Youtube has been around for over a decade and has seen many changes. The streaming giant has risen to be one of the most watched platforms in the world, with a growing user base that doesn’t seem to be slowing down.
Many brands and individuals have taken to Youtube to reach their audiences and provide them with exciting content. The platform has a host of features and formats that let you design creative content and have it uploaded with ease. This platform poses an incredible opportunity for businesses to advertise on Youtube and access a vast consumer base.
Since Google owns Youtube, you advertise on Youtube through Google Ads. If you already use Google to advertise on the search engine, this would be a convenient addition to your marketing strategy. The Youtube dashboard will give you access to video ad formats utilized in display campaigns. As a brand, this sounds like a venture worth investing in as Youtube has over 2 billion monthly users and 500 hours of video content being uploaded every minute.
So it would make sense to make sure your business stands out from the rest. The other companies spend around 5.5 billion on Youtube advertising. This was back in 2020, so you can imagine how much it must have increased in two years. Video marketing has been gaining much traction since Covid-19 and isn’t likely to slow down anytime soon. This blog will explore the benefits of adding Youtube marketing to your digital marketing strategy.
The following benefits are:
1. Increased Visibility
It is a well-known fact that Youtube is one of the largest video streaming platforms in the digital space. With that kind of reputation, being noticed on the platform will benefit your business. But, as we mentioned, millions of videos are uploaded daily on the platform, so being noticed might be challenging for some brands.
This is one of the reasons why Youtube gives its users the ability to advertise themselves on the platform and reach out to more viewers. The beauty of this platform is that you have an audience for everything. There is an endless sea of consumers willing to engage with content that interests them or they can relate to. So, for example, if you operate in a niche industry, Youtube advertising will make you more visible to them. Once you have greater visibility for your brand, your marketing campaign results will drastically improve.
2. Cost Effective Advertising
Youtube offers users PPC advertising. If you have heard about pay-per-click advertising, you would know that this is a cost-effective type of advertising. Since Google owns Youtube, the cost model is identical. The idea of this kind of advertising is that you pay only when someone clicks on your ad. Even then, you decide on how much money you are willing to pay when you get a click. This is perfect for a brand just starting because your money is being used effectively. It works because you need to bid for a spot on the platform. If you win the bid, your ad will appear on the platform.
There are four bidding strategies that you can use to manage the costs of your ads. These are CPM, vCPM, CPV and Target CPA. Let us further explore what these strategies are about. The first is CPM which stands for cost per mille. When you opt for this strategy, you pay for every thousand impressions you receive on an ad. The second strategy is Viewable CPM. In this strategy, you pay for the viewable impressions. A viewable impression is when an ad is viewed for more than one second on a display ad and is viewed for more than two seconds on a video ad. Ads that fit into this strategy are more likely to be viewed by users. This is the reason why vCPM bids are higher than CPM bids.
The third strategy is the cost-per-view bid. This bid is solely based on the number of interactions and views you receive on an ad. You can set a pre-decided cost you are willing to pay for a view. It is suggested that a low cost for CPV could affect a campaign and decrease the results. The final strategy is a cost per acquisition. In this strategy, you are charged when a user action is detected. That could be a click or a conversion. Once you set a target cost, the platform will try to bring you as close to the target CPA in terms of conversions.
Youtube gives you complete control of your daily budgets, so you know exactly how much you are spending and what ads your money is going into. You will never be charged higher than your pre-decided budget. Every bid also has features to let users customize formats according to bids. This feature gives advertisers more control of their campaign results. Youtube also calculates how many views or clicks you will get at a certain budget amount. This helps you to gauge how well you want to do or how cost-effective you need to be.
3. Targeted Audience Groups
Whether you’re running an online campaign or an offline campaign, the key to having it be a success is targeting the right people. Without the right audience viewing your content, it would be challenging to get the necessary results to achieve success. Youtube allows users to target the ideal audience for your campaigns and ads. This targeting feature is highly detailed and lets you customize the parameters of your audience immensely.
Youtube offers several parameters you can use to build your audience groups. The first parameter is Demographic, which means you can target a consumer based on location, age, gender, etc. The next is Topics; these consumer audiences are grouped based on their topics of interest. Similarly, customer match is a parameter based on online and offline data. The data collected in this parameter comes from a user who has previously visited your business. A similar audience is another parameter that gives you access to customer match data. This data is gathered from users who have shown interest in your ads.
