5 Reasons Why Brands Are Switching from TV Ads to YouTube Video Ads

Many brands are skipping TV and moving their TV advertising budget to YouTube Ads because the online video site is where most people watch their video contents nowadays.  Here are a few reasons why brands are opting out of TV ads and are putting their money into YouTube Video Ads:

  1. Reach
    There are more than 10 million active YouTube users in Malaysia alone. YouTube is bigger than any other TV channels available in the country.  It is the second largest search engine in the world, right after Google itself.  Advertisers realize that their video ads will have wider reach and get more views on YouTube than TV network.
  2. Low Advertising Cost
    The cost for YouTube Video Ads is minuscule compared to what TV ads cost. Currently, the Cost Per View (CPV) is as low as RM0.10 (about US$0.03) on YouTube.  In other words, a small TV advertising budget of RM100,000 is sufficient for 1 million views on YouTube. 
  3. Pay Only When Viewed
    Averagely, 80 out of 100 YouTube users will skip the ads as soon as the "Skip Ad" button appears in 5 seconds.  The good news is that brands are not charged for the video ad (in TrueView In-Stream Ads) unless the user watches at least 30 seconds of it or finishes the entire video ad if the ad is shorter than 30 seconds.  As for the 80% users who skip the ads, you may consider those as 5-second brand exposure at zero cost.
  4. Full Attention of the Viewer
    The viewers are anticipating the videos that they have chosen to watch right when your video ads get displayed, commanding full attention of the viewers.  Now, how many TV audience do you think will stick around the TV when the commercial is playing?
  5. Specific Audience Targeting
    In YouTube ads, you may choose to target your audience demographic by location (country and city), gender and age group.  On top of that, you may do advanced targeting by topics, interests, placements, remarketing and keywords.

If you are thinking about running YouTube Video Ads, now is the perfect time to do so since it hasn’t been oversaturated yet.  The advertising cost will surely increase as more brands advertise on it.  You may engage AdWords agencies like Gapture to help place and optimise your YouTube Video Ads.