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How Digital Video Advertising Will Dominate The Next Decade

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How Digital Video Advertising Will Dominate The Next Decade


Incorporating video into your marketing strategy is now table stakes – in fact, 86% of businesses were using videos for marketing in 2021.

If you’re not using this format to engage customers, your competitors almost certainly are.

There’s a super simple reason video advertising so popular – it just works.

A recent consumer survey shows that 84% have been compelled to buy a product or service after watching a video. The same study found that consumers are more than twice as likely to share video as other types of content, too.

Video advertising can help improve your brand’s online visibility in search results, social media, and around the web.

Are you making good use of the opportunity?

Video & The Contemporary Web

It isn’t your imagination: Browsing the web today is basically like watching an endless set of videos looped together on end.

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On all different types of websites – from social platforms, to news organizations, to company pages – digital strategists are employing an astounding amount of video content for their voracious audience to consume at will.

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Whether it’s in the form of educational content, reports, entertainment, or ads, organizations have caught on to the fact that high-quality video has the ability to engage users on a deep and substantial level.

The modern web is now driven by video in a way that didn’t seem possible even 15 years ago, thanks largely to the ubiquity of personal mobile devices and omnipresent, reliable high-speed internet connections.

We’ve certainly come a long way from the latter half of the 2000s when the only place to watch videos on the web was some niche site called YouTube.

All you have to do to understand how important video is as a driver of online content in the current era is read the reports detailing how many outlets are shifting vast resources to video production.

Among these are some sites with massive traffic figures, including:

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  • Buzzfeed.
  • Various Time, Inc. properties.
  • Conde Nast.
  • The New York Times Co.

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Snapchat continues to be one of the fastest-growing social media entities largely on the basis of its video stories, and Instagram has had success by introducing a similar feature on its platform.

According to YouTube, users watched over 1 billion hours of video on the site every day.

Whether you open up your laptop, unlock your phone, or fire up your smart TV, there is no escaping video content, so you might as well embrace it.

The Boom In Digital Video Advertising

And that’s where digital video advertising comes into play.

Companies have realized that the reconditioning of consumers to embrace and even expect video at every turn can have many advantages.

Video has become such a natural part of the web browsing experience that advertisers can use it to quickly engage with their audience as if it was content they had sought out specifically.

Well-designed logos and high-quality banner ads can be very effective in spurring interest, but video ads offer organizations an opportunity to connect on a deeper level right from the outset, by establishing a relationship, inviting the audience into the fold, and visually educating them in an effort to curate the buying journey.

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This has all led to a glut in digital video advertising spending recently.

Companies from across the spectrum are pouring more resources into engaging users with unique video ad content.

Digital video advertising is a strategy that can work for any type of company: B2B or B2C, enterprise or SMB, high-tech or analog products.

Using Micro Video Ads To Spur Engagement

One trend that’s picking up steam is companies employing short, micro-videos in order to grab a viewer’s attention quickly and leave a big impression.

These are generally only about 10 seconds (or less) in length, and they have mounted an interesting challenge against the long-standing 30-second video format that has been used since television commercials first became a common practice.

The philosophy behind them is driven by the fact that modern digital marketing isn’t often just a single interaction that leads immediately to a purchase; it’s a curated journey that entails a variety of different stages and techniques.

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You don’t have to say everything about your product or service in your video ad. You just have to say something interesting enough that it will get the lead viewers to delve more deeply into your ecosystem through your content marketing, email capture, or another tool.

Micro-videos have proven especially useful in engaging Millennial buyers, whose attention spans have been shaped by the internet for most of their lives.

Using micro-videos doesn’t mean, however, that you have to neglect the traditional 30-second video. You should craft your digital video advertising strategy by mixing and matching different length pieces.

Also, keep in mind that micro-videos should be able to connect with the viewer without the aid of sound.

Many people browse on silent mode, and by the time they think about turning the volume on your micro-video will likely have ended.