Video remarketing is a term used to describe targeted users based on their interactions with your videos on Youtube or your Youtube ad. Affinity audience is a parameter used to target users that look up topics related to your brand. Additionally, a custom affinity audience consists of users that are targeted because of specific interests related to your business. This is an even more detailed version of affinity audience. In-market audiences are users currently searching for products or services your brand provides. The final parameter is life events. This focuses on users that have gone through specific life events. These events could be marriages, childbirth, new jobs, etc.
These parameters are perfect for finding your ideal audience. Each of these metrics allows you to narrow down the most likely consumers to respond positively to your ads. This ultra-specific targeting feature saves you time and resources you would spend searching for an audience otherwise.
4. Access To Youtube Analytics
Once you run an advertising campaign, the results will determine whether it was a success or a miss. You must have made clear goals you want to hit at the end of the campaign. It could either increase your reach or conversions. Setting goals before a campaign can help you better understand how to run your campaign at an optimal level. Youtube offers you analytics which gives you access to detailed data about your advertising campaign. This data can be used to improve your future outcomes.
This Youtube ad data can be helpful to other marketing channels. For example, it might be odd to see how these channels are related. It translates to other channels by narrowing down how audiences react to what kind of content. This information can help you create better campaigns. For example, if you think of enabling retargeting in your Youtube ads campaign, ensure you have Google Analytics installed on your website and then connect your Google account. All this data is found on the Analytics tab on your Youtube account.
5. A Host Of Advertising Formats And Types
Ads on YouTube come in two formats: Video Ads and Display Ads. On desktop versions of YouTube, you may bid on either option. Displays are unavailable for mobile; however, if your company has a presence outside of Youtube (e.g., TV or game consoles), it might be worth bidding on these types of ads as well.
When creating videos that run alongside YouTube ads, keep these general guidelines in mind: Deliver high-quality and relevant content that your audience will likely appreciate and engage with. Figuring out the right balance between various audiences and types of videos can be challenging. Fortunately, though, data helps us learn more about what will resonate most with an individual’s preferences when watched online – so we must try several combinations here to see which one gives us the best performance results.
In total, there are 6 Youtube Ad formats. These are:
This ad can be skipped after the user watches them for at least five seconds. The period when these ads appear is before, during and after the Youtube video. A skippable ad is used to spark the user’s interest during the watch time without being skipped. You can position these ads to appear on mobiles, desktops, television and game consoles. Using analytics, you can see your added metrics. If consumers are always skipping your ads, you might need to make a few tweaks.
Non-Skippable Video Ads
As the name suggests, these ads can’t be skipped by Youtube users. Instead, these ads usually run for around 15 to 20 seconds. These appear simultaneously as a skippable ad before, after, or during a Youtube video. As a result, you can experience non-skippable ads that run for longer, depending on your target area.
These ads are non skippable as well and are only six seconds in length. A bumper ad can be seen while a skippable ad is being played. These ads are perfect for retargeting audiences while utilizing call-to-action features. Bumper ads will be available to mobile and desktop users.
This ad shows content that is related to your Youtube video. These cards can show products, events and promotions. In addition, every user will see a preview of the sponsored cards and only once they are clicked will more information be given to the consumer about what the card is trying to advertise. This ad format is also available for desktop and mobile devices and can be customized to fit different sizes.
These are pretty common and appear above and below Youtube video suggestions. You can also see this kind of ad on the right side of a featured video. These ads are only available to desktop users.
Overlay ads are either an image or text or can be a combination. These ads appear during a video as a pop. Users can choose to get rid of these ads as well. Only desktop users will see overlay ads, which will stay in place until they are canceled out.
With various ad formats at your disposal, Youtube advertising uses creative ways to reach consumers through ads. However, these formats might not work for your brand, so experiment with what you can apply to your marketing plan.
Going through these benefits, it can be assumed that Youtube advertising has more pros than cons. You will surely see profitable results if you utilize the full extent of the advertising feature. However, it would be best to remember that the results might vary from business to business and keep testing out different ad formats and metrics variations to see what works best for you.