What is Video Advertising and Why Does It Work?

video adv

Today it is hard to find a person who doesn’t watch online videos.  Whether it’s checking out the new “funny kittens” compilations on YouTube, cheering for your favorite football team, or spending evenings watching Game of Thrones. We do not just like online video. We are becoming hungry for it. The latest eMarketer research shows that the time we spend watching online content has doubled since 2012 and will continue to grow in the upcoming years.

It’s a great opportunity for advertisers. Such a lust for videos, fueled by improved targeting features of online platforms, allow brands to create the most effective video ad campaigns ever. Specially for our partners the Tapgerine experts have created a short guide to the most popular ad video formats, and a few tips about how to make your message even more powerful.

In-stream ad video

in-stream video advertising

The most common example of in-stream ads are 15- to 30-second pre-roll videos we watch before, during, or after selected content on YouTube or other video sharing platforms.

Why does it work?

A huge segment of your niche audience is already searching for video content to solve their problem. That gives you an opportunity to tell them about your brand in a format they prefer. That makes in-stream ads extremely effective. You don’t need to warm up your audience – it is already HOT!

The statistics provided by YouTube have shown that advertising videos have the highest CTR (1.84%) of all digital advertising formats. The completion rate of an average 15-second non-skippable ad is up to 92%. For a skippable one, the rate is 9%.

How to get the most out of it:

  • Research conducted by Google has shown that ads focused on branding have the highest conversion rates.
  • Be short and clear, as most of videos may be skipped after 5 seconds.
  • Engage your audience by directing viewers to additional video content on your landing page.
  • They may leave but not forget – add the remarketing tag to your site to keep delivering your ads to your target audience.

Display video advertising

No more boring text links and banner ads. They may be replaced by a relevant video.

Why does it work?

When a user comes to a website to read an article about designer clothes, he may encounter an auto-play video from a boutique just around the corner instead of a standard banner ad. It’s much easier to choose where to go shopping next time, isn’t it?

Before launching the campaign:

  • Make sure that the audience of a selected platform matches your product’s target audience.
  • A strong call to action within the first seconds of your ad will substantially increase ROI and retention.

Social video advertising

Social video advertising

Boost organic reach by placing your ad video in social media. Detailed info on users’ interests and demographics will help you create the most relevant content for your campaign.

Why does it work?

Sponsored content often looks like organic in the news feeds. And, just like any other content, it may be liked shared and discussed. Thus, you can hit more than one target with just one shot. Your video advertising is more likely to become viral if placed on Facebook or other social networks.

Another major benefit of social video advertising was found by Facebook and Nielsen experts. According to their data, 74% of the total Ad Recall is achieved within the first 10 seconds. So, this format may become a great way to solve the ad fatigue issue mentioned in our February Digest.

Make them stop scrolling:

  • Most of auto-played videos are muted; therefore, your content should be catchy even without sound.
  • An average user needs 3 seconds to decide whether to watch or to skip your video; use this time to display your most compelling content.

Mobile video advertising

mobile video advertising

Over 4.5 billion of connected tablets and smartphones worldwide create a massive market of viewers looking for “tasty” content on the go. And the tastiest content for this segment is video. According to Cisco, it soon will make up 2/3 of mobile traffic.

There are a few distinct advantages that make mobile video advertising even more attractive:

  1. The latest Google and Ipsos research shows that mobile videos capture users’ full attention and provide more options for real-time engagement.
  2. 68% of mobile video is non-skippable, which results in increased completion and click rates.
  3. Mobile users choose to watch your ads. According to Unity’s research of mobile gamers behavior, 71% of players prefer watching adv videos as a way to pay for the game content.

Make your videos actionable, 16-30 seconds long, and responsive in order to maximize the advantages and get a higher ROI.

Programmatic TV advertising

Deliver your content to those who are already comfortable with advertising videos: TV viewers.

Unlike traditional channels, programmatic TV has some substantial advantages:

  • More precise targeting
  • Lower CPMs
  • Real time statistics and an opportunity to make quick changes

Additionally, this model allows advertisers to reach their potential customers they’re away from their gadgets.

What format is the most efficient?

In most cases, one format is not enough. The best way to achieve state-of-the-art results is to launch a cross-channel campaign that includes all or at least a few formats. This approach allows you to engage your potential customers across their preferred platforms and significantly increases brand awareness.

What makes cross-channel ads effective:

Imagine an average user preparing himself for a large purchase like a car or major appliance. That’s not a decision most of us tend to make in the emotion of the moment. Thus, he’ll be collecting useful info across trusted sources. Your adv video will follow him on each stage of his buyer’s journey, along with all of the content he finds relevant and reliable, thus building trust in your brand.

It is worth noting that this principle may be applied not only to costly products. Loyalty to the trademark significantly increases the likelihood of an impulse purchase.

Some other pros:

  • Your ad video can remind a user of his willingness to make a purchase and reactivate his search by appearing on a mobile screen or in social networks.
  • Cross-channel video campaigns allow collecting useful data about how your audience prefers to interact with your brand. This will help you launch even more effective online campaigns in the future.
  • According to the AudienceSCAN report, cross-channel campaigns may shortly become the best way to reach Millennials, who are not only the most tech-savvy, but also an extremely payable audience.

The most important thing to keep in mind when launching a cross-channel campaign is to make sure that your video is compiled into VAST & Vpaid formats and are compatible with popular video players.


Wish to learn more about the advantages of video advertising from Tapgerine experts? Feel free to contact us at cpm@tapgerine.com. Our managers will gladly help you launch your campaign and provide all the tools needed for its success. And don’t hesitate to subscribe to the newsletter not to miss our recent updates!

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