Social Media & Video Ads: A Match Made In Heaven

It almost seems like kismet for marketers that social media use patterns and video advertising collided with each other on the way to online dominance because they are an outlet and form that really are made for one another.

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Facebook users have become accustomed to their feeds being filled with autoplaying videos from various sources.

Instagram and Snapchat users think nothing about spending minutes at a time habitually scrolling through live video stories.

Meanwhile, companies can tailor video ads for these settings that remarkably resemble content from users’ followers.

When your audience is expecting video content from someone they follow, it increases the chances that they’ll engage quickly and then stay for the entire ad.

Social media platforms like Instagram are also great for incorporating user-generated content (more on that later) to erase the barriers between buyer and brand.

You can also dig deeply into Facebook’s demographic data to improve your targeting and personalization abilities and drive more consistent conversions.

If the real power of digital video advertising lies at the intersection of engagement and personalization, then various social media outlets are a natural fit for optimizing it.

Video Advertising Tips & Resources

Looking to enter the world of video advertising or level up your game for the year ahead?

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Seek out opportunities to be culturally relevant by tapping into current events and trending topics. Check out these keyword and topic research tips for crafting video in the wake of COVID-19, for example.

If current events doesn’t feel right for your brand, consider nostalgia marketing. It’s a powerful tactic for inducing an emotional response that helps viewers feel an instant connection to your brand.

Check out this analysis of U.K. retailer John Lewis’s and other video ad campaigns to see how it’s done.

Don’t let your budget make video ads seems out of reach. There are all kinds of tools available to help you create visually stunning, compelling videos even on a tight budget. The YouTube Video Builder is just one example.

And if you’re looking for more expert advice to improve your videos and boost ROI, don’t miss these 8 tips for better video ad performance, from Pauline Jakober.

What Else Will Dominate The Next Decade?

If video advertising is the trend that is dominating the landscape today, that must mean that there are other offshoots poised to make a splash in the near future.

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What represents the next wave?

  • User-generated content: This isn’t necessarily new to the ad world, but companies are getting more creative about finding ways to create ad content that looks like something other than an ad, thereby increasing the effectiveness and prevalence of user-generated content. It works because it gives you something that you don’t have: a real buyer’s experience and perspective, and it allows you to meld that with the marketing voice of your brand.
  • Virtual reality: This allows you to immerse the audience in a world of your own creation and gives you the opportunity to shape their experience in the virtual world with astounding depth and complexity.
  • Augmented reality: This may not be exactly the same as video advertising, but they share similar DNA, and augmented reality marketing excels at using targeted data to deliver an intensely personalized experience.

We’re already starting to see some of the impacts of these strategies, but wide-scale deployment of tactics such as user-generated content, virtual reality, and augmented reality is still to come.

Conclusion

Digital video advertising spend was estimated to have topped $55 billion in the U.S. alone in 2021, and it shows no signs of slowing down.

In fact, experts predict it will exceed $78.5 billion by the end of 2023.

If video advertising is not yet a part of your marketing strategy, it’s time to act. Video is the preferred method for consumers to receive all kinds of information and messaging – and if you’re not there, your products and services can’t even be considered.

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Featured Image: Shutterstock/panuwat phimpha





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Which Is Better For You?

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Which Is Better For You?

Content marketers are using video content more than ever.

In 2022, 86% of businesses use video as a marketing tool.

Aside from the rise of TikTok, especially during the pandemic, more marketers are creating videos, and 46% of marketers said it was because videos had become easier to develop in-house.

As a content marketer, should you jump on the bandwagon?

And what about the more “traditional” YouTube?

Worldwide, YouTube is part of the Top 3 social media networks. TikTok isn’t just yet, though it’s steadily climbing the ranks at No. 5.

Just because TikTok is the newest kid on the block doesn’t mean you have to allocate all your video budgets to it.

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Choosing between the two requires careful thought and consideration. You must factor in content type, target audience, engagement rates, and influencer marketing spend.

So, which of these two viral video platforms makes more sense for your business?

Let’s dive in.

What Is TikTok?

