Three Reasons to Start Video Advertising

The rise of smart TVs and streaming services have created new opportunities for video advertising such as CTV, OTT, and Social ads. Let me unpack…

  • Connected TV (CTV) advertising: Consists of any type of TV that can be connected to the Internet and stream digital video. This includes devices such as Roku TV, Apple TV, Fire TV, Chromecast, and gaming consoles.
  • Over the Top (OTT) advertising: Consists of all content that is streamed over the internet rather than through a traditional cable/broadcast provider. This includes services such as Hulu, Sling, Vimeo, and Tubi as well as the CTV devices above.
  • Social Media advertising: Consists of all online videos within the social media space. This includes YouTube, Facebook, and Instagram

These solutions can be used to complement traditional television buys or be a more affordable alternative for organizations with smaller budgets.

With video quickly rising to be the number one form of content, many businesses are quickly making the switch to producing more video content that is repurposed for advertising. If you’re not taking advantage of this growing trend, you’re already behind.

Here are three reasons you should start video advertising.

Reason #1: Cutting the Cord

At the beginning of 2021 roughly 78 million households still had cable subscriptions. While that seems like a large number (and it is), compare that with the 90.3 million households that were subscribed in 2018, just 5 years ago (TradeDesk). It is expected that by 2022 this trend will accelerate and grow to 55 million cord-cutters in the U.S. (ClearCode). The growth of viewership on connected TV screens opens an enormous opportunity for both TV and digital video.

Reason #2: Precise Targeting

Unlike traditional TV, online video advertising allows you to better hone in on your target audience through first-party and third-party data such as layering targeting for demographics, interests, behaviors, location and even some custom audiences. These ads are bid on and purchased only when a viewer matches the designated targeting parameters. This allows your budget to be used more efficiently and reduce media waste of reaching households or viewers that aren’t interested in your content. 81% of advertisers planning to shift ad dollars to CTV or OTT in 2021 cited targeting and efficiency as a reason. (eMarketer)

Reason #3: Level of Engagement

While traditional TV is more “lean back,” meaning consumers commonly leave the TV on in the background while doing something else or are half-engaged, online video advertising is the opposite (White Board Animation). Users are actively searching for the videos they watch and want to see the content they are seeking. An example: When people watch YouTube on CTV screens, viewing session lengths are longer compared with other devices. In 2020, YouTube view time on a Connected TV was 7.3 minutes compared to just 3.6 minutes on mobile and 5.7 minutes on desktop (PRNewsWire).

Diversifying your advertising strategy isn’t as complicated as it sounds. Here are three steps to begin:

  1. Take inventory. Distinguish what video assets you currently have. Repurpose long form videos into short :15 and :30 second clips to be used across various platforms.
  2. Start integrating. Begin adding video content into your existing digital campaigns. Test a video clip against image ads or integrate a short video into your next email to see what content resonates with your audience.
  3. Plan ahead. Brainstorm what video content you need or could use in the future to give you ample time to begin the process. Thinking in advance allows you to strategically create opportunities where you can capture strong content.

Video advertising is overall more efficient at delivering your brand story and narrative to viewers and drives a higher overall brand recognition. Taking these next steps will better your advertising strategy and help you stay in front of a new and ever-changing audience.


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