July 12, 2016 Marketing, Web Development

Power of Video

We are living in the midst of the digital age, where our increasing tech-savviness has transformed the way we consume content. What was once primarily viewed on cable TV has migrated to online platforms accessible through desktop computers and smartphones. The integration of video content into marketing and advertising strategies has become immensely popular, with influential players in this space, such as Business Insider, Mary Meeker, and the Digital Content NewFronts, releasing new reports and data to shed light on this evolving landscape. In this article, we aim to simplify the current state of video marketing, highlighting the latest trends and irrefutable facts.

While specific statistics may vary by source, several key points remain consistent:

  1. Mobile Ad Spending Soars: According to the BI Intelligence report, mobile ad spending is on a rapid upward trajectory. It is predicted to grow nearly twice as fast as digital ad spending by 2020, surging from $17.4 billion in 2015 to an estimated $56.4 billion in 2020, constituting a remarkable 26.5 percent increase.
  2. Video Dominates Digital Advertising: Video content remains the frontrunner in both mobile and digital advertising, solidifying its position as the preferred format for reaching audiences.
  3. Engagement and Impact: The increasing significance of video in marketing strategies is attributed to its unique capacity to engage and captivate audiences in ways no other advertising medium can achieve.
  4. Rapid Revenue Growth: Projections vary, with some experts pointing to 2019 and others to 2020, but one undeniable fact is that video ad revenue is on track to double within the next few years. Therefore, embracing video advertising is a wise move.

However, it's important to acknowledge that not everyone is enamored with video advertisements, and this has led to the rise of ad-blocking software. In a recent report, a staggering 93 percent of users have contemplated using ad-blocking tools. Nevertheless, this shouldn't deter businesses from exploring video marketing.

Why is Video Advertising So Effective?

Video has the unique ability to inspire and engage audiences like no other form of advertising. Unlike search ads that lack storytelling elements or display ads that offer limited information, video has consistently fascinated audiences since the inception of film production in the early 1900s. It is a timeless medium.

Video offers an opportunity for the audience to connect with a product or service. When executed skillfully, video can create an immersive experience, drawing potential customers into a brand's world. Research shows that happiness and inspiration are two emotions that strongly resonate with audiences when viewing video ads. This is true for both genders, with men exhibiting a broader emotional spectrum during ad viewing. For men, these emotions include happiness, arousal, pride, inspiration, exhilaration, amazement, knowledge, and shock. Therefore, when brainstorming ideas for a new video, consider the emotional impact you wish to impart on viewers.

Who Engages with Video Advertising?

In the digital age, when we discuss video's impact, we often refer to Millennials. They are 112 percent more likely to share video ads, as reported by a video survey. This means that not only will your video ad receive views, but a significant proportion of those viewers are likely to share it if they find it enjoyable. This age group, spanning from 18 to 34 years old, is also 23 percent more likely to appreciate ads they consider to contain relevant content. Thus, it's a cycle for video advertising: Millennials are more likely to enjoy your ad, and if they do, they'll likely share it with others, many of whom are also Millennials who enjoy your content. With a combined spending power of $2.45 trillion, this demographic is one that no business can afford to overlook.

Video vs. Other Forms of Advertising

Video is emerging as the preferred way to consume information on mobile devices. Between 2015 and 2020, the total growth rate of digital video ad revenue in the United States is projected to be 21.9 percent. This trend aligns with the evolution of smart devices hitting the market, with each new generation of smartphones offering faster internet connections and larger screens, making video's immersive experience even more compelling on mobile.

The Do's and Don'ts of Video Marketing

Before embarking on your journey to market your product through engaging videos, here are some important considerations:

Do's:

  • Create authentic, entertaining, relatable, useful, and concise video content.
  • Provide viewers with control, such as the ability to adjust sound settings.

Don'ts:

  • Assume that video alone guarantees effectiveness; a substantial 81 percent of people surveyed mute video ads, and 62 percent are annoyed by forced pre-roll videos.
  • Format your video in a way that interrupts the viewer's experience.
  • Overlook the growing popularity of ad-blocking software.

In conclusion, video marketing holds substantial power. With a surge in video ad revenue and mobile ad spending, it has the potential to elevate your business to new heights. Video enables you to connect with a broader audience than ever before, offering a unique opportunity to engage and inspire viewers. So, why not consider harnessing the power of video to enhance your marketing efforts?