After Chinese tech company ByteDance acquired Musical.ly in 2017, its technology was ported. Thus, TikTok was born.

TikTok (called Douyin locally) is a user-friendly social media platform that allows users to create short-form videos.

With a free video editor in-app, anyone can add filters, stickers, and text-to-speech for a 15-second video.

TikTok has over a billion monthly users, making it the most downloaded app worldwide in 2021.

What Is YouTube?

With over 2.1 billion monthly active users, the video-sharing platform has been around much longer. Launched in 2005, YouTube has been the mainstay for sharing video content.

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Three former PayPal employees founded YouTube as a way for people to have fun sharing their home videos. (Remember the first few viral YouTube videos?)

Compared to TikTok, YouTube videos are a lot longer.

Factors To Consider When Choosing Between TikTok And YouTube

TikTok YouTube
Audience (U.S.) 50% between ages 18 and 24, 17.7% between ages 12 and 17 95% between ages 18 and 29
Average Content Length 15 to 60 seconds 11.7 minutes
Average Time Spent Per Day 45.8 minutes a day 45.6 minutes a day
Traffic (Organic) 318.2 million 646 billion
Traffic (Paid) 643,600 65.1 million
Successful Niches
  • Dance
  • Comedy
  • Smaller/specialized creators
  • Product must-haves
  • Breakdowns of news stories
  • Makeup and fashion hacks with trendy sound clips
  • Storytime (first person POV)
  • Evergreen content
  • Lifehack and DIY videos
  • How-tos
  • Gaming, people, and blogs
  • Music and entertainment
  • Sporting Events
Cost For Business Accounts $o – free account $o – free account

Audience For TikTok vs. YouTube

TikTok Has A Younger U.S. Audience

If you’re marketing to teens, a.k.a., Gen Z (and by extension, Generation Alpha who are becoming teens next year), TikTok is a strong bet.

As of April 2022:

Almost half of TikTok users in the United States were between 18 and 34 years, making up the largest demographic group for the platform.

TikTok users aged between 12 and 17 made up approximately 17.7% of the popular social video app user base in the United States, while 2.5% of TikTok users in the country were 11 years old or younger.”

This means that TikTok is especially popular with Gen Z while more and more adults are steadily becoming app users, too.

Note that younger children ages 12 and above can access TikTok (the app requires a minimum of 12 years of age to get a profile).

Gen Z And Millennials Are More Likely To Trust YouTubers

If you’re trying to reach Millennials (while keeping older Gen Z in mind) and be seen as more authoritative, YouTube could be a safer bet.

According to Pew Research:

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“In 2021, 95% of U.S. adults between 18 and 29 years of age said they use YouTube (the age demographic with the highest percentage) while only 49% of U.S. adults who are 65+ years reported using it.”

According to the YouTube Culture And Trends Report 2022, 83% of Gen Z watch soothing content on YouTube to help them relax.

Lastly, in a survey by Ypulse, YouTubers were the most trusted public figures (31%) among those surveyed, beating TikTokers by 12%.

TikTok vs. YouTube: Content Format And Length

Keep It Short And Sweet On TikTok

TikTok has a maximum length of three minutes. TikTok recommends an optimal 21 to 34 seconds to keep viewers interested, but average videos last 15 – 60 seconds.

While it leaves little room for all-out explainer videos, you can still create quality content on the go and turn it into a non-chronological series.

TikTok favors short-form videos with an aspect ratio of 9:16; it is vertically optimized for mobile devices.

The platform also has TikTok LIVE, a feature for creators to connect in real-time with their audience (think Q&As or concert experiences).

Leave The Longer Videos To YouTube

Verified accounts on YouTube can run up to two hours of video, while unverified accounts can only upload 15 minutes. The average length for videos is 11.7 minutes.

While YouTube videos are popular on mobile devices (49.3% are watching on mobile YouTube), the number is expected to decrease as YouTube continues to be available on desktop and TV devices.

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Keep a 16:9 aspect ratio in mind since YouTube apps are becoming more popular with smart TVs, gaming consoles, and other gadgets.

