The Ultimate Guide to Video Advertising

Video advertising illustration

In the advancement of digital marketing, video advertising is at the peak of its prominence—moving images are a more effective medium for customers to retain marketing messaging compared to static images or text advertisements.

Many marketers have long adapted to these significant online trends and have found success. With that in mind, this infamous adage is very fitting not to quote: “The best time to start was yesterday. The second-best time is now.”

If you are looking to grow your engagement through video ads, trying to generate more traffic for your brand, or trying to increase sales for your client? This article will be your comprehensive guide to navigating and further fostering this flourishing marketing strategy.

In this guide, we’ll discuss the benefits of video advertising, video ad formats and content type, statistics, and trends to follow.

Video Advertising Statistics

Video advertising has become the pillar of visual marketing. Video contents generate 1200% more engagement than text and image content combined.

Here are marketing statistics to convince you to leverage video ads as an integral part of your marketing strategies:

General Video Advertising Stats

ROI graph

  • By 2022, 82% of consumer internet traffic will be online videos. (Cisco)

  • 78% of people watch videos every week in the US, while 55% do it every day. (Social Media Week)

  • In 2021, 84% of people said they bought a product or service because of a video ad. (Optinmonster)

  • Having a video on your landing page could increase your conversion rate by 80%. (WordStream)

  • In 2020, the watch time for video ads worldwide went up by 800%. (Think With Google)

Video Consumption Statistics

  • People watch 16 hours of online videos every week. (WordStream)

  • More than 75% of online videos are played on mobile apps. (eMarketer)

  • People who watch a mobile video increase by 100% every year. (Social Media Week)

  • In 2019, people watched business-related videos more on desktops than mobile devices. (VidYard)

  • People spend 88% more time on websites that show videos. (Social Media Week)

Types of Video Advertising

Video advertising types graph

The placement of your video ad can make or break your marketing strategy, so you should know your options.

The most common ones are on the most prominent websites like YouTube, LinkedIn, and Facebook. These platforms allow different video advertising campaigns, but they’re accessible even to small businesses.

YouTube ads

YouTube remains the king of online video platforms. It has been quite a cost-effective way of promoting products, brands, websites, and services for marketers.

That’s no surprise because each view for YouTube video ads costs $0.01 – $0.03. What’s more, you can choose several types of YouTube ads:

  • TrueView ads are similar to bumper ads from other websites, appearing in YouTube search results.

  • Bumper ads on YouTube will pause a more extensive video until its runtime has finished. It’s often used to inform more people about a brand or make its image stick in peoples’ minds. This ad format usually lasts for six seconds.

  • Pre-roll ads are like bumper ads, but they run for 15 seconds instead of six.

YouTube Advertising Statistics

  • 90% of viewers find new brands or products through YouTube.

  • 80% of viewers favor True Viewads over in-stream advertisements.

  • 70% of consumption time occurs on mobile devices.

  • 70% of users have purchased a brand by seeing it on YouTube.

  • 62% of promotion time on the platform receives viewer consideration, contrasted with 45% of TV advertisement time.

  • 62% of organizations use YT as a channel for posting videos.

  • 9% of B2B decision-makers use YT to investigate purchases.

  • Just 9% of all independent ventures in the US use YT.

Facebook and Instagram video ads


You could choose several ways of placing them on these platforms, such as:

  • Putting the video ad on the news feeds for both platforms

  • Adding skippable in-stream video ads on FB and Twitter

  • Displaying video ad on paid Instagram and FB stories

Both types of video ads count video views for every 3 seconds that it plays. Fortunately, you could spend less on FB ads with the help of ThruPlay.

Facebook Advertising Statistics

  • 84% of video marketers utilize FB as one of their main online video marketing channels.

  • The average engagement rate for FB video posts is 0.26% compared to the 0.15% overall engagement rate.

  • Consumers are 23% more inclined to retain the brand behind an advertisement if it appears within the first 3 secs of the video ad.

  • 75% of businesses on FB use video ads.

  • More than 75% of marketers have stated that FB Live helped increase sales for their business.

  • Only 25% of businesses use FB Live weekly.

  • 47% of the total campaign value of a Facebook video ad is created in under three seconds.

  • FB video ad conversion rates are highest for videos 16-20 seconds in duration.

Instagram advertising Statistics

  • 79% of consumers say a video ad has persuaded them to purchase a product or software.

  • 77% of marketers have uploaded a video ad on IGTV.

  • Instagram video ads receive 3x more mobile user engagement than image ads through comments.

  • 58% of marketers planned to utilize online video content marketing on Instagram in 2021.

  • Around 70% of Instagram and mobile users watch online video content in the form of Stories regularly

  • 1 in 4 users has purchased after seeing a story on Instagram.

  • Mobile-shot Stories ads prevail over studio-shot ads 63% of the time.

LinkedIn Video ads


These are often more expensive than video ads from social media. LinkedIn video ads may set you back by $3,650 every year, so it might not be the best choice for small businesses.

What’s more, starting ads on this site involves more steps. You’ll need to join an auction for LinkedIn video ads, so it’s a far cry from the more specific sites.

If your target audience is professionals, this might be your online video content format. After all, the website is a popular platform for businesses.

LinkedIn Video Advertising Statistics

  • 28% of marketers named LinkedIn Video one of the most effective platforms for video marketing.

  • 51% of video marketers have utilized LinkedIn videos in their campaigns.

  • 87% of LinkedIn video marketers say it’s been an effective platform for them.

  • 66% of video marketers plan to include LinkedIn in their 2020 video marketing strategy.

