We’ve all experienced video ads on YouTube and we’ve all waited the appropriate number of seconds to pass before we hit “Skip”, leading many of our prospective online advertising clients to ask “Do YouTube ads even work?”
Google has just released data from a meta-analysis of 56 case studies from brands within six different industries, across eight countries over the last 3 years and supplemented that data with their own research to conclude that yes, YouTube ads are effective and are more effective than TV ads.
“YouTube delivers a higher return on investment than TV in 77% of studies.”
YouTube is also reported as being the social platform with the highest average order value in the recent Social Commerce Benchmark Report by DemacMedia.
This is not a surprise for many advertisers and we have seen many advertising budgets shift to have a larger investment in video ads. BusinessInsider.com has recently reported that digital video ad spending is rising faster than search and display.
Google has also shared that most of it’s YouTube advertisers are not reaching their full audience potential and are spending only half of what Google would recommend for their media mix. (note: Google almost always recommends spending more money on Google!)
It’s great to see more budgets shifting to measurable platforms and we always love to show our clients that their budgets are producing a positive ROI.