YouTube launched its livestream feature for creators back in 2011.

The platform is famous for its gaming livestreams, the Superbowl, the Olympics, and more.

Moreover, YouTubers can curate content playlists, allowing viewers to enjoy music streaming and related content for hours with an autoplay option.

Note: The average time per day for both channels is around 45 minutes, with TikTok winning by a hair at 45.8 minutes compared to YouTube’s 45.6 minutes.

Comparing TikTok vs. YouTube Algorithm

There is content that works well on both platforms (consider product reviews and reaction videos).

Nevertheless, here are the types of content for which each channel is better known.

To dig deeper into TikTok’s powerful search algorithm or how YouTube’s search results recently changed, we recommend further reading up on them in the links provided.

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TikTok: Niches That Succeed

Screenshot from TikTok, September 2022

Bite-sized content has never been more digestible, with creators using TikTok to spread straightforward content in memes, educational content, lip sync, and dance videos.

These often include specialized content series, like Random Amazon Finds That Just Slap, Things I Just Found Out In My 30s, or professionals connected to a particular hashtag with content usually dedicated to one specialty. (Note: That could be an opportunity for your business’s industry or niche.)

Small and big brands can work with influencers to create simple, engaging, potentially viral content. See how Clinique’s Black Honey Lipstick sold out because of TikTok videos spreading awareness.

TikTok Creator content tends to be relatable and authentic; you can use the TikTok Insights tool to see what works for each generation in what industry.

Niches That Work On YouTube

Popular content on YouTube includes how-to videos, product reviews, music videos, comedy skits, and much more.

Your brand can benefit from collaborating with YouTubers (the most trusted figures, according to the survey above). For example, NordVPN frequently has sponsorship arrangements with tech gadget reviewers, like Techmoan.

YouTube can be better for products that aren’t as easy to show off in short formats. Additionally, YouTube tutorials tend to have a more serious tone.

TikTok Ad Formats

For TikTok ad formats, you have the following options (see TikTok Ads For Beginners: A Complete Guide & Steps To Success to learn how to use them).

  • TopView: An attention-grabbing, distraction-free, 60-second video format.
  • In-Feed Ads: A native-inspired ad type that will integrate seamlessly into a viewer’s “For You” page.
  • Branded Hashtag Challenge: A UGC (user-generated content) using your brand’s hashtag campaign.
  • Branded Effects: Branded stickers, filters, or special effects.

YouTube Ad Formats

For videos that have ad monetization features, these are the following video ad formats available for YouTube business accounts.

Read The Complete Beginner’s Guide To YouTube Video Advertising for a comprehensive guide on how to use them.

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  • Skippable video ads: A video ad with an option for viewers to skip after five seconds.
  • Non-skippable video ads: These ads don’t allow viewers to skip this typically 15-20 second video.
  • Bumper ads: Up to six seconds long, these ads need to be watched before a video is viewed.
  • Overlay ads: Only seen on desktop, these ads take up the lower 20% screen of a video.

YouTube videos can be monetized and can earn shared ad revenue.

Setting up business accounts is free on both platforms. Keep in mind that TikTok has a $50 minimum for an ad spend, while YouTube Ads offers $100 in free credits when you spend $50 on video ads.

Conclusion

Should you favor one over the other?

On the surface, TikTok.com has 318.2 million organic traffic, and YouTube.com has 646 billion.

For paid, TikTok traffic is 643,600, while YouTube reaches 65.1 million.

YouTube and TikTok are here to stay, and while YouTube’s traffic seems bigger, TikTok’s fast rise to the top is one to look out for.

Typically, both are ideal for marketers who invest in video marketing; 87% of marketers say video has helped them increase their traffic, and 82% on dwell time.

The best platform depends on your brand and the type of content you have the resources for, the customer purchase cycle, your social media goals, and your budget.

When used wisely, whichever of the two you choose will help benefit your business in the long run.

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Featured Image: Daxiao Productions/Shutterstock

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