Using metrics that measured throughout every aspect of the consumer’s “journey” with a product on YouTube – from consideration to favorability to purchase intent – a new report from Think With Google indicates that consumers are generally positive throughout. The report also compares how YouTube ads fare over traditional TV ads.
Back in April, Think With Google reported that 65 percent of Google Preferred ads via YouTube saw much more effectiveness in brand awareness, with an average increase by 17 percent. However, for end-of-year studying, the company broke down the many steps involved with the success of online video advertising. Google TrueView numbers were measured, between both people initially exposed to an ad and those who watch for more than 30 seconds. Across various categories, including change in consideration and favorability, the numbers showed increase, all within a single exposure.
Think With Google also measured the effect of the “skippable” ad format, giving users the choice to either view the ad or move on. Creative choices can result in longer watch time for ads. “For instance, if you choose to show your brand in the first five seconds, the placement of the logo in the video ad matters: viewers respond better to a logo attached to a product versus a logo floating freely,” the report notes. “People are also less likely to ‘skip’ funny ads or those that feature celebrities. Creating less ‘skippable’ advertising by optimizing for longer views – better watch time – will get you better lifts in metrics throughout the consumer journey.”
From there, the report shifts to discussing how shifting TV dollars to digital impacts a return on ad spending. MarketShare provided some interesting numbers on this, where media mix modeling (or MMM) comes into play.
“At average spend levels, $1 spent on TrueView in the action movie category generated 7X the box office revenue of $1 spent on TV,” reads the report. It ties in with increased revenue, with a 20 percent shift of ad budget from TV to YouTube showing potential increased marketing driven revenue by 25 percent.
MMM could actually be the key to driving up revenue through online videos, particularly with a focus on the consumer. “As brands work to match their media decisions to consumer media decisions, they’ll increasingly meet people in the moments that matter – and move the metrics that matter.”
