10 FAQs about video advertising online

Los Angeles
08 May. 2019

People today spend five times more time in watching a video online than reading content, a 2018 Facebook study revealed. Even when it comes to spending time online, people spend one-third of their time watching videos. What has changed? A lot of things –

  • Easy access to Internet. In many countries, there are free wi-fi zones
  • Abundance of low-resolution videos that load easily
  • Spurt in user-generated video content
  • Lack of time towards knowledge gain leading to educational videos becoming popular as they save time
  • More companies choosing video as a preferred medium to reach out to customers

Video advertising therefore is not only important but now indispensable for any company today. Online is where most of your customers are spending time. We answered some of your most frequently asked questions about online video advertising.

Q 1. How do I know if my company needs online video advertising?

Several studies have shown that your customers are spending most of their time online watching videos. The difference between the time spent on looking at static content such as photos or social networks or reading and watching online videos is as much as five times. So yes, your company needs online video advertising because that’s how your customers are most likely to notice you.

Q 2. How’s online video advertising different from TV advertising?

It is different only in terms of distribution through various channels and the way videos are pitched. It is still a commercial video production at the end of the day but now with better visibility and analytics for future advertising.

Q 3. How much does the production of an online video cost?

It’s going to be as much as or slightly less than television commercial production. Good thing is with online commercial video production, there are several budgets that may suit companies of various sizes. An online video ad is driven by –

  1. Time – the duration of the video ad
  2. Talent – The more the talent or fame of the people working on the project, the more the cost
  3. Tool – From mobile phone to high-end cameras and editing tools

An amateur user-generated content shot on camera costs nothing. But if you try to create semi-professional video ads in the form of video blogs, covering events or internal training etc, it will cost as low as $1500-$3000 for a 1-2 minute video ad.

If you hire a professional team with your own strategy and create video ads in the form of case studies, profiles, explainer videos etc, it may cost anywhere between $5000-$20,000 (1 to 2 minutes).

A premium video ad production that hires the best talent in the industry including a good advertising video agency say a New York based production company or TV commercial production companies based in Los Angeles, has chances of creating something exceptional. These video ads may be used for branding, building credibility, announcing special offers etc and may cost anywhere between $25,000-50,000 for 1-2 minutes.

In the same way, a Hollywood level video ad production may cost $100,000- $1,000,000 depending on the concept, location and actors.

Q 4. How long can we run our online video campaign?

For as long as it remains relevant to your customers. It may be a year or more.

Q 5. What if I invested on an online video campaign and it didn’t yield desired results?

Here’s where your video campaign analytics will help you nail the problem. You can first run a test video online, analyze results, re-purpose your campaign and run it again.

Q 6. How long should my online video ad be?

Here’s where your video production agency comes into picture. You must aim for creating a 1 or 2-minute long video that may be cut into versions of 90 seconds, 60 seconds, 30 seconds, 20 seconds and even 6 seconds. The performance of each of these lengths will help you decide which length is ideal for your brand or product. A 90-second video usually convinces people buy while 30s or 20s are ideal to let people know about your brand.

Q 7. What’s the ideal process of creating a winning online video ad campaign?

As a video production company, we have the following process to make it winning –

  1. Conceptualization – A great viral-worthy idea
  2. Production – Creating various versions of the ad
  3. Testing – Test these versions on Instagram, Facebook, Snapchat etc.
  4. Distribution – Uploading it on various relevant social media/internet channels
  5. Expansion – Running country-specific localized versions of the ad

Q 8. Will my video go viral?

Most likely not. The most viral videos are heavily promoted with added advertising budgets. Focus on conveying the right message instead and it would speak with your customers.

Q 9. If I want to reach 1 million on YouTube, how much will it cost?

This varies on demographic. But the general ballpark goes like this –

  • On YouTube, you pay per video view. A YouTube ad runs between $.10 to $.30 per view on the basis of video quality, targeted demographic and your overall goal.
  • So if your online video ad campaign had a $0.10 video view, you will pay $1,000 for every 10,000 people.

Q 10. How to ensure ROI on my online video campaign?

By re-targeting and re-purposing. You can create several versions for online campaign and TV campaign to get the best results.

Los Angeles
08 May. 2019
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