6 Things You Must Know About Video Advertising

April 17, 2018 · 4 min read

Video advertising is on the rise, captivating consumers and grabbing their attention in ways content has never been able to before. Reaching nearly $10 billion in ad revenue just this year, companies now have the opportunity to grow with it.

Video advertising is here and it isn’t planning on going away anytime soon. Digital video and mobile video advertising are precisely what every company needs in order to get its brand name and products noticed by consumers. US digital video ad spending is actually so successful that it is increased to reach a whopping $83 billion in 2017.

What is it about video advertising that fascinates potential buyers so that they can’t get themselves to look away? Why is video advertising effective and how will you know you’re doing it right? Here are the top 6 things you ought to know that’ll help your business get a better understanding of the power of video advertising.

What is video advertising?

As the fastest-growing category on mobile, on desktop and overall from 2016 through 2020, video advertising is all around us, capturing our attention on every digital platform possible. With the rise of social media and video streaming channels like YouTube, video advertising has been helping companies build their brand awareness in new, creative and engaging ways. There are many types of video formats such as linear video ads, interactive video ads, overlay video ads and companion video ads, and each offers brands a unique way of reaching its target audience.

Why is video advertising effective?

While the first video ad to ever run legally on television was Bulova’s ad on NBC from July 1st, 1941, which cost only $4, visual marketing is actually older than cave drawings. In fact, 90% of information sent to the brain is visual and the brain processes images 60,000 times faster than it does text. Therefore, there is simply no question as to why video advertising is effective. It just works on our brain in ways textual content can’t.

Video is the future of content marketing

If you’re wondering where to invest most of your money and time, you just got your answer. Video will account for 69% of all consumer internet traffic next year, and Google describes it as a must. In fact, video growth will actually outpace that of social and will stand at over 20% by 2020. Video is the future of content and every advertising platform is racing to adapt while every business invests in creation.

Mobile video is where it’s happening

With mobile use growing in an average of 58% year after year, consumers have become hungry for visuals and preferably delivered in the palm of their hand. Since smartphones are more affordable nowadays, potential buyers are now after emotion-evoking video advertisements that are short, make sense and are mobile.

According to Statista, “the number of online video viewers will amount to 236 million users in 2020, up from 213.2 million in 2016.” That kind of growth is so powerful due to a combination of the video mobile internet boom and a greater personal connection between viewers and the advertising brand via video content specifically.

The difference between in-stream and in-banner video ads

The world of video ads includes two major types: in-stream video ads and in-banner video ads. The first, in-stream video ads are in the video player itself and are injected into the stream that is sent to a client’s video player. Think of that pre-roll video playing before the DIY guide you searched for on YouTube, that’s it. The latter, the in-banner video ad which is a banner with videos embedded in it, is used quite frequently by YouTube also but isn’t that well known amongst marketers. Since every type of online video advertising is going to be done in-stream, companies need to know how to use it properly. This will supply them with the knowledge on how to offer their clients as many options as possible to get their brand or product to the right types of consumers.

Consumers are viewing videos everywhere

Video ads are being watched on many different types of online media and websites, requiring companies to make sure they’re covering all their grounds in order to target as many potential consumers as they can.

Fun Facts:

There is no doubt that video advertising is just going to get bigger and in order for companies to understand what video advertising is all about they will have to put many hours into learning its benefits and creating engaging content which will be relatable to potential consumers. Continue to publish video content and track your engagement to find the sweet spot for your business.


Ready to create your video ads? Try Promo Today!


Head of Content at Promo.com. * * * Storyteller by day. Content consumer by night. Habitually inspired.

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