There is no doubt that the opportunities offered by online video have been growing in recent years. However, some advertisers have dismissed these because of a number of myths about the medium. Here are the top five myths, with some of the truths behind them revealed…
1. It's too expensivePre-roll advertising tends to cost £20 to £30 per thousand, which many advertising agencies suggest is too expensive, especially compared to TV (around £5 per thousand for a rate card weighted adult price).
But there lies the problem with pricing -- comparing online with TV when they're not the same thing at all. Heavy consumers of television are older than the heavy consumers of online, for example, and the price reflects this. TV and online audiences are vastly different and they are entirely complementary. Recent research (including pieces from the IAB and Thinkbox) shows the two media working together as the way forward in driving advertising value.
2. It doesn't have the reach of television It's a common argument that online lacks the reach of television. This is true: an ad during Coronation Street can reach 8,000,000 people.
However, TV lacks the ability to target people who are specifically interested in a brand's products. Using behavioural, geographic, demographic or site retargeting technologies online can put commercials in front of consumers who are genuinely interested and likely to buy.
3. It's too limiting on creative execution
Online video creative has fewer boundaries than TV and can swiftly and cheaply adapt TV ads to turn them into a pre-roll commercial or an engaging and responsive in-banner ad, for example.
Online video ads can run different executions for different sites according to audience or even create journeys running across many different sites. The potential is huge -- if you have the imagination.
4. It's too complicated to set up
It has never been easier to run an online commercial video campaign. Yes, it will involve a lot of different parties having to pull together -- media agencies, creative agencies and media owners -- but the benefits to all can be great and there are agencies who are able to manage this and take the pain out of the whole process.
People new to the medium can get up to speed by attending some of the many seminars and education programmes currently available. Many are even run by agencies.
5. It's not accountable enough
When analysis of a medium call tell you:
- who watched a commercial
- how -- and for how long -- they engaged with the content of the ad
- what they forwarded
- whether they downloaded any information
- which pages they viewed the longest
- and whether, ultimately, they went on to buy
... well I would call that fairly accountable, wouldn't you?
In conclusion, it's clear that online video has an enormous amount to offer and is something that more and more brands will turn to as the technology advances make execution so much easier.
Mark Connolly is Commercial Director at Adconion.
