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The Benefits of YouTube Advertising

The Benefits of YouTube Advertising

Written by enCOMPASS Agency

There’s a very simple case to be made for why businesses and brands should have a presence on YouTube. That argument is reach. With more than two billion users logging in every single month, YouTube is the second most popular website in existence.

Of course, just launching a YouTube ads campaign doesn’t mean your content will be seen by all of those two billion users, so here’s something else to consider: With advanced targeting options, YouTube provides a number of controls that help you ensure your message reach is targeted to the right people… the people most likely to purchase your product or service.

All of this depends on having the right strategy in place, and for those who are inexperienced in YouTube advertising, the prospect may be daunting. That’s why enCOMPASS Agency provides YouTube advertising services to our clients, helping design, implement, and monitor robust campaigns that are aligned with their marketing goals.

Flexible Options for Your Business or Brand

One reason why we’re so favorable toward YouTube advertising is that it offers ample room for customization; no matter the size and scope of your business or the nature of your marketing goals, YouTube is flexible enough to accommodate.

Types of YouTube Ads

For example, as you launch a YouTube campaign, you’ll find five main types of ads at your disposal, each with its own merits.

  1. Skippable in-stream ads. These ads may play either before a YouTube video begins (pre-roll) or in the middle of a video (mid-roll). They’re defined by the fact that the user may choose to skip them after the first five minutes. Advertisers pay for these ads whenever someone watches the full ad, watches the first 30 seconds, or clicks through to your landing page… whichever comes first.
  2. Non-skippable in-stream ads. Worried that users are automatically going to skip your ad? Well, with this type of ad, they won’t have that option. Non-skippable ads can be either pre-roll or mid-roll, and the advertiser pays on the basis of impressions. Note that you’ll want to opt for non-skippable ads only if you have ample faith in your creative assets to hold the viewer’s attention.
  3. Bumper ads. Bumper ads may play before, after, or during another video. They cannot be skipped, but they must be six seconds or less. Advertisers pay for bumper ads based on impressions. This ad type is great for raising brand awareness and brand recall.
  4. Discovery ads. Rather than appearing in the midst of a video, discovery ads show up alongside organic search results. Advertisers who choose this option are banking on the fact that some of their target audience will think their ad looks more relevant than the organic search results that YouTube produces.
  5. Non-video ads. YouTube does allow advertisers to run display ads or in-video overlay ads. This form of advertising tends to be less expensive than video ads, though we’re quick to point out that it’s generally less effective, too.

Targeting Options

Targeting is one of the most critical aspects of the YouTube advertising process; simply put, better targeting means more bang for your advertising buck. And, just as YouTube offers several types of ads, it provides a wide spectrum of targeting features. In working with the experts at enCOMPASS Agency, you can zero in on targeting options that ensure your ads are delivered to exactly the consumers you’re trying to reach, offering demonstrable and measurable results.

Some of the options you’ll have include:

  • Demographics. There are limitless options here; whether you want to target new vehicle owners, new parents, or people who own a house, the YouTube platform will let you do it.
  • Interests. You can further narrow your targeting to only show ads to people with particular interests and hobbies. For example, if you’re marketing a new bike helmet, you can ensure you only show ads to local biking enthusiasts.
  • Previous YouTube activity. You’ll also have the option of targeting your ads based on other content that viewers have watched. For instance, do you own a plumbing company? If so, you may find it valuable targeting ads to local homeowners who’ve sought out DIY plumbing videos.
  • Remarketing. You can also choose to display ads specifically to people who’ve interacted with your ads or your brand website in the past. This can be a great way to build brand loyalty, or to reconnect with consumers who’ve considered your products in the past but not yet made a purchase.

Measuring Ad Effectiveness

Another thing we appreciate about YouTube is that it provides a wide range of dashboards and analytics, making it easy to define success and measure results. This also impacts the way you pay for your ads; for example, YouTube offers ways for you to pay based on impressions, based on views, etc.

While there are a number of options to choose from, enCOMPASS typically focuses on Cost Per Completed View, or CPCV. Essentially, this model allows you to pay only when your ads are viewed through to completion. In most cases, we prefer this model to impressions because it allows you to ensure your ads are having the maximum intended impact on viewers. By contrast, with impressions, you may wind up paying when someone views just a couple of seconds of your ad, which hardly gives them the full effect of your message.

Brand Lift Studies

A final note: Advertising on YouTube allows you to participate in Brand Lift studies. Essentially, this provides you with YouTube engagement metrics that give you a better sense of how users are responding to your video messaging. Brand Lift provides insight into several key metrics: Brand awareness, ad recall, favorability, brand interest, purchase intent, and more, all measurable within the Google universe.

In other words, Brand Lift lets you see if your ads are causing people to think differently about your business, products, or services, and specifically to determine whether people are increasingly likely to make a purchase. Note that the specific metrics in a Brand Lift study are very customizable and can be adapted on the fly.

YouTube Advertising at enCOMPASS Agency

At enCOMPASS, we’re here to help our clients navigate the rich range of options that YouTube affords, and to both develop and implement cost-effective strategies that drive remarkable results. We’d love to talk with you more about our approach and how it can service your business needs. Reach out any time you’d like to chat.