video ads play automatically without requiring the viewer to click on the ad. It’s part of why some people find them frustrating, but it also presents an opportunity. You’ve got their attention right away, rather than fighting for it against a backdrop of a million other text and image-based ads.

Types of Video Ads to Experiment With

Marketers use various types of video ads to promote their offerings. Here are a few popular types of video ads:

Interactive Video

These video ads engage users by asking them to give their input, such as polls, forms, surveys, external links, and more. 

Some interactive video ads allow users to experience an app, such as a mobile game, within the ad itself. You can use it as a little preview of your service.


Connected TV (CTV) advertising lets brands engage with their audience via Smart TVs, gaming consoles, and OTT devices. 

The ads are online, targeting specific content channels and audience segments. For example, the ads you see on Roku, Amazon Fire Stick, and Apple TV.

Unlike banner display ads, CTV is professionally produced content for television.

YouTube Ads

YouTube is also a great resource for advertisers. Advertisers use YouTube ads to target a wider audience. There are many different types of ads that you can run on YouTube, including:

  • In-stream Ads. These ads run before, during, or after YouTube videos and are either skippable or non-skippable. Users can skip skippable ads after five seconds, while non-skippable ads run for 15 seconds max. With skippable ads, advertisers only have to pay for views that are 30 seconds or longer. For non-skippable ads, advertisers pay according to the target CPM impressions metric.
  • Video Discovery Ads. Users can see these ads on YouTube’s mobile homepage lying next to related videos and other “places of discovery.” Once the viewer clicks on these ads, they are marked as “watched.” Video discovery ads on YouTube are priced per click.
  • Bumper Ads. These six-second (or shorter) ads reach a wide range of viewers with their precise and memorable message. Advertisers need to pay per impression for these ads.
  • Masthead Ads. These autoplay ads with no sound play for a maximum of 30 seconds at YouTube’s top home feed. Advertisers use these ads on a reservation basis and pay at a fixed cost-per-day or CPM rate, depending on their individual agreement with YouTube.

Facebook and Instagram Ads

It’s now been a decade since Facebook acquired Instagram, linking their services for both users and advertisers. Today, Facebook users watch more than 100 million hours of video on the platform daily.

Like YouTube, Facebook also has various advertising options. Primarily, you can create an ad on Facebook through their Ads Manager and access numerous options to leverage video.

Here are some of Facebook’s advertising options:

  • Slideshow. Marketers use slideshows to transform images and text into short, quick video ads.
  • Carousel Ads. Carousel ads let advertisers display a maximum of 10 images or videos within a single ad to increase audience engagement. Each has its own link.
  • Collection. This ad format allows advertisers to use a video to hook users with four grid images.
  • Instant Experiences. These are mobile-optimized ads that load within seconds and consist of videos, Https://Robotex.Ee images, tilt-to-pan photos, and carousels — all in one ad.
  • In-Stream Reserve. These ads appear on Facebook Watch, ideal for reaching teenagers in a safe environment.

Native Video Ads

Native video ads are paid media advertising designed to integrate a brand’s messages into existing content. 

Typically, they consist of in-feed video ads published directly to various platforms to target a specific audience group. Like other types of native advertising, they are designed to engage users more effectively by using a format that blends into the channel on which they are placed.

For example, native video ads include paid videos on YouTube and sponsored content on news websites. 

Stories Ads

Stories ads are one of the hottest yet most-effective Facebook and Instagram ad formats. 

Facebook Stories ads play for a maximum of 15 seconds, while Instagram limits them to 10 seconds.

Instagram stories ads allow users to choose their advertising objective from a list, including brand awareness, app installs, conversions, reach, lead generation, and more. The service will then suggest different campaign strategies in order to facilitate your goals, so it’s important to be clear on what those are.


How to Incorporate Digital Video Advertising Into Your Marketing Strategies

To integrate digital video ads into your marketing plan, you may find it helpful to start with these three steps.

Determine Your Video Ad Goals

First, identify why you are even using online video ads for your brand. Do you want more views? Do you want to generate more sales? Does your brand need more website traffic?There are three main categories when determining your goals:

  • Awareness. Making your brand visible to the audience. Awareness-focused strategies will track the percentage of recalls, brand recognition, total unique views, and conversions. 
  • Consideration. Convincing your target audience to consider your offerings and take action. 
  • Action. Action-oriented strategies focus on convincing users to take action. That action could be purchasing your product, subscribing to your mailing list, or sharing a post.

While these are not the only options available, they do represent the most common archetypes that capture most businesses’ goals.

Identify Target Audience

To identify your potential customers, you need to first see who is buying from you today. 

Then, segment your current customer base into different demographics, such as gender, age, occupation, location, income, and qualifications. 

Studying these demographics will help you understand which segments have a higher chance of becoming your customers. 

These groups are your main target audiences, and you need to make video ads accordingly.

Create Videos Specific to Digital Channels

It helps to make your video content specific to the digital channels you intend to use for your ad placement. Using multiple distribution channels for your video ads can help maximize their reach and engagement.

Some widely-used digital channels include:

  • Brand’s official website
  • Inbound campaigns
  • Outbound email marketing campaigns
  • Social media networks

Once you’ve chosen your digital channels, keep their requirements and parameters in mind while creating videos. The ideal aspect ratio for an Instagram video viewed on a phone is different than the ideal aspect ratio for a YouTube video viewed on a computer. Similarly, different services have different runtime options.

When Is the Best Time to Start Creating Online Video Ads?

Whether you have a new startup or an established company, now is the time to jump deeper into the digital world and leverage online video in your strategies.

Video ads help you gain your audience’s trust, build relationships, encourage engagement, and increase sales. 

Fortunately, you can choose from many types of video ads in order to meet your business goals.

Start by setting your marketing goals, identifying your target audience, and creating video ads specific to your selected digital channels. 


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