OTT or Streaming Media Services

A 2019 Statista survey says that 74% of US households subscribe to one video streaming service and online channels, while 69% use more than one! That’s why video ads appear on them too.

The OTT stands for “over-the-top,” It refers to the video streaming sites that people use “on top of” their TV cable packages. Examples include Youtube TV and Netflix.

These services gathered a billion subscribers due to the coronavirus pandemic. They’re likely to expand further, making them a good place for online video ads.

Benefits of Video Advertising

Influencer doing live streamThe advantages of Video Advertising are listed below:

Brand Awareness

Video advertising can help you introduce your brand and build sturdy brand trust through these campaigns in the best way possible. Do it right, and potential customers will learn the basics of your brand in a couple of minutes.

Popularity and Shareability

Imagine if people loved watching your ads. The best ones tug at people’s heartstrings, leaving people wanting for more. With the proper video advertising, folks will be looking forward to your following promos.

The best video ads leave a remarkable impression that people can’t help sharing with friends. As more people share your content, they’re more likely to bring new customers and increase brand awareness.

Leads Generation and Sales Conversion

Social iconsVideo adverts are a great way to turn leads into sales. They’re just a click away from turning up a deal. People can choose to buy your products while watching your video ad and campaigns.

SEO Benefits

As your online videos and campaigns gain online clout, you’re bound to top search results. You’re bound to top search results. Google and other search engines rank them based on how many clicks a related content has. A video ad can give you more online traffic, which tells search sites that you’re likely a reliable source for a specific query.

Flexibility and Informational

Video ads enable you to promote your brand in more detail as if you’re speaking to your viewers. People are more likely to relate to your brand in video campaigns, so you’ll have an easier time gaining their trust. Remember that all marketing is built on relationships and trust.

Sometimes, you need to explain products, new features, and services, or customers may have trouble using them. You could use a video ad to give them the steps to comprehend. They can watch someone follow the instructions on the screen to follow along.

Video Advertising Trends to Follow

TikTok money pileIt is worth noting that producing videos and campaigns isn’t enough; it is also essential to keep up with the latest marketing trends to speed up on the top.
Let’s get straight to it.

Short-form Video Ads

This video advertising trend commenced with the recent launch of Instagram Reels in August 2020 and the staggering growth of TikTok with 1.2 billion average monthly active users. In a digital age where short attention span is relative, this format pioneered how people consume media, how future advertisers tell a story for brand awareness, and how the business industry is shifting with it.

When planning your marketing campaign, focus on producing shorter ads and fast-paced content. Grab the attention of your audience when the video starts.

Educational Video Content

According to ReportLinker, the e-learning market is expected to surge, skyrocketing at a compound annual growth rate of 10.3 percent, from $250.8 billion in 2020 to $457.8 billion in 2026.

Educational videos also rank among the most popular types of videos, watched by 30 percent of people on the internet.

AR and VR Contents

Man with virtual reality helmetAccording to Statistica, The AR and VR market is forecast to increase over the next few years and reach $72.8 billion in 2024.

Brands like IKEA have already adopted VR into their online platforms. Customers can utilize the technology to visualize their products in their homes without visiting their actual establishment.

Shoppable Videos

Shoppable videos provide interactive experiences for buyers as it allows them to purchase the product being advertised in the video ad directly from the content.

It gives intuitive experiences to consumers as it permits them to buy the item directly from the content being advertised in the video.

Search-Optimized Videos

According to Forrester, video contents are 53 times more likely to generate first-page rankings than other traditional SEO practices.

Focus on three factors: consistency, relevance, and backend optimization.

According to Brightedge, Google is now putting video snippets in 26% of search results, and users are more inclined to click them when they do.

KPIs to Measure Online Video Advertising Performance

Man with data graphs on deskWith countless brands sharing video content and ads, it may be challenging to determine what works by only checking the number of views. For better comprehension, you want to depend on Key Performance Indicators (KPIs), which are measures to tell you if you accomplished what you wanted with your content and need to repeat these actions.

Here are KPIs to determine your video advertising performance:

Click Rate

This indicator provides a rough percentage of people visiting your content and ads.
Ensure your keywords are incorporated in the video description and the title. Make sure to also place your content in a good spot on your landing page. Avoid ad fraud.

Bounce Rate

This figure demonstrates the relevancy of your video to your target market. It indicates the number of viewers that quit watching your content and at what time. It could assist you with monitoring your advertising materials to check if the ads are engaging enough not to scroll past in their pre-roll.

View Through Rates (VTR)

VTR refers to the completed views of a skippable ad over the number of initial impressions.

To get this figure, account for the total number of views, then divide it by total impressions. Then multiply the result by 100.

Polish your ads for your viewers to keep watching from its mid-roll until post-roll for a worthwhile video experience.

Video Conversion Rates

Online shopping digital iconsThis conversion rate will let you know how fruitful your video was in hitting your objectives and audience. Video conversion rates demonstrate the number of new leads, potential customers, and paying clients resulting from your campaign.

This instance will build the proper groundwork for making quality content that resonates with your target audience.

Returning Users

Google Analytics helps you identify returning users based on your session information. This process is then counted over a time frame.

Cost per Lead

CPL (Cost per lead) refers to the number of qualified leads each month. This measurement shows you the amount it costs to obtain new customers. Monitoring these outcomes will help you evaluate and design your subsequent step in crafting valuable video content. Likewise, it will help you distinguish the most efficient campaign to reach your target audience.

Final Thoughts

Influencer recording video

Video Advertising is just a part of a much bigger digital marketing campaign. If you want to succeed, you will have to improve other aspects.

Fortunately, LeadAdvisors can take care of those factors for you. It has experts who could build your landing pages and rank your brand higher on search